401k has a Roth option, but otherwise I agree. That said I still max out the 401k bc I’m too stupid to do better outside with that money by contributing zero. Buy high sell low is my motto!

The stock market is a little bit like Las Vegas. A lot of the money people make in it is money that other people lost in it...

real estate is full proof. In 2008 git furloughed and holding the bag on a house worth half as much as I paid. I keep all my savings buried literally in holes around the country. I have a safe in a secret location with the map to the holes. The combination to the safe is with a trusted friend and only he knows the combination. He will only give out the combination with a password. Only he knows the password. His dog is the only other soul that knows it. I don’t even know it

Bet that house would be worth a lot more right now.

The stock market is better than Vegas or holes in the ground.

The S&P500 has gone up 10% on average for the last forever. And you don't need to repaint, change the carpets, or worry about the lawn. Buy and hold. Don't try to time it. But shares of low cost index funds, don't sell and keep buying. It works. As long as you don't panic sell and then wait 2 years to get back in.

F9 IPOs at $6.3B EV, same as NK?
 

You don’t need your own money to invest in real estate. Last time I checked you can’t take out a loan and have someone else pay it if you want to invest in the stock market.


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same with the stock market. You can buy on credit.

Sure you can, it’s called buying on the margin - if you are stupid enough to play that game. But the low overhead tax efficient index fund is a slow but sure winner. Real Estate? Got a shyster neighbor that simply doesn’t pay his mortgage. Or taxes. He hasn’t paid a dime since the foreclosure ban went into effect. So how have your rentals done the past year?

F9 IPOs at $6.3B EV, same as NK?
 

My two rentals have done great the last year. Luckily they’re in decent neighborhoods and the rent is high enough to not attract that type of tenant. But even if they did stop paying and I had to cover the mortgage it’s still an investment that is appreciating. If a home goes up a set percentage it’s the same as an index fund going up a certain percentage. Just haven’t found a way to take a $300k loan out and invest it into an index fund, but let me know what brokerage is giving you that kind of leverage and maybe I’ll change my mind.

But I’m not by any means saying it’s the best investment or only investment. Just saying that not everyone who doesn’t max out their 401k is doing something wrong.

You left a big part out, which is tax on capital gains. It's easier to avoid capital gains tax on real estate than investing in Index on Mutual funds on the side. My wife is driving around in our "company" car that we are deducting the depreciation of the car and real estate investment, which offset part of my W2. There's more to real estate investing, than owning a rental property. I sold a commercial property a few years back and provided seller financing to the buyer, while collecting the loan payment and 5% interest rate. That's just a fix rate of return on interest, and doesn't even factor in the valve that it went up before I sold it.