An existential question – How do I become wealthy? There are many ways to answer this question however the essence remains the same every time. In this blog I will try to summarize this in using a simple system that anyone one can use and increase their chances of becoming wealthy.
- Start Early – Start Investing Now!!! Not next week, Not next month, Not next year. Do it now. The magic of compounding will do wonders for you if you start investing early. You can only do this by spending less than what you earn by focusing on what is needed and weaning out the lifestyle “requirements”. This would mean that you need to track where you are spending your money.
- Increase your Savings – as your income increases year on year, make sure that you are increasing the savings also with the similar or higher pace. In order to make sure that the income is increasing – invest in yourself so that you are valued more in the economy.
- Invest Wisely – Invest in products that you can understand and aligned to your risk appetite. Make sure that your investments are making returns for you which are more than the inflation.
- Stay Invested – There will be lots of world and local events which will either make you fearful or greedy at different points of time. Unfortunately we become greedy at the top of the curve and we buy into the market whereas we are fearful at the bottom and sell in the market – essentially buying high and selling low.
As you go through your journey of creating wealth, keep a track of this simple system and you are bound to be successful.
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