Monday, March 10, 2008

Has School Really Taught You What You Need To KNOW?

Here at Investment Realty we deal with a lot of clients that are doing the best they know how, to get ahead in terms of their financial position. They are looking for more avenues in which to increase their wealth.

Because we help our clients with their wealth strategy .... we have come to notice a couple of things. That despite their degree's, qualifications or pieces of paper that they may have accumulated over time from various institutions that this does not mean they know how to accumulate wealth.

In fact I would go as far to say ... that school does not teach you anything about how to accumulate wealth or achieve financial freedom.

Don't believe me? Well heres some proof. Here is a list of Self made Billionaires That Dropped Out Of School.

But really think about it for a moment. Because i think a lot of us, go through primary school, high school and university without even thinking about any of this stuff. Yes we go study business studies but this doesn't mean that at the end of the course that we will know how to run a successful business.

Far from it.

Why do you think that more 90% of business within the first year fail? It's not because the people didn't have a degree in business or what not. It is perhaps because they were not taught the real skills of what it like to run a real and successful business.

Let me give you a little analogy. Its kind of like reading up on how to eat a cake and actually eating that cake. Its like reading a book on how to swim and actually swimming.

In case you guys didn't notice there is a difference between the two. One is theoretical and the other is practical. Schools and university and the majority of courses are purely theoretical.

Here is a thought.
If you were a sole trader and you had a customer service position open.You had the choice between two candidates one that was fresh out of university with all the appropriate qualifications for the role. Or one without a university degree but with 5 years customer service experience.

Which one would you choose?
It makes common sense right? That you would pick the one with more experience .. well i know i would anyways. So what am i trying to get out? Well all i am saying that it is time for us to start looking outside the boxes of our own limited thinking. The answers that we are looking for are out there ... but in a place that we assume that they are not. Its like to open out minds and be open to ideas and concepts rather than rejecting them.

From what i have experienced so far ... the one major difference between those that make it in life and those that do not ... is not how many qualifications they have or have not got. But rather there ability to apply certain ideas and ways of thinking into their life to get successful results. There ability to think outside the box. N their ability to think beyond what the schools teaches us.

But thats what i have to say. what do you guys think. Do you think that school adequately prepares us for life? Or does school just make us a good employees Just great and well behaved cogs in a wheel?

Let me know your thoughts,

Young Investor

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Friday, March 7, 2008

Without Love - There Is No Money

You guys must be thinking ... what is she on about?! What do i mean when i say "Without love - There is no money"

Well let me tell you....

I'm talking about passion. I'm talking about burning desire. I'm talking about heart. Stop doing what makes others happy and start doing things that make you happy. Stop living by someone else's expectations and start living by your own.

Ever heard the term "Do what you love and the money will follow"? Well thats what I based this post on. I really believe that each and every one of us was put on this earth to contribute something. Maybe its something grand. Maybe its something small. But whatever reason why we are here, its because there is a grander purpose.

Not only do we owe it to ourselves to follow our passion ... we owe it to the world.

What would the world be like if Oprah didn't pursue her dreams? What would the world be like, if Bill Gates didn't pursue his vision and passion for his business? What would the world be like if Anthony Robbins let the best of them get to him? I can tell you, that the world would not be the same today, if these people didn't take the opportunity to step up and express themselves and pursue those things that they hold close to their heart.

So how does this relate to investing? How does this relate to making money? Here's the thing. When you find a passion for what you do. It no longer becomes like work. It becomes something that you want to spend time on. If you are passionate about something, people will also believe in the beauty of your dreams. Its infectious. Its exponential! If you are passionate something, you help build that belief inside yourself. And it is that belief that will propel you to move forward.

So when it comes to investing. Find something that captures your interest. That you understand. That you are comfortable with. When it comes to your career. Do do something that fills that burning desire in you. Do something that you can leave as a present to the rest of the world. Not only does that help riches come your way, but it also leads you to a happier and more fulfilled life.

With that said. I'm going to leave you with this very famous quote by
Nelson Mandela. I believe in this quote, he states the greatest truth of all.

"Our deepest fear is not that we are inadequate. Our deepest fear is that we are powerful beyond measure. It is our light, not our darkness, that frightens us most. We ask ourselves, 'Who am I to be brilliant, gorgeous, talented, and famous?' Actually, who are you not to be?

You are a child of God.
Your playing small does not serve the world. There is nothing enlightened about shrinking so that people won't feel insecure around you. We were born to make manifest the glory of God that is within us. It's not just in some of us; it's in all of us. And when we let our own light shine, we unconsciously give other people permission to do the same. As we are liberated from our own fear, our presence automatically liberates others."

Nelson Mandela-1994-Inaugural speech excerpt by Marianne Williamson

Young Investor

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Its Not How Much Money You Earn - Its What You Do With It

How many times have we heard it? Young studs who all of a sudden come into money. It's even happened to the best of us. Anthony Robbins. Will Smith. A lot of the movie stars go through it. A lot of entrepreneurs go through it.

