Tourists visit the Wall Street bull sculpture in New York City's Financial District. Getty ImagesThe stock market is one of the best investments to make long-term. However, Americans feel less confident about it. According to a Bankrate survey, 28% of Americans stated that real estate was the best way to invest for a period of at least 10 years. According to the financial website, about one quarter said cash investments such as CDs or savings accounts are their preferred long-term investment method. Only 16% stated that they would choose the stock market. This is a significant departure from the comfort of investing in stocks. The markets were ranked first in the list a year ago, with 28% of Americans choosing it as their preferred investment. Greg McBride chief financial analyst at Bankrate said, "To see that the market has performed so well over the past year, that's surprising." The pandemic could have had an impact on investors' investment decisions and increased awareness of the importance of cash in case of emergency. McBride stated that investors are prone to chase performance. This is often the pattern we see. To build wealth long-term, you need to use the opposite tact. Learn more from Invest in YouHow to find the best retirement spending rateMany working parents are being held back by child care costs and lack of paid time.Financial experts share their top tips for investing in stocks. Investing with discipline and patience over many decades is the best way to create wealth. Roger Ma, certified financial planner at Lifelaidout, said that over the long-term, stock market returns have outperformed other asset types. He is also the author of "Work Your Money, Not Your Life." Many people's first stock investments will be through an employer-sponsored retirement plan, such as a plan called a 401(k). However, for those who don't want to use those accounts, there are many online brokerages that make it easy to start investing. McBride stated that it has never been simpler or more affordable for individuals to invest in the stock market in diversified ways.Ma said that managing a retirement portfolio and other long-term stock investments is also possible. He said that you don't have to know which stocks to invest in, when they should be bought and when they should be sold. It could be as easy as buying a portfolio of one-fund funds or target fund that approximates your retirement age. The compounding effect of the stock market can increase the amount you save exponentially. Worth Winning founder Lauryn Williams is a CFP who describes investing in stock markets as like taking a walk on the airport's moving walkway. Williams stated that while you can still walk and most people will walk once they are on the moving walkway. The moving walkway will help you save more, but it will also make it easier to get there. Experts recommend that you stay the course, and be more selective about which companies to invest in, even if the market slows down or stagnates over the next months and years. Leon Cooperman, a billionaire investor, stated that stocks are the best place for my long-term outlook. However, I wouldn't expect much of the major averages. "I'm willing to be in such an environment where I have stock picking my way to success." Cash versus stocks Stocks are generally a better investment than cash for long-term wealth building. Cash is much better for emergency savings funds and other purposes. McBride stated that cash is ideal for short-term requirements because it is not volatile. But the lack of returns means it won't grow your wealth over long periods. It will actually erode it. This is because inflation or the cost of goods and services will increase over time. You will need to save more money to purchase the same items as inflation. This may be especially important for Americans after the coronavirus pandemic. Inflation is rising and prices are going up. The stock market is one of the best investments to fight inflation. It offers a higher rate return than other assets. Investors are compensated for volatility by higher returns. McBride stated that investing too conservatively is the biggest risk in the long-term.
