Monday, 20 February 2023

Should You Use A Private Wealth Management Broker

If you have a business and all of the struggling and hard work you have been doing to make your business successful, then it's probably a good idea to look into a private wealth management broker. You don't have to be a wealthy business, at the moment, but a financial service may be able to help you extend your potential, maybe even better than you have ever imagined. When searching for an investment broker make sure they are interested in your long-term goals and risk tolerance and understand the nature of your assets. You're looking for a private wealth management broker who will have an interest in developing a long-term asset allocation and works with you to implement an appropriate strategy that will help you meet objectives. Make sure they service each individual client's portfolio on an ongoing basis and evaluate possible adjustments in response to economic changes, market trends or client needs on regular bases. Managing anyone's money and life savings brings both tremendous opportunity and responsibility for individuals, families and family office executives. Addressing issues of generational wealth requires the right partners. When choosing a private wealth management broker one should require a proactive partner with world class capabilities. Choose the financial service that will have comprehensive financial solutions that are designed to help you grow, preserve and manage your wealth.


Many financial services have a specialized division composed of experts from each of their service areas, and are dedicated to providing comprehensive and flexible financial solutions to meet your unique needs. Many services believe of course, they are leaders in these areas. Just make sure they are committed to identifying and rigorously analyzing financial information, strategic issues and trends, both regionally and globally, which affect companies, industries and markets and fundamental changes which may have a meaningful impact on future investment values for you and your family. Distinguished and objective research is critical to serving investing clients in the equity, fixed income, currency and commodities markets worldwide. When searching for a private wealth management broker, you want to make sure you are comfortable with your broker enough to make a type of bond with this person. After all, he or she will be your trusted advisor, and their goal for you should be in building and managing your wealth be their overall objectives in mind.


The private wealth management service you choose should be to provide you with the tools and services necessary to reduce the administrative burdens of managing money that will allow you to focus on what you do best - maximizing trading performance, building your business, and attracting new sources of capital. Do they have programs that can provide you with an opportunity to generate and increase revenues through relatively low risk, well-understood transactions? You and your family face a number of challenges. You're looking for sound investment advice from advisors you feel you can trust. Rather than pre-packaged products, you need access to quality investment solutions founded on your unique situation. And you need help in developing a coordinated financial plan that seeks to address your total wealth picture and changing needs over time.


Secrets To Financial Freedom

Financial freedom, secret of success from investment, real estate, stock market wealth, profit, investment, internet marketing, millionaire, income, security, opportunities, home-based business, money, cash, fortune!!


It has always been mankind dream and desire to seek Freedom - Freedom of thoughts, Freedom of speech, Freedom of belief, and Freedom of expression! Why then not Financial Freedom!


Wikipedia definition - ‘Financial freedom describes a well-planned lifestyle where one no longer is required to work for income to cover their expenses’.


Rich Dad, Poor Dad series and other books on personal finance really got me interested and wondered why school and college didn't teach us how to be financially intelligence. Ultimately, whether all these books have been fictionalized or are real story are debatable. The important point here is that it advocates financial independence through investing, real estate, owning businesses, and other means of money generating and protection tactics.


Most of us are hunger and aspire to achieve financial freedom. When one’s work in an organization without decision making capability. Management will dictate your financial well-being. You will bear the consequence of management failure, within or beyond their control. It could be external macro factors such as - market environment, competition, government policies, act of god... intentionally or unintentionally. You will bear the fruits of management mistake - retrenchment, downsizing, pay cut, and stagnant pay.


What happen next.....? You start to look for another job. Maybe this time round, your lady luck is shining, you manage to secure...wrong words to use, get a job working in a big blue chip company, maybe better, work as a civil servant with an iron rice bowl. In your minds, you must be saying - I have finally made it in life..... !! Do some souls searching - do you really make it? Your income from salary may or may not to be able to support your daily living expense. Or maybe you are one of the million out there still struggling to pay mortgage loan, car loan, credit card, utility and telephone bill... bills that without ending...!


Maybe you are very fortunate, able to find a job that the pay check exceeds your current living expense. Maybe you are one of the fortunate few that earn good income working in the top echelon of an organization. But ask yourself this question - Are you happy? Are you out of the everyday rat race? Are you out of the merciless office politics? Are you out of getting stuck in the daily morning traffic jams that never seem to subside?