What am I talking about exactly? Well more specifically I'm talking about self sabotage. And more specifically I'm talking about getting back to the basics when it comes to managing your money.

Anyone heard the saying, the more money you earn the more you spend? This is especially evident in the scenarios where your average Joe wins the lotto and then you check back on him 5 years later and he is in even bigger debt than he was before. Just with nicer shoes and a better haircut.

But why does this happen? Well let me share with you another famous saying. "Its not how much money you earn, its what you do with it" A lot of people are in the financial situation they are in right now because of the way they manage their money. This is tied deeply with spending more money than you can earn, and not putting money aside to invest it.

In terms of Anthony Robbins, well let me tell you a little bit about his story. He came into a lot of money when he was quite young. Doing speaking and seminars. This was such a contrast from the life that he came from, which was poverty riddled. He came across two problems when this happened. Firstly he still had all his old friends around him, and they would cut him down because he wasn't like them anymore. N because of this he self sabotaged himself and gave all his money away or spent it like there was no tomorrow which resulted in him begin in a worse position than when he started.

What is the lesson in this? Firstly that if you want to attract wealth and money into your life then you are going to have to have the mindset to be able to keep it. Secondly as part of that you are going to have to go back to the fundamentals. Like paying yourself first. Buying luxuries on a reward basis. Consistently investing a proportion of your money. And the more you build on creating an abundant and wealthy mindset the easier this becomes.

With that in mind, remember that money does not equal happiness. Money will not make you feel more fulfilled. Money will not make you feel more loved. These are all thing that you must find within yourself first before you can really understand the benefits and lifestyle that money will bring.

Young Investor

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Monday, February 18, 2008

Why Keeping An Open Mind - Could Make You Millions

The one thing that i love about Robert Kiyosaki's book Rich Dad Poor Dad is that he teaches some fundamental ways in which to build wealth in the future. He distinguishes between good and bad debt and shows you how you can really leverage your money. Despite this he receives a lot of criticism for his work which at times i find upsetting.

I think that while we are growing up we are taught so many things about being able to control our financial future that don't serve us at all. All it does it put us back into the pack of about 90% of people who will retire on the pension. This is especially evident in Australia.

It is here that dreams are given up, expectations of a full an rich life are downgraded, because someone wasn't prepared to set outside their comfort zone and search for something better. What upsets me the most however is those that have a closed mind to new ideas and concepts. If there is any way of killing success, its to think that you know it all ...

In this blog post by the Simple Dollar

The author gives a new perspective on the teaching of Robert Kiyosaki. This wasn't necessarily positive. He did call it a bad book but shared that he actually did learn a lot from it. He also receive a number of negative comments on that post in regards to his teaching as well. Many of them called Kiyosaki a fraud, made all his money through his seminars rather than through property and that he has no real value to add.

In my response to what has been said, i uncover why ... it is that .. opening your mind could fill your life with abundance rather than lack.

The fact of the matter is that Rich Dad Poor Dad has probably created a lot of wealthy people out there. People who lives have been transformed because they have been able to keep and open mind and implement some new strategies that may have been out of their comfort zone.

Thats the thing with investing. You have to be able to keep an open mind to what is available out there. Ok thats fine if you don’t entirely agree with one author. Fine don’t use his strategies. But if you are finding that every book you read you have a negative view on .. then maybe there is something internal like (mindset) that may be holding you back.

I think one of the things that will hold anyone down is a closed mind. I even thing that its better to have an open mind, to try certain things out .. and hey if it doesn’t work out then as least you learned something from it … But if you didn’t do anything at all .. well you will just be in the same financial position in 20 years time ….

Young Investor

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Thursday, February 14, 2008

What Do I Need To Know About Investing? - Getting The Right Education

The Simple Dollar is a blog that I love! I came across it recently and have found it very fun, interesting and enlightening to read in regards to basic investing and mindset. I would definitely regard it as one of my inspirations for this blog. Their latest posts called

Investing In Yourself - Education and Cultural Literacy

Got me thinking. As the name suggests "Investing In Yourself" is a term that not everyone is familiar with. Yet I believe it be one of the most important things in your journey to wealth. A lot of people are willing to invest in a car, in a house, in something tangible, but rarely do they place as much value on investing the time and money on themselves.

One of the points covered in this post was Education. I wanted to expand further on that. To me there are two types of main education that one would need to start creating some serious wealth and to start taking control of their financial future.

Education For Your Mindset

Our thoughts and beliefs on money, time and investing will influence our financial incomes dramatically. Limiting beliefs have enormous power in what we believe we can achieve and whether or we think that we are worthy of abundance. A lot of people will be stuck in a certain financial place because there are certain things that are holding them back. Some of these limiting beliefs can go as deeply as " If I have money then i will not be loved" or "Money is for the rich and selfish" or "I am undeserving of money".

