My journey in life as often made
me to ask life most important questions. One of these questions came when I
asked myself why some people rich and others are poor? A lot of people have
come up with different answers to this question but I was never satisfied so I
searched even deeper. Soon I began to understand the core concepts of
wealth growing. I began to realize that wealth is not about heritage, nor
intelligence there were some underlying concepts that help some people to make
the leap and leave others behind.
There are Concepts of growing
wealth such as the concept of sowing and reaping which is more than
agriculture, or science. It is an eternal concept that is tied into growth. There
is also another concept of Multiplication.
These two concepts and more come together to define what is known as
wealth.
At this juncture I will like to
differentiate between wealth and riches.
I define wealth simply
“As a steady growth of productivity in all ramifications.” While riches
as “A state of having excessive resources
than exceeds ones needs.”
These may not be dictionary
definitions, but they contain absolute objective truths that will be unveiled
as you follow my blog. Simplified the definitions, one can say being WEALTHY involves
growth;
A steady rise in income, productivity, revenue or whatever criterion you may want to base productivity on,
Whereas
Being RICH on the other hand, is just a state. Thus, going by this definition one may be rich both not be wealthy while another may be poor but wealthy?
This argument is valid in the
sense that I could have a net-worth of 10 billion dollars but be on a steady
state of decline towards bankruptcy but people will still think I am wealthy whereas,
an individual may have just a 100,thousand dollars and be on a steady rapid rise to
prosperity.
Real life examples
In 2004 thereabouts MarkZuckerberg was just another student at Harvard University with only a couple of
thousand bucks in his account. He was not from a wealthy family yet today at
the time of writing he is the world’s fifth richest man as stated by Forbes.
In the same period Quin a billionaire from UK fell from the state of being rich to bankruptcy. By 2006 one may have
seen these two category sit close together and say Mark is not wealthy (because
he did not have the kind of asset and luxury rich people flaunt at that time)
and point to the other individual and say they are wealthy because of their
luxurious lifestyle but you did be wrong. Because with time the inherent
quality wealth of an entity is made manifest (This is the underlying principle
behind the buying and selling or stocks). The ability to find out which stock
is tomorrow’s Mark Zuckerberg and which will need government Bailout funds.
Without derailing the thought
line I will now cut to the chase.
Investing is that differentiating factor that separates the rich from the poor(using the terms now by their general meaning). It is the act of continuous compounding multiplication of one’s resources at a rate that exceeds one’s needs so that as time unfolds one will sit in a state people know as being rich.
As it stands According to a post
by HuffingPost, 8 people of the world 7 billion population owns half the
wealth of the entire world
Hence comes the questions;
- How can I make the leap?
- What are the sound investing principles I must follow to make the leap?
- How can I break the circle of poverty/debts?
This is what this blog is about
learning the act of investing. Follow me for more tips and join me as we grow
wealth together. I will do my best to
make a new post at least a week but my target is thrice a week. I promise you
that after ten posts your thinking and perception will be greatly improved if
you are a positively thinking individual.
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