Wealth Building?
by Business-Network Homeworker Business.Network.HomeWorkerBuild Wealth Quickly -
3 Simple Asset Allocation,
Wealth-Building Strategies
By [https://EzineArticles.com/expert/Keelan_Cunningham/382257]Keelan CunninghamWho doesn't dream of marching into their
boss' office one day and resigning without
caring about the financial repercussions?
Well,
you can only do so if you have acquired
sufficient assets (wealth) through which you
can generate a future income to replace your
current earned income. By the way, as a rule
of thumb I don't recommend you hand in
your
resignation unless you have at least 1 and
ideally 2 years living expenses put away in
liquid assets. Simply put, to become wealthy
over time you basically need to make, save
and invest money wisely. The smarter you are
at doing this the faster you become wealthy.
Assuming you've read my other articles on
How to Get Rich (the making of and
management of money) then you are ready
to
look at the 3 most common wealth building
strategies of the super wealthy. 1. Investing in Paper Assets (Stocks, Bonds,
Funds, Currency) Investing in "paper assets"
is
a great way to start building wealth. It
teaches
you the principals of money management,
capital, rates of returns, risk etc. You can
invest in stocks, bonds, mutual funds,
commodities, and foreign exchange ("Forex").
Each of these options
presents various levels
of risk and reward and requires thorough
research before you start. You don't
necessarily have to read the Wall Street
Journal daily or subscribe to Fortune
magazine
in order to be a good stock investor. But you
should at least get trained by an expert or
have access to wholly independent financial
advice from an experienced investor. To help you get started, a basic overview of
the paper assets investment landscape goes
like this: There are 2 types of investments;
ownership investments in which you own part
of the asset (a stock is a good example) and
loan investments in which you lend money to
someone and they pay you interest (a bond is
a good example). In many cases, you are
looking for growth investments and those are
ownership-type investments. (Bonds rarely
provide a way to make you wealthy. Rather,
they are a way to protect your wealth once
you have it). Warren Buffett is a great
example of someone who created massive
wealth through investing in paper assets. 2. Investing in Real Estate Real estate is
another great way to
build wealth. With real
estate, you typically buy a property and then
make money through selling it eventually for
a
much higher value than its purchase price
and/or becoming a landlord and letting the
property. One of the advantages of real
estate
investing is using the principle of leverage
(i.e.
a mortgage) to buy an asset that you
otherwise couldn't afford. Leverage isn't
commonly available in paper assets investing
(although you can buy on margin but this can
be risky if you don't know what you're
doing!). Real estate investing can be focused on either
residential, commercial or land. Wealth
building through real estate involves buying
and selling a property - sometimes referred to
as "flipping" or "trading" and often involves
"rehabbing" a property (i.e. fixing it up)- to
give the fastest and best rate of return..
However, landlording is a more standard
approach that requires more time to build
wealth, generating a small income in the
meantime from the rental income after
subtracting all expenses. Want to know how
to
build wealth quickly with real estate? Consider
buying a distressed property using leverage,
fixing it up, and selling it again quickly.
However, watch for market fluctuations in
supply and demand and availability of capital
in order to use this strategy effectively.
Donald
Trump is a great example of someone who
created massive wealth through real estate
investing. 3. Starting, or Owning a Business Starting, or
owning a business is another common
wealth-
building strategy. Starting a business doesn't
always make you really wealthy right away. It
takes time and energy to build the income of
a
business and its capital value, but it can make
you wealthy over time if managed effectively.
Therefore, if you have previous experience of
running a business it can sometime makes
more sense to buy an existing business and
simply run it better. Want to know how to
build wealth starting or owning a business?
Find something that you love to do and that
solves the needs of a target market. Then sell
that product or service through relentless
marketing and sales. Create efficient systems
to sell more, more often. And work towards
growing the value of your business by making
it less dependent on you so that you can
eventually sell it to a new owner. Bill Gates is
a great example of someone who created
serious wealth by starting a business. Whatever way you chose to start building
wealth, always remember those words from
the mouth of antihero Gordon Gecko in the
movie Wall Street..."Money never sleeps pal".
Different asset class values will shift in time
(daily/monthly/annually) and according to
market cycles. It's also a good idea to
scrutinize your assets and then take steps to
re-balance your portfolio periodically. You also
need to match risk to what stage you are in
life. So, want to know how to build wealth
quickly? It's simple: Take your hard-earned
money, save as much as you can as you go
and then choose a strategy (from above) and
consistently, month by month, year by year,
apply yourself to these wealth building
strategies. Remember, building wealth doesn't happen
overnight. But with education, time, diligence,
research and hard work, you can go from
wondering how to build wealth to actually
becoming wealthy and enjoying your millions!
Mastering wealth building will ensure that
money you earn isn't flitted away carelessly
and that you get to secure your financial
independence! Discover how to build wealth
using simple, effective wealth building
strategies in real estate, the stock market,
business, the Internet etc. Sign up now for
Millionaire Mindset Secrets for FREE, you'll get
instant access to insider secrets on "How to
Build Wealth!" Click here now:
Gordon Gecko in the movie Wall Street...
"Money never sleeps"
Real estate investing can be focused on either
residential, commercial or land.
education, time, diligence, research and hard
work,
2 types of investments; ownership
investments in which you own part of the
asset (a stock is a good example) and loan
investments in which you lend money to
someone and they pay you interest (a bond is
a good example).
In many cases, you are looking for growth
investments and those are ownership-type
investments.
(Bonds rarely provide a way to make you
wealthy. Rather, they are a way to protect
your wealth once you have it).
Warren Buffett is a great example of someone
who created massive wealth through
investing in paper assets.
Simply put, to become wealthy over time you
basically need to make, save and invest
money wisely. The smarter you are at doing
this the faster you become wealthy.
Assuming you've read my other articles on
How to Get Rich (the making of and
management of money)
then you are ready to look at the 3 most
common wealth building strategies of the
super wealthy.
Article Source: [http://EzineArticles.com/?Build-Wealth-Quickly---3-Simple-Asset-Allocation,-Wealth-Building-Strategies&id=3705269]
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Created on Sep 18th 2021 07:58. Viewed 488 times.
Comments
MomsBLOGS WORKatHOME MOMS.blog.
Simply put, to become wealthy over time you basically need to make, save and invest money wisely. The smarter you are at doing this the faster you become wealthy. Article Source: [EzineArticles.com/?Build-Wealth-Quickly---3-Simple-Asset-Allocation,-Wealth-Building-Strategies&id=3705269] Sep 26th 2021 10:06 Edited in Sep 29th 2021 04:23 |
Awesome POWER Duplication VIRTUAL Employment INDUSTRY
Each of these options presents various levels of risk and reward and requires thorough research before you start. Sep 26th 2021 10:33 1 Likes |
Real estate investing can be focused on either
residential, commercial or land...
#super wealthy
#wealth building strategy
#residential commercial or land
management of money
#how to get rich fast
#the smarter you are
#you become wealthy
#become wealthy over time
#investing in paper assets
#create massive wealth
______________________
in the movie Wall Street...
"Money never sleeps"
Sep 18th 2021 08:07 1 Likes