When it comes to wedding gifts, there’s usually only a limited number of options. Most people gift homely items that a newlywed couple might need, such as a new pressure cooker, gorgeous jewelry, or even a shiny new car. But have you ever asked yourself, what if you gift stocks as a wedding gift?
Stocks are an excellent gift to give out to a newlywed couple. It’s better than handing out cash in an envelope or gifting a lousy gift card, which is something that people still do. In this article, we’ll look at why stocks are such a valuable wedding present and which stock you should gift at the next wedding you attend.
Gifting Stocks Vs. Traditional Gifts
You might not know this, but most gifts aren’t assets; they’re liabilities. Just think about it, any basic commodity is bound to depreciate in value sooner or later.
Take, for example, a new car; it might seem like a great option at first, but in the long run, it will cost the new owners a lot of money. One has to feed the car with gas regularly and take care of any repairs necessary, and trust us; they will be necessary. Besides, its overall value will reduce by half in the short span of a year.
So, in the long run, you’re not only gifting the couple something that will cost them money but something they can’t get a lot of value for in the future. Wouldn’t you rather gift them something perpetually useful? Something whose value increases over time instead of decreasing? That’s where stocks come into the picture.
Stocks are perfect wedding gifts, not only because they have tremendous worth at present but are bound to bring massive returns in the future. Weddings always signify a new beginning for the couple. It’s the first step of starting their journey as a family, after all. At this point, the couple needs resources to help them grow their wealth, not liabilities that add to their financial headache.
Gifting a newlywed couple a colorful portfolio in stocks rather than a car is the smartest thing you could do. Trust us; they will appreciate it in the long run.
Stocks worth $500 today can grow twenty times their value in a few years. It presents a tremendous financial opportunity for the couple, as they can sell the stock for a significant profit when the time is right.
Gifting Stocks Vs. Gifting Jewelry
Jewelry has always been the go-to wedding gift for ages. Gold is a priceless asset whose value grows as time passes. However, it has been proven time and time again that stocks have the potential to grow much more when compared to gold or diamonds.
Gold will always grow steadily and eventually double in value over four or five years. It is considered to be a stable investment with guaranteed returns and zero risk.
Stocks, on the other hand, are tied to the well-being and growth of a particular company. If the company performs well, the value of its stocks will increase by a significant margin.
We have often witnessed stock values snowball in months, bringing incredible profits to the holders. On the other hand, gold grows gradually, but it does so at a snail’s pace. This is because the value of gold is determined by its overall demand and supply in the market. In contrast, the value of stock directly depends on the holding company’s performance and success. So there’s no lengthy waiting period in this case.
Some might consider stocks to be quite risky, which in all honesty, is the truth. They are more volatile and prone to sudden changes when compared to commodities like gold and diamond, which often don’t have any short-term effects.
However, if you have your stakes set in a reputable company on a growth spree, we guarantee you that the chances of risk will be fairly low. Simply put, if the company wins, the shareholders win too.
What Stocks Make Good Wedding Gifts?
Amazon Stock
Amazon is one of the best stocks to buy in 2022 and has made guaranteed returns for its shareholders over the last decade. The company’s business model took huge advantage of the pandemic, making them grow significantly in 2022.
Amazon stock was valued at $126 on 7th September and has already grown to approximately $136 in the last five days. It’s a great option for a wedding gift and comes with little to no risk. The overall price is down, but long-time investors know that the company will shake things off and soon return to appreciating value.
Alphabet Stock
Most people today are familiar with Google but have no clue about its parent company, Alphabet. This is the company that owns tech industry giants like Youtube, Google Chrome, Google maps, Android, and so on.
Alphabet stock is one of the most valuable in 2022 and has the potential to skyrocket in the future. Google’s importance will never go down, as they have established a monopoly-like status in the information market.
The company has made significant profits so far, allowing Alphabet to invest in future endeavors that will take the world by storm. This includes virtual reality, artificial intelligence, and cloud-based technology that will shape the future.
Overall, it’s a great choice to gift to people who have the patience and intelligence to play the long game. The company hit its peak earlier this year when stock prices jumped to $143. It’s currently on a downward slope and stands at $110, but it’s bound to pick up the pace soon.
Berkshire Hathaway Stocks
If you want to present a more expensive option, Berkshire Hathaway is a perfect choice. This is the company Warren Buffet uses to hold his investments, which means that it’s one of the big winners in the financial world.
Berkshire Hathaway’s ‘A’ stock will cost you $4,33,062, a figure that can easily double in the future. The value was approximately $4,54,300 earlier this year in January, eventually growing to a whopping $5,39,180 at the end of March.
If you want a more budget-friendly option, you can go for their class ‘B’ stocks which are currently valued at $288. At its peak during the end of March, the value had gone up to $359. Stock market experts predict another rise at the end of the year, so now would be a great time to buy.
Final thoughts
Delving into the stock market requires patience and an understanding of financial trends. Most people tend to avoid it after hearing testimonies of ex-investors losing all their money. However, these investors usually make the mistake of buying when the prices have already peaked and then abandoning the prospect when the price goes down.
The right way to do things is to buy when prices are low and wait out the storm. Every stock goes through a slippery period when the prices fall to frightening levels, but that doesn’t mean it won’t recover in the future. Investors who refrain from selling until prices have peaked are usually the ones who enjoy the most profits. So if you’re going to gift stocks to someone, you better explain the dos and don’ts that come with it.