Medical Student Quits Studies to Teach Financial Planning
Translated & summarized from Globes by baba
Tomer Eliyahu, 33, abandoned his medical studies to establish 'Simply Invest,' a financial education company for families. Motivated by childhood financial struggles and his father's loss of pension savings, Eliyahu aims to demystify investing. He advocates for index investing and long-term strategies, believing financial knowledge is key to future security.
The story in 5 lines · by baba
- Tomer Eliyahu left medical school to found a financial education company called 'Simply Invest'.
- His career change was driven by childhood financial hardship and his father's loss of pension funds.
- Eliyahu aims to empower Israeli parents to build investment portfolios for their children.
- He advocates for broad index investing over individual stock picking for diversification and low costs.
- Eliyahu believes financial literacy is crucial for long-term financial security and avoiding costly mistakes.
Tomer Eliyahu, 33, a resident of Rehovot and founder of the financial education company 'Simply Invest,' has shifted his career path from medicine to financial literacy. His decision was deeply influenced by childhood experiences of financial hardship, including witnessing bailiffs remove furniture from his home at age three and his parents' subsequent divorce due to financial disputes. These events instilled in him a commitment to providing financial security for his future family.
Eliyahu was in his fifth year of medical school when his father passed away. His father had saved 4 million shekels over 40 years in a pension fund, but the family received nothing due to a lack of understanding of the fund's rules. This personal tragedy highlighted for Eliyahu the immense financial cost of financial illiteracy for Israeli families, prompting him to leave his medical studies with only one year remaining.
He founded 'Simply Invest' with the goal of making investing accessible and understandable for families. Eliyahu believes that successful investing does not require being an economics expert or predicting market trends. His ambition is for every Israeli parent to be capable of building an investment portfolio for their children, offering them a stronger financial start in life.
Eliyahu began his interest in the capital markets after his military service, seeking to make his savings work for him. He advocates for broad index investing over individual stock picking, emphasizing diversification, low costs, and a long-term perspective. He notes that many people invest significant sums without fully understanding their investments, the associated fees, or the long-term impact of their financial decisions.
He stays informed by reading academic research and reports from entities like SPIVA and Morningstar, focusing on understanding the market rather than predicting it. Eliyahu avoids cryptocurrency investments, preferring assets with tangible economic activity and cash flows. He also advises against relying solely on Israeli or US stock market indices, stressing the importance of building a diversified portfolio tailored to individual goals.