A Guaranteed Good Investment
When most people think about investing, they think about the stock market. The stock market is the glamorous way to invest. Mr. Market makes headlines. We hear stories about people getting rich on IPOs or cashing in on a biotech company who’s stock went bonkers after the latest FDA approval. The overnight rags to riches stories grab our attention. It’s exciting and we want in on the action.
When it comes to your personal wealth, success will largely depend on investing, but not that type of investing. As it relates to growing your financial assets, smart investing is important, but incredibly boring! Success on this level only plays out over the long term and requires patience and conviction. If you want excitement, take some funny money, buy stocks, go to Vegas or play daily fantasy sports. Although all those activities can be profitable, the biggest return you should expect from those investments is “fun”.
What about other types of investing though? What if I told you I knew of a great investment that will be really exciting and is guaranteed to deliver a huge payout for the rest of your life. Not only do you know a lot about this investment already, but you’re an insider and can control how the business operates. Sound like something you’d be interested in? Good.
The most valuable investment you will ever make is…
The chart below comes from Doug McCormick’s recent book Family Inc.. It shows that most people’s biggest asset has nothing to do with their portfolio, and everything to do with their brain.
Far too often the stock market is what comes to mind when we think about growing our wealth and building our nest egg. Good investing is a part of the process, but a small part that plays out over decades. Beyond setting your asset allocation and picking a strategy, you have no influence over how market investments will perform so don’t waste too much time concerning yourself with them.
Invest in you. Educate yourself, improve your skills and save along the way. Getting to where you want to be involves so much more than stock/bond allocations. You’re not good at picking stocks or guessing what the market will do. You’re great at being you. You’re an insider in company Me and have the ability to deliver guaranteed returns. So do it.
Blue Horseshoe loves you…