It could be true that you like your job. Excellent....! But are you growing your money? Are you using the power of compounding to accumulate wealth so that when there is a day that you finally decided to quit your job, you have a mountain of wealth supporting you? It is only when you have reached that financial stage that you can proudly say, ‘I do what I love to do because I want to!!’


Financial freedom does not simply mean free of debt, debt is another expenses. As long as one passive investment income is able to cover all expenses, one is consider as financial free. This large enough ‘nest egg’ passive investment should also be easily be liquidated if there a need. In simplified term, financial freedom is where one does not need to work for money, but let money works for you!!


"How do you achieve it?" It could be achieved by finding, learning and putting time, effort and money into building something (passive investment) that creates income profitably and consistently, long after you have 'completed the building'. There are many ways to build such money-making machine. It could be investment or trading of stock, forex, future, commodity or whatsoever financial instrument that can generate money. Internet marketing, MLM, business ventures and real estate ownership for rental/capital income are other forms of money-making vehicle.


The biggest obstacle to financial freedom is not everyone has the necessary skills, experience, know-how and money to build it. The key to wealth is to find something that suits one’s ability and build it. The ‘money generating machine’ may be more than one, it could be multiple machines. How big or how many machines you intend to build will greatly depend on one’s desire, capital and risk tolerance level. Everyone is different. The important point is you must be the one in control of those decisions that affect your life!


Your chosen path to financial freedom will also greatly depend on your interest and the amount of money you have. It is true that you need money to generate money, but it is also true that you can create wealth with little money. Many wealthy men and women have proven that if there is a will, there is always a way!!


If you seriously want to achieve financial greatness, you must first eliminate all subconscious blocks you have towards money making. You must finally free your mind to create the wealth that you deserve!!


Scientific Wealth Building Secrets #7 - Diversification

This is a series of articles about studying general scientific ideas to create a wealth building system that works according to the laws of the Universe. These concepts come from observing our environment. Scientists have discovered that the laws of nature follow certain patterns. Some physical laws seem to be present everywhere, from the tiny atoms to the enormous stars.


Everything on the physical realm tends to be influenced by these laws, therefore they can be applied to your businesses too as you will see in just a few minutes. The whole series contain the following articles . . .


1. Entropy


2. Life


3. Multiplication


4. Synergism


5. Inertia


6. Gravity


7. Diversification


Diversification is everywhere in nature. Life is not about one thing. It is about many things. It is as the saying goes ‘variety is the spice of life.’ On this article I will share information with you about diversification and how you can apply this concept to your business.


There is a great deal of diversification in the Universe. Planets are different from each other. The same with stars and galaxies. They differ in shape, size, color, internal structure, etc.


There is a diversified uniformity in the Universe. For example, living things contain carbon as one of their components. A cell is the basic smallest structural unit of life. There are many common similitudes like these among living organisms, but their all differ in size, colour, specie, habitat, life span, physical strength and many other aspects.


The same happens with businesses. If you focus on developing only one product, you may be very successful at it, but most businesses try to market at least a few products. People love to have options. For example all cars have a similar basic structure: a vehicle useful for transportation with four wheels, an engine, a windshield, etc.


What makes an individual choose a car instead of another is the details. Often small details make a big difference. The same happens with the products or services that a business can offer to its clients. When your clients come to you, they may not like a product that you show them just because of its colour. By making small changes and giving people more options you can increase your sales.


Another way to apply diversification to business is to set up multiple streams of income. You can do this by increasing the sources of income within your business. Also you can start new businesses and make different investments. As the saying goes: ‘Don’t put all your eggs in one basket.’ Also ‘diversification is the only free lunch.’


The idea is to not diversify all at once, but rather, one step at a time. If you try to do everything at the same time you may get stuck. A good idea would be to start a business and diversify your streams of income within that business. It could be for example to offer different products and services to your clients, so they have options to choose.


Then, once the business becomes profitable, you can diversify and set up another stream of income and another and another, etc. Investments are a good option too. Many investments allow you to receive passive income, so you don’t have to be constantly working to earn the money.


The idea of diversification is very important. If you put all your efforts into one project only, you are taking a risk. Multiple streams of income are specially good to back up unexpected money problems when they appear out of nowhere. That’s why many wealthy people have different businesses instead of only one.


As you can see, these are just basic examples of how you can apply scientific laws to your businesses and become more profitable. On this article I shared information with you about diversification. You can learn about other physical laws and their applications to wealth building techniques from my other articles.


