Myth #1 You Can Save Your Way to Wealth
Most financial gurus tout savings as a sure path to wealth. They encourage you to rely on the stock market in building your wealth.
Do you want to invest your hard-earned money and energy in something you cannot control? I don’t. You can gamble of some of your retirement funds in the stock market. However, putting it all in 401(k)s and IRAs make very little sense.
I am neither encouraging you to spend all your money nor to put it in a traditional savings vehicle. You need to have some cash for emergencies.
However, the wealthy never think in terms of cash. The wealthy think in terms of cashflow producing assets.
Money is not there is in the world but it is the only thing kept track of since the pharaohs.
Yes, money does buy happiness. And a lot of other things. Money is the most important thing that buys, time, choice, and freedom. Conventional wisdom leads into the trap of jealousy and judgement of the wealthy people. It whispers that money is the root of all evil. Or is it? Wealth is never that. Poverty is the root of all evil.
Money is not scarce contrary to conventional wisdom. Money is a perception of value you build around you and your business. The main pre-requisite of money making is self-esteem. In order to close big deals, you must not care religiously what others think of you. You must value your time. You must present yourself with authority and then you can build wealth virtually from nothing. In fact, that is how wealthy people do it. [Read more…]
The Main Principle of Smart Money Investment
The smart money term references the top 1% of wealthy people who know how to invest in long term appreciating trends. Smart money always have access to inside information and pay attention to financial and economic trends. They are keenly aware of what asset will yield them a 10x+ return on investment.
So why don’t we learn from smart money how to get the best return on our money? [Read more…]
Why Do You Want to Own Physical Gold and Silver?
The Main Principle of Successful Investing:
Always buy undervalued assets
You always want to buy undervalued assets that are in a long-term positive trend. The term undervalued relates to time and market conditions. Market analysis is required to determine the true value of an asset versus its market price. Precious metals such as gold and silver have been undervalued through price management for longer than most of us live. The prices of gold and silver are being controlled even more stringently as the currency purchasing power dwindles away. [Read more…]
Intuition is nature’s defense and an abundance mechanism: you’ll be free and wealthy as long as you follow it.
Working Hard vs Working Smart
Working hard correlates with having money but alone does not guarantee financial freedom and wealth.
No one wants to hear the harsh truth: working hard alone does not lead you to having more money and being financially free. But those who do hear what I am saying here will change their lives for good.
My adventure with working too much and not getting where I needed to be inspired me to share with you my personal experience with getting from rags to riches and losing it all. [Read more…]
-Are you trying to tell me that
if I get this, I will be able to dodge bullets?
-I am trying to tell you that if you get this,
you won’t have to.
Most of us stumble upon a financial education by way of trial and error coming in contact with the monetary and banking systems.
Since school does not teach us how money is created and how the monetary system works, we have no idea how to thrive in any economic conditions.
That is why major economic and financial market crashes come as a devastating storm setting many far behind from financial goals. [Read more…]
Well, it is completely false. the closer you get to the top of the market, the less money you can make with little capital. In fact, the highest profit margin can only be attained when prices are low and you can buy the highest quantity of assets with a minimal investment. [Read more…]
We are always afraid of what we do not understand. That is why money is one of the “forbidden” subjects.
You may hear “I want more money” or I do not make enough money”.
Try asking the opponent what money is and you may encounter dead silence, a surprised look on their face, or a cliche phrase that reveals they never took time to understand what money is.
To get rid of our fear of talking about money, we want to learn some boring stuff such as economics, financial markets, financial law and debt. [Read more…]
Why I Changed My Mind About Traditional Investments
The reason I stopped investing as the majority invests because I do not see a lot of wealthy people amongst traditional investors. In the group of traditional investors I include people who blindly trust their financial advisors and their 401(k) fund administrators to make investment decisions instead of them.
Furthermore, I neither gamble, nor play lottery. The traditional investment strategies resemble gambling with low chances for the traditional investor to win. [Read more…]
Would you like to have $1,000,000? Most people respond “Yes!”. But what does it mean?
They would like to have a million dollars but what if a million dollars buys you just a loaf of bread?
The problem with having an x amount of currency nowadays lies in the purchasing power of most currencies in the world.
How to Deserve to Thrive under Any Circumstances
You deserve to thrive during any economic uncertainty and financial downturn because you put a ton of effort in accumulating your wealth. So how do you deserve to thrive? I always use the word deserve literally: it does not denote entitlement but a set of actions you take- consciously or subconsciously- to bring certain events to life. That’s it. Deserving means physically manifesting something by way of action or inaction.
Road to Wealth: Undervalued Assets
The Buy low, sell high investment principle cannot be overstated: it is the simple math of having our money grow from a small amount to significant wealth. Warren Buffet and his mentor Benjamin Graham preached and practiced this principle to their own wealth. [Read more…]
Why Lenders Do not Teach How to Manage Money
Wrong. Since you are an adult who is responsible for everything what happens to you the only help you need is ….your own. Moreover, the only way you can succeed if you understand the above wisdom. We all make mistakes but only those who own up to them can find solutions, fix them, and succeed. On the contrary, if you expect someone to rescue you, you are in for a loooong wait, most likely, that of the length of eternity. [Read more…]
All paper money eventually
returns to its intrinsic value – zero.
Wealthy people buy assets, poor people acquire liabilities.
Assets ensure the money you have accumulated and the time you have spent doing it do not go to waste.
Liabilities , on the other hand, keep you working robbing you of valuable time, freedom, and money. [Read more…]
Budgeting does not resemble dieting: when you diet you eat certain foods and starve yourself. When you budget well, you still buy what you want, unlike dieting, but only when you set aside enough money for it. Borrowing money is very expensive in the long run and does not make us wealthy. We invented good and bad debt to justify that we can buy what we cannot afford mostly to make us feel good about ourselves. Once we resolve the self-esteem issue, we will find the strengths and the means to make and to save the money we deserve so we can cash flow anything we want for the rest of our lives. [Read more…]
What is an Intelligent Speculator?
By definition, an act of speculation represents an investment that has a probability to yield profits. This probability capitalizes primarily on market aberrations.
An investor puts money in an asset and hopes to profit overtime. A speculator uses economic distortions to profit from political and economic events associated with these distortions.
Douglas Casey has successfully used economic aberrations to profit and to build sustainable wealth. Mr. Casey embraces risk and associated with it high rewards.
An experienced speculator wants to understand financial trends and deviations. Let’s examine commodities. The commodity market has been bearish for a long time. If we evaluate the precious metal mining business as an investor, we may find that its profit margins are very low. We would probably stay away from investing in it. [Read more…]
So you wanted to become wealthy and you bought bitcoin? You may have made a fortune. Or you may have not. You gambled and you may have lost your investment. Regardless of the outcome, you must decide what you want – a some of money or wealth and financial freedom.
First of all, I’ll go on record to admit that I refuse to gamble. I refuse to buy lottery tickets. I believe luck is continuous work. Are you with me? Yes, I am talking about control over the outcome of your investment.
So you heard that Bitcoin is the next big thing and you need to buy it. Wait, but you have no control over what happens to it on the future. You would, if you designed it. But you didn’t. If you want to guarantee success, you need to invest in what you can control. Typically it is nota stock or another fad as Bitcoin, or another cryptocurrency. It is you. You must invest in yourself and build a business. You can control the outcome of such an investment and build wealth successfully. [Read more…]