Hey
welcome back!
The world we live is two world. one is world of poor and second id world of rich. Day by day rich gets richer and poor gets poorer and this is not only happening in today's times its historically happening and will continue in future as well.
Let me tell you second thing, I just shown the fidelity survey of the year 2017, in that survey there was very surprising fact was mentioned. The fact was, 88% of millionaires are those people who are self made. These 88% are those people who has escaped the poverty and become millionaires (see the video for screen shot).
Now the above 2 statements are contradictory. in the 1st part I said the rich gets richer and in 2nd part I shown you the survey that shown that any person can escape poverty and become rich and most of the people are those who was poor and then has made fortunes.
So have you ever imagined why this thing happens?
Haven't imagined yet! no worries. don't indulge your mind in thought process now. I am telling you the answer in the simplest words.
See, in this world, the person who has more money is called rich and money is made in just 3 ways.
1. Earn.
2. Save.
3. Invest.
And if you want to become rich then you must be good at this 3 things.
Now let's me explain you one by one how you can escape poverty and become rich. I will start it from basics so that everyone can become rich in reality.
1) Earn:
1st of all, to become rich, all you need to is money and right now you are not having money. No worries. You can earn money doing job. Get a suitable job part time or full time job and start earning money. The whole world is doing the same, More than 90 to 95% of total population is doing the same 9 to 5 job to earn money and you have to start doing it. And with the time become expert in your job this way you will be able to get salary hikes and you will be having more money. Means start doing job and start learning, sharpen your skills and this way you will grow. But there is one small problem here, irrespective of expertise you have, you will be having just 24 hours a day to work and if you keep working 24 hours out of 24 hours till then you won't be able make money above certain limits. This is called the time limitations. And hence you have to be stay more focused on saving money then earning money and exactly this is our second point. How to save money.
2) Save:
It is always more important to save money than earn money because "A Penny saved is Dollar is Earned". Remember, You have to make efforts to earn money every day, every time and once you saved money it is your money forever. it is just a one time effort and then it will be always work for you. So if you give 100% importance to earn money then you have to give 200% importance. Stop the nonsense expenses and start saving money. And there are fix rules on how to save money and we will learn that too in upcoming videos.
3. Invest
Now, let's continue discussion, the money that you saved is not invested properly then its a waste. And hence, you have to learn investing.
1st of all, let's see the instrument where you can invest your money.
Piggy Bank,
Banks saving account,
Banks Fixed Deposits,
Postal Savings Schemes,
Sukanya Samrudhi Schemes,
The above are less risky investment instruments and hence it won't be making you rich because its not able to beat the inflation rate. Inflation rate is at 6% annually and hence by the time your 100 rupee invested turn out to be 106, the product that you can by this 100 rupee a year earlier will not cost you 106. Means all your investing efforts have gone waste.
And hence you have to take risk, Calculated risk. Always remember one thing, without taking risk you have already lost the game, and if you are ready to take little calculated risk then you can win this game because the higher the risk the higher the return and with the proper knowledge you can lower the risk element. And we are doing the same in our "Smart Mutual Fund SIP".
https://sipwealthcreator.blogspot.com/search/label/Smart%20Mutual%20Funds%20SIP
Now we are talking about risky investments then it includes Investing into Gold and Silver, Currency, Real Estate, Stock market and commodities. Out of these investment instruments I personally invest in stock market directly and/or via mutual funds and hence in upcoming articles we will learn how to invest in stock market, how to invest in mutual funds. In upcoming videos we will learn in depth about how to invest in a way that we will easily out perform inflation and grow money.
Till then,
Happy Investing and Have fun.
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