The Five Laws to Wealth Creation

There are some laws to wealth creation which are just what they are, proven laws. And if you follow them you will realize wealth. Understand however, that wealth is many different things to many different people. Most people hear wealth and automatically think of someone like Oprah Winfrey, Warren Buffett or Bill Gates. True, these individuals are mega wealthy, but that does not mean that their status is true wealth to everyone. You need to determine what it looks like to you for yourself in your own life.

Over my career in the financial industry I have come across many diverse and unique people. And just as diverse as one individual is from the other, so will be his or her strategy to wealth creation. Not everyone wants to be rich or overly wealthy but there is always one common thread; everyone wants to be financially free, happy and secure.

Here are The Five Laws to Wealth Creation.

1. Set Goals

Setting goals creates your personal roadmap. Start with the end in mind and work in reverse. If you need help with this consider working with a financial advisor for the answers to the following questions but always remember that you’re the boss. Ultimately all decisions are yours to make.

Where am I today financially? – Where do I want or need to be? – What strategies will I use to get there?

2. Reduce & Eliminate Debt

Many years ago a CFP and colleague of mine said this, “Trying to create wealth while having debt is like walking with cement blocks on your feet.” Debt is just that; cement blocks on your feet or a 50 ton boulder on your back. Imagine that you are wanting to create wealth for yourself and your family but you have a mountain of debt to get rid of… have you really created anything at all? If you’re truly committed to creating wealth you must get rid of all your “bad” debt.

3. Pay Yourself First

It is an ancient Babylonian theory that ’10 percent of all I make is mine to keep’. George S. Clason wrote what I consider to be a phenomenal book called, “The Richest Man in Babylon” and I encourage you to pick it up. This is the oldest and most proven law to creating wealth. Most of society is conditioned to paying “others” first like the telephone company, the gas and Electricity Company or the bank. I’m not suggesting that you do not be responsible and meet your obligations however, what I am suggesting is that as important as these expenses are, you must place your financial future above them. Understand that this is a process and you will not achieve this overnight. The thing to keep in mind however, is how much you earn is not what matters most, but instead how much you keep.

4. Buy. Hold. And Prosper.

Within financial circles it is advised to invest a portion of your income in something for example, real estate, businesses, precious metals, or stocks. I am not a fan of any paper derivatives so I won’t speak to the context. Solid, long-term assets are in my opinion the best to protect your money and future buying power. You may not be a savvy investor today and that’s okay because first you need to create the positive habits that put you in a position of choice. Once these laws become a part of your psyche then you can consider the various options available to you and begin creating your long-term wealth preservation process.

5. Remain Diligent and Stay Committed.

Along the way you will invariably be challenged by circumstances, life events, and just “stuff”. At times it may be difficult to look at your situation and see an eventual end. But stay the course and be diligent with the strategy that you’ve created. You may have to make small adjustments along the way and that is okay, just keep moving forward in the direction of the goals that you originally set out to achieve.

Career Opportunities In Finance

A career in finance sector or any form of engineering career that is common across various industries, have always appealed to and attracted people who are looking for the best opportunities in life. Energetic and ambitious individuals have always been motivated to excel in a career in finance sector or engineering career given the high prospects and lucrative opportunities in these fields. Although the world was in a financial turmoil just a few months ago, there have been a number of changes made and lessons learnt. Globally, today, there has been streamlining and accountability in almost every financial organisation leading to a spurt in a career in finance sector.
Due to the various technological progresses, financial markets across the globe are getting tightly integrated and complex as well as seamlessly fluid. Hence it is important that market professionals who want to have a booming engineering career or career in finance sector must be duly equipped with the expertise of various market processes and knowledge of the numerous areas within the market. Having a broader understanding of the changes that have been seen in financial markets and the activities that are transacted in it, a career in finance sector or engineering career is much different than it was a few decades ago. In the financial market alone, the introduction of derivatives has changed market dynamics like never before. In proper hands, derivatives are highly efficient and can bring about great benefits for those who know the deal and it effectively.

At the moment, the stock market in India is on a roll and it makes great sense to launch a career in finance sector or engineering career as India is globally becoming one of the most ideal destinations for foreign investment. The trend of mergers and streamlining has become a daily pattern rather than a special case. Financial services providers today are outdoing one another in providing the best service to their clients, in order to gain a competitive edge in the marketplace and also to differentiate their services over their contenders. It is important that an individual seeking a career in finance sector or an engineering career must be highly geared in keeping up with the times and well versed in numerous technological advancements as they keep happening in these areas. With the introduction of the Internet as a convenient medium for service providers to reach out to their customers, trading technologies on the Internet has changed rapidly and so has the business environment. With the launch of online trading platforms, a career in finance sector has expanded broadly to incorporate a large number of functions that were earlier non-existent. With the immense opportunities in banking and engineering, a career in finance sector or engineering career, today, is highly attractive for young people who are willing to learn and climb up the ladder quickly.