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Published: Dec 22, 2021 5 min read

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Stock market graph with sketch illustrations of different investments
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Investing was all the rage this year, and the internet certainly had its favorite favorite stocks and cryptos to trade.

Meme stocks like GameStop and AMC took over social media feeds. Investors couldn't stop talking about cult favorite stocks like Tesla, while also looking for new companies to obsess over, as the market more than doubled since its March 2020 low. Meanwhile, Bitcoin and Ethereum kept hitting record highs, and meme coins like Dogecoin and Shiba Inu coin skyrocketed thanks to online hype.

The rise of online trading apps like Robinhood and Coinbase made buying and selling assets as easy as clicking a few buttons. This all came with the backdrop of a pandemic that kept us from many of our favorite hobbies for much of the year. Even high school and college students were getting in on the action.

Of course, just because an investment is trendy doesn't mean it's a good investment. Cryptocurrency, for example is extremely volatile: Bitcoin hit a high just below $65,000 per coin in mid-April before nosediving more than 50% by July. And investing in individual stocks is risky, since buying shares in one company equates to putting all your eggs in one basket, while mutual funds and exchange-traded funds (ETFs) spread the risk across baskets of securities.

So while it's tempting to jump on the latest investing fads to avoid FOMO, remember that the best way to build wealth through investing is with a long-term view that takes your age, goals and risk tolerance into account.

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