ROI: How to Calculate Accurately

The phrase "return on investment" (ROI) is thrown around a lot, but do you know what it really means and how to calculate it?


Three ways to calculate ROI:


  • Cash-on-cash If $20,000 is invested and it grows by $10,000, it’s a 50 percent cash-on-cash rate of return, which is great for wealth building.
  • Total amount of investment If you put $20,000 down for a $200,000 mortgage, the growth is happening on the $200,000, not what you originally put in. This is arguably less relevant because the amount made on what was originally put in is more important and helpful.
  • Lost opportunity cost When you’re looking to raise money with another person’s money, you need to demonstrate the loss he could incur if he doesn’t invest. If you have an investment that pays a 20 percent interest and the lender has money in something that only pays 5 percent, you need to show him how much he is losing if he passes up your opportunity.


What the rich do that we don't


The rich develop a wealth building niche that allows them huge rates of return on what they do - real estate, investing in the market, your day-to-day business. Once they make the money, without fail, the wealthiest of the wealthy buy bonds, key bills or some other type of fund that pays a return of three percent to five percent. They want to protect their principle. They only roll the dice in an area of expertise where they can expect a safe return.

Monitoring Your Finances Reveals Priceless Lessons

A most important element for building wealth is to measure it. The people I know that have continually increased their net worth track it in order to direct it and stay motivated to reach ever higher financial goals. Seeing the quantifiable results of your spending and investing decisions is the first step to take control of them. Contrarily, the people I know in the worst financial shape have no idea where there money is spent and are too afraid to know what their net worth might be because it won’t be pretty. Which extreme more closely matches your attitude? As Dr. Deming says, ‘You can’t manage what you don’t measure.’ Think of it: if you were seriously wealthy, you’d spend some time every week managing some aspect of money. Well, if you want to improve your financial condition, a beginner version of a money management and tracking method is required. In addition, the more money you build up, the more financial assets and obligations there are to monitor. If you don’t have your financial tracking in place before you acquire them, I’d bet that you won’t own them for long.


If you don’t see and feel the gains and losses of your financial decisions - you are playing the complicated money-game of life without any scorecard. This is how so many people with decent paying jobs and insurance still get into financial trouble. You need to have navigation reference points to know if you are steering toward building wealth or destroying wealth. It is by monitoring your net worth that you’ll start to uncover the financial impact and consequences of your decisions.


The starting point for financial measuring is a simple statement of net worth (or balance sheet). If you have never heard this term, it is a list of the current market price of everything that you own and what you owe to others. The difference between these two numbers is called your net worth, and this is the number that you want to measure and increase every single month.


As with a business, once you start measuring the financial consequences of your behaviour you can begin making your own personal spending rules. For example, if most of your monthly income is spent at restaurants, try making a rule that you only go out twice a week. If you’re spending too much money on gasoline you need to find several ways to reduce it. Simple insights and subsequent rules like these will help increase your net worth, which will lead to bigger insights and develop into bigger gains.


If you find that you have a lot of debt that is decreasing your net worth, or possibly a negative net worth, then what rules about debt are you going to create for yourself? After you get some money saved, where are you going to put it? How much time are you willing to spend monitoring it? How much effort are you willing to exert to educate yourself about investing? These questions will aid in building your investing rules. Eventually you’ll have rules for spending, saving, employing debt, and investing that will shape your personal plan for you to start moving your net worth in a sharply positive direction. Think about adding a rule to read a new financial book each year. Your financial statements and financial rules can be as simple or sophisticated as you want to make them. If you keep making even baby steps forward, it may become no big deal to have specific rules for retirement planning, tax implications, entity structuring, evaluating investment real estate, checklists for buying mining companies, or selling a company you’ve built.


When you have calculated your first statement of net worth, you start having the ability to plan for purchases and payments. As a simple example, if your auto insurance bill arrives once a year, you can calculate how much money that you need to set aside each month to easily pay it when it arrives. Or if you are getting a new car, you’ll be a lot happier planning for the initial costs before you get squeezed at the end of the month and end up paying a few bills late.


After you get comfortable with a net worth statement, you can move on to an income & expense statement. Then move on to making projections for all of your statements. And creating scenarios such as: How much is a reasonable goal for retirement income for you? How much net worth will you need by when? How are you going to increase your income, increase your savings, increase your investment returns? The answers will be built upon the financial habits, tools and education that you’ll develop, but it can all start with your first net worth statement.