Poppi's cofounder on why she put $5,000 in each of her children's investment accounts

"“So we opened them three Fidelity investment accounts,” she said. “The stock market hasn't been great, so they lost $65, and their just, like, minds are blown.” The Journal reporter asked whether the children are picking stocks or ETFs. Ellsworth replied that they were buying “safe” and “slim pickings” stocks, such as Apple and Microsoft."

"She added that she's started their investing journey with $5,000 apiece. “We put $5,000 in each account, which is a lot of money for, you know, the kids to see it grow,” Ellsworth said. “But then at the end of the day, I feel like if you put in $100, $200, you're really not gonna be able to do a lot with it, so we thought $5,000 was a good number to start with.”"

"“I want them to be stewards of their money in this generational wealth,” she added. “So it's a balance that we're kind of learning together at the same time.” Ellsworth and her husband weren't shying away from money conversations with their children, telling them in “age-appropriate ways” about their newfound wealth and how not to be “that kid in school.”"

A CEO and cofounder opened three Fidelity investment accounts for children aged four, seven, and nine, starting each with $5,000 after a family windfall. The children were curious about investing and learned through actual market performance, including a $65 loss when the stock market was weak. The children bought “safe” stocks such as Apple and Microsoft rather than focusing on riskier choices. The parent emphasized that larger starting amounts make growth visible, while smaller amounts would limit impact. Money conversations were framed in age-appropriate ways, aiming to build stewardship and generational responsibility, including a child buying PepsiCo stock as a connection to the family business.

Read at www.businessinsider.com