Becoming aware of what these beliefs are can be incredibly powerful and sometimes the one key you need to take you to the next level. The only reason why people are in the financial situation they are today is because their past thoughts have lead them to where they are now. Changing those thoughts, leads to a change in actions, leads to a change in habits which leads to a change in their financial destiny.

So to change these limiting beliefs one must first invest in themselves by reading books and attending seminars. There are a number of courses that are designed to uncover these beliefs and help you gain new attitudes and insights. In my post Before you start investing you have to read this, I cover some of the books that really help you set up an abundance mentality. The ironic thing is that some of these invaluable books are free!!! So heres the thing, you already have the tools to help you get started to investing better. Now you need to focus on keeping an open mind and absorbing all these new concepts and techniques that could help you out in the future and not only investing the money ... but also the time.

Education For Investing
Once you have been able to change your limiting beliefs about money and you are ready to start accepting it into your life then you can look at seminars and course and books that will give you strategies to achieve your overall game plan. You need to discover which tactics you want to use to get to where you want to go. There are number of course and organizations that are out there that can help you in this area. Some of them will not be cheap. Some may cost up to $10000 plus.

But you see if you attend these course and implement some of the techniques that they may teach you could save yourself hundreds of thousands of dollar by investing in the right vehicles in the right place. Or they could teach you something that could save you that amount of TIME and MONEY in the future. People who go to these seminars are very smart. In that they recognize that there is still things out there that they need to learn instead of assuming that they know everything.

Another part in getting education for investing is to find the right organizations and mentors to partner with. There are people that really take you by the hand, that guide you the right place to go and that give you the inspiration to keep pushing forward. It’s always best to remember however to get advice from the right places, from people that you feel are qualified to offer you advice. Not in the sense in that they have the paper qualifications, in a sense that is important too, but more in the sense that have the financial stability that you are looking for.

In other words if you want to find a mentor then, find someone who has accumulated the amount of asset and wealth base that you are looking to accumulate or more ....

Young Investor

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Wednesday, February 13, 2008

One Thing That You Can Do NOW - To Improve Your Financial Future

When it comes to investing heaps of people get scared. Especially the ones that have never done anything like this before. In many ways you have to step outside your comfort zone. N well we all know that this is a little ... uncomfortable.

Investing has a lot to do with discipline, mindset and with patience. There should be very little emotion involved when investing. Heres the thing, investing is a boring thing! It’s about building your wealth over a period of time. It’s about buying investment properties and being able to sit on them for the next 20 plus years so that you can enjoy the benefits later. It’s all about delayed gratification.

Now since I'm young, I don't know about certain concepts in depth, but I do understand the how the basic and fundamental principles work. I have talked to the people, gone to the seminars and read the books. And when you start hearing the same things over and over again, well then I think there is some value in what they all have to say.

One thing that I have heard over and over again is that time is your friend. So you should use it. I am lucky that I am young and have plenty of time to get started with investing and also to make plenty of mistakes. But everyone has plenty of time relatively speaking. Meaning to say that you would be in a better position today had you started investing 2 years beforehand. Just like in two years from now you will be in a better position if you start investing today. It’s never too late! Lets not forgot the good old Kernel Sanders who started his empire at the ripe age of 65!

One of the seminars that I have attended recently the speaker asked, when is it a good day to invest?? And his answer was YESTERDAY! So technically doesn't that mean that you are already behind? What I'm trying to say that its best to get started TODAY, right now! Because essentially the money you are investing today will be worth hundreds of thousands in the future ...

Young Investor

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Tuesday, February 12, 2008

How You Can Beat 97% Of The Pack - Goal Setting

Goal Setting is the first step in getting ready you ready to invest. Its not only good to know where you are headed but also where your current position is. That way you know what your starting point is and can stay on track.

Its best to have short, medium and long term goals with where you see yourself in a year's time, in 5 years time and in 10 years plus. Some of the shorter term goals, could be to accumulate a certain amount of money to out down for a deposit, while in the medium term, it could be investing that lump sum of money into a 5 year managed fund and a long term goal could be to obtain a certain number of properties within a given amount of time.

Writing down your goals and really clarifying what you wants, makes the process much easier to work back from and also increases your chances of you obtaining that goal significantly. Having goals keeps you on track and helps you overcome obstacles. This is true because you can focus more on the outcome rather than the process when things get tough.

The importance of goal setting is often demonstrated in the study done at Yale University which placed goal setters firmly in the successful category when compared to non-goal-setters. The 3% of the participants who had written their goals with a plan and took consistent action were happier, more confident and better adjusted. They also earned more money over that 20-year period than the 97% of the other participants.

So with that said, understand the power of goal setting it and make it the first step in your journey to wealth.


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