Passive vs. Active Investing

Passive investing is a hands-off, set-it-and-forget-it approach, while active investing involves more risk for potentially higher returns.

Active real estate investing involves buying a property and renting it out for income.

Two main investment strategies are passive investing (like dollar cost averaging) and active investing, which involves investing in individual companies.

Passive investing involves allocating money to assets like stocks, index funds, or real estate and allowing them to grow over time. It is a strategy for gradual wealth accumulation, not a get-rich-quick scheme. Consistent contributions are key to building wealth through passive investments.

The speaker employs a hybrid investing strategy, combining passive investments with active ones, such as actively seeking out real estate deals.