A friend of mine asked for help convincing his cousin to start investing. My friend obviously has his cousin’s welfare at heart, which is why he is getting tips on how to convince her to start investing. There are many out there who are diligent savers but they do not understand WHY do you need to push them over the edge to take risks and invest. I would like to think that I understand that since my risk profile shows that I am risk-averse enough. We cannot convince someone to invest if:

1. They do not understand investing to a certain degree. Investing would just look like gambling to them.
2. Nothing in their world is at risk.
3. There is a major upside to investing and it’s not too difficult to implement.

Now, if we backtrack a little, we are not trying to get people to go from never invest to become astute investors....