DMD 001: Welcome to 'Do Money Differently' - Your New Money Life Starts Today!
Introducing Todd Romer's NEW Substack Newsletter, Do Money Differently. Here's What to Expect:
Welcome to the maiden issue of Do Money Differently (DMD)!
This distinct wealth-building and financial success newsletter is an offshoot of my national financial success speaking tour, where I’ve helped tens of thousands of people like you:
- reduce money stress,
- increase financial confidence, and
- create significant wealth over time from investing
Yes, I said investing!
We’re going to cover a ton about investing in both stocks and crypto (digital assets) so you’re super comfortable with learning how the wealthy invest. And you’ll see why the wealthy are not any smarter than you!
Here’s what you can expect from DMD going forward…
1) THE MONEY SYSTEM
As a subscriber to DMD you will learn about a powerful 5-step financial success plan that I created years ago called “The Money System.” I will go into great detail throughout your subscription but here is a snapshot of The Money System:
Step 1: Dream Differently
Be aware that you have a money DNA that likely needs to be changed for the better.
Overcome limiting beliefs about you and money, so you can be free to thrive financially.
Step 2: Save Money Differently
Ditch your savings account and create multiple named savings accounts that align with what you need and value of five years or less.
Automate monthly transfers from your checking account to these named savings accounts.
Step 3: Spend Money Differently
Spend money intentionally by creating a monthly spending plan (budget) that aligns with your needs and values.
Step 4: Invest Money Differently
Open a minimum of three investment accounts over time, each with a specific goal.
Learn how to create a low-risk, high-reward investment account to accelerate growth.
Step 5: Give Money Differently
Live a life with more meaning and purpose, by helping others who are in real need.
Generous living always brings the highest level of true joy!
2) MARKET WATCH
Stocks: Stocks, as measured by the S&P 500 index, went up 23% in 2024 - after rising 24% in 2023. Wow! That’s back-to-back years of 20+ percent annual returns which does not happen often.
The first full week of 2025 showed some signs of a downtrend, but we’ll see what happens to interest rates, inflation numbers, job reports, and a new administration in Washington. There’s always something going on in the world that affects the daily movement of the stock market.
Crypto: Bitcoin, the most recognizable cryptocurrency, rose 124% in 2024. This follows a gain of 156% in 2023. This is the largest rise per year of any asset class over the last two years. Remarkable is an appropriate word to use to describe Bitcoin’s performance lately.
Total market capitalization (market cap) of crypto assets that include Bitcoin, Ethereum, Solana, XRP, Binance Coin, Dogecoin, Chainlink - and so many other meme coins is $3.41 trillion as of this newsletter date. For reference, the total market cap of cryptos in January of 2020 was just about $200 billion. Quite a meteoric rise, and a space to keep your eye on in this upcoming bull run.
We’re currently sitting in the fourth year of the Bitcoin halving cycle, meaning this is where it gets fun. Raoul Pal of GMI calls this the “banana zone” - where charts start going up and to the right in crazy fashion.
You’ll see below that I own a decent amount of crypto, along with my foundational investment portfolio of stocks.
3) TODD’S PERSONAL INVESTMENT PORTFOLIO (Stocks & Crypto)
Below, I share my personal investment accounts of stocks and crypto. I’m sharing any sales or buys I make each month with you, and my reasons for those decisions. I automatically invest weekly or monthly into my Roth IRA and SEP-IRA and one of my personal investment accounts.
ROTH IRA (held with T. Rowe Price)
Science & Technology mutual fund (PRSCX)
Growth Stock ETF (TGRW)
Alibaba stock (BABA)
Money Market (cash)
SEP-IRA (held with the Acorns saving and investing app) - this my “401(k)” because I’m self-employed
Vanguard S&P 500 ETF (VOO)
iShares Core S&P Mid-Cap ETF (IJH)
iShares Core S&P Small-Cap ETF (IJR)
iShares Core Total International Stock ETF (IXUS)
iShares Core U.S. Aggregate Bond ETF (AGG)
Personal Investment Account (Acorns, Robinhood & E*Trade)
Moderately aggressive portfolio (mix of stock and bond ETFs)
Individual stocks include: Tesla, Nvidia, Stryker, Adobe, Visa, IonQ, MARA Holdings, VXX and Money Market (cash)
Crypto - Digital Assets (held with Coinbase)
Bitcoin (BTC)
Chainlink (LINK)
Ripple (XRP)
Internet Computer Protocol (ICP)
Parsiq (PRQ)
Immutable (IMX)
The Graph (GRT)
Render (RNDR)
Ondo Finance (ONDO)
Uniswap (UNI)
POPULAR Q&A
Each week, I’ll be sharing one or two questions from readers and post them below. Paid DMD subscribers can see all the comments and engagement from other paid subscribers, and discuss all topics within the newsletter thread. Click here to upgrade to a paid subscription.
Question 1: “Hey Todd, what is an ETF?”
Answer: An ETF (Exchange Traded Fund) is a type of investment fund that can be bought and sold like a stock. ETFs are similar to mutual funds, but they trade throughout the day like stocks.
Most ETFs hold a collection of stocks and bonds that can be grouped together based on a specific theme or strategy.
For example, their ETFs that hold only technology, energy or healthcare related stocks or track a popular stock index like the S&P 500. Finally, ETFs usually have lower annual management fees than traditional mutual funds, due to being passively managed.
Vanguard fees for example, can be around the 0.05% mark, as opposed to some 1% fees on Mutual Funds. These indices passively track the activity of a collection (often called a ‘basket’) of stocks. Saving in fees can make massive differences over the long-term, compounded growth of your investments.
I’m a fan of ETFs for your weekly or monthly automatic investments accounts associated with your Roth-IRA, 401(k), SEP-IRA (if you are self-employed).
Question 2: “Hey Todd, where did you grow up and what was the best financial advice you ever received?”
Answer: I grew up in Dayton, Ohio and went to University of Dayton for college.
The best financial advice I ever received was from my Dad at age 16.He said “start investing a lot of your lawn mowing money into the stock market”. So I did and bought Johnson & Johnson and Coca Cola stock along with a couple of stock mutual funds. Thanks Dad!
KEY LESSON & ACTION STEP
Begin to think of your personal WHY.
In other words, WHY do you want to become financially successful? Write down with pen on paper (not on a computer) one or two reasons why you ultimately want to improve your finances. Your WHY is unique to you. Below are a few real examples of a WHY among an endless list from people like you.
Although I love my parents, I don’t want to live a stressful financial life like they did or do.
I want to be able to provide well for my current or future family.
I want to travel more often with my family and/or friends.
I don’t want to become that person who is always financially strapped that I can’t help anyone in need when the time comes.
I want to start a business.
I want to give generously to people throughout my life, not just when I “made it.”
I want to be able to buy Lululemon clothing whenever I feel like it.
Your WHY is your motivation to begin Doing Money Differently this year. Once you get excited about your dreams, you’ll discover small action steps to take to change your financial behavior for the better.
Remember, you have everything it takes to live a life that you desire.
Let’s go!
P.S. - Want More Do Money Differently?
Our paid subscribers get a whole host of extra benefits (and exclusive newsletter issues), plus:
all subscriber-only past newsletter archives,
ability to comment & join the discussion on every post,
Todd’s monthly Stock & Crypto portfolio holdings & updates, and
exclusive interviews with select financial experts
… plus so much more!
Click below to become a paid subscriber today (for only $9 bucks a month):