Roblox possibly taught my 12 year old about the risks of investing in individual stocks
Thought I would teach my 12 y/o daughter early on about investing her allowance. Without getting in those conversations, (index funds versus individual companies) we *also* bought 1 share of the main company she is familiar with - Roblox at $130....
..... and have since watched it decline 44%.
Her: "Why dad?"
Me: "Well, It supposedly dropped due to the kids using it less"
Her: "But dad every single person i know plays Roblox and everyone is addicted to it. <Insert friends name here> even SPENDS REAL MONEY on it!!"
Me: "I know that, so can not really explain it, but let us just hope your friends start to spend more money on it haha. Lets just wait and see, remember you lost nothing until you decide to sell it"
Her: "Weird" (Then of course proceeds to play Roblox for hours with at least 3 of her other friends)
Anyway, pretty certain i failed on that lesson, but at least planted a seed, oh and her VOO is up 13%, so a lesson was hopefully learned there as well.