“My wealth isn’t growing. What should I do?” This is a common question I get asked by my students at Baruch College and Invest Diva. You’ve got some money saved in the bank and are wondering what is the best way to grow it. Here I’ll explain what I personally do to grow my wealth.
First let’s be clear about one thing. Growing your wealth is different than generating income and getting paid by the hour.
Also, here we are not going to talk about saving tips. No one ever became a millionaire just by saving. We are not saying that saving is not good. In fact, saving is great. And if you are not saving already, well you should. There are a ton of articles and books out there that can give you great ideas about how to save and remain on budget. But I wouldn’t consider saving (alone) a real factor in growing my wealth.
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How I Grow My Wealth
I believe no one can manage your money better than you. That is why here I’m not going to tell you what you should do. I’ll give you examples of what I do to grow my wealth, including some of the steps I share in our premium closed investing group. You can take these examples and apply them to your own financial situation and life.
1- I focus on growing my wealth – NOT getting rich: You may ask, “what is the difference between wealthy and rich?” We call it “wealth”, when money works for YOU. That is when you don’t sell your time. You don’t get paid by the hour. You diversify your assets in places where they keep on generating money, with limited amount of time spent.
On the other hand, we call it “rich”, when you work hard for your money, and get paid by the hour. A wealthy person is also rich. But a rich person can’t become wealthy unless he/she puts that money to work.
My Wealth Growth – Wealthy vs Rich vs Poor
Finally, we define poor as someone who prays and hopes to get by. It all comes down to taking action people! Even if your prayers are answered and you win the lottery, you can very easily lose ALL that money if you don’t put it to work. This is something that we see happen a lot to lottery winners actually.
2- I have published many books which get sold internationally: This is one method of generating wealth, as opposed to getting rich. I invested the time to write the books once. But now they continue to add on to my wealth with limited moderation on my end. It is likely that my books will continue creating wealth even after I die.
3- I invest in diversified portfolios including stocks, ETFs and Forex: This is very different than day trading, which is basically the recipe to LOSE my wealth! What I do (and teach Invest Diva students to do as well) is that I set aside a period of time during which I analyze the markets and identify investing opportunities based on my risk-tolerance. Then, based on the IDDA approach to strategy development, I set limit orders to buy or sell in medium to long-term time frames. This way, I don’t have to stick my nose to my trading platform all day, hoping to make money. The markets will inevitably move, and my limit orders will execute sooner or later. Again, I grow my wealth without selling a lot of my time.
4- I invest in myself and my education: This part is really fun, because you can never learn enough. I have two degrees in electrical engineering. I speak English, Japanese and Persian fluently. I teach wealth management at universities in New York. I have online courses to teach investing internationally. However I still spend a fair bit of my wealth in continuing education. And every time I have invested in myself, the returns on my wealth have been extraordinary.
Now let’s get back to you. When do you think is the best time to start growing your wealth?
The answer is [drum rolls pleas]… NOW. One way to start, is of course, joining the thousands who learn how to grow their wealth with us.