Yesterday, I gave you an inside look at how angel investing works…but I got a lot of people asking me, “Jason, aren’t small caps better investments to make the big returns?”
The short answer: startups present greater potential rewards for the risk you take.
I never came across any small caps that offer the explosive potential as angel investments in startups. Small-cap companies already went public. Angel Investments get you in on the ground floor.
Don’t get me wrong though, I’m a trader at heart… and I still love using my fish hooks and rockets to spot high-probability setups. They changed my life forever, helping me wipe out $250k in debt.
So why wouldn’t I just keep trading small caps all day long?
If you can find the right deals in startup companies… you open up the doors to a bevy of opportunities… ones that have the potential to turn under $1,000 into 7 figures…and you don’t need to spend much time in front of the computer.
Today, I want to show you why investing in startups just flat out beats buying and holding a basket of small-cap stocks.
Thousands of hungry investors have secured their spots already… and we may reach capacity very soon. What are you waiting for? Don’t miss out on an opportunity of a lifetime, and click here to register.
Thinking About Long-Term Investing? This Might Be Your Solution
We’ve all been told to invest in a mixture of stocks and bonds… the general rule of thumb we were all taught was to allocate a portion of your portfolio based on your age…
For example, if you’re 40 years old… that means you “should” be investing 40% of your portfolio in bonds and 60% in stocks and other investments. The idea is to minimize your risk as you get older and just maintain steady streams of income.
I don’t know about you… that’s a real snoozer for me and just inefficient.
Who would want to tie up all their capital just to return a measly 20% annually (if you’re lucky)?
We all want to build wealth in the stock market… but it’s not as lucrative as you think… the elite investors take their winnings and tackle on another market to build wealth.
Small Caps vs. Startups
If you look at how the entire small-cap is faring in 2019… it’s not that enticing. IWM isn’t even up 20% this year… and that means if you invested $10,000 in small caps this year… you’d only be up around $2,000.
Just take a look at IWM over the past 3 years…
You have to stomach a lot of volatility just to generate average returns… and you’re not even outperforming the S&P 500 Index with investments in IWM.
Pro tip: If you are considering small-cap investments, make sure you understand the risks involved.
On the other hand, we have startup investments.
With startup investments, it’s not less risky than small-caps… it just offers better reward potential. You see, startup investments could provide some out-of-this-world returns.
No joke.
And if you don’t get the right deal flow… you miss out on building wealth.
Take Ellen DeGeneres and Portia de Rossi. They had a chance to invest in Beyond Meat (BYND) BEFORE its IPO.
That’s right.
At one point, BYND was up 800% from its IPO price… and if they got in early, their returns would’ve been much higher.
For example, if you were able to invest in Pinterest (PINS) prior to the IPO, you could’ve made as much 583,264% returns.
The best part about angel investing is that you don’t need to invest a whole lot of money. In fact, you could get in on as little as $50 in a company. So think about this. If you were able to invest just $50, you could’ve made as much as $291,600.
You heard that right.
You can’t really invest $50 in small caps… you’ll only get a handful of shares, and you’d be lucky if you could turn $50 into $200.
Just look at the gains some investors made by getting in early:
That’s why I’m looking at startups specifically for investments… and The Boardroom will go LIVE to show you exactly how to find some of the best deals on the market and take advantage of monumental returns.
Thousands of eager investors have already signed up… and we’re about to reach capacity, so don’t delay and sign up now.
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