Thank you a lot brother, your answers as always are fantastic lolSavitar said:My suggestion for your parents is to invest time first into learning about different assets (be it real estate, stocks, options or futures, cryptos etc) If they do, it is possible to make money wether the market is going up or down.
Also a defined goal is needed. What is the purpose of their investing?
Is their goal to increase their net worth (Capital Gains)
Or to increase their monthly income? (Cash Flow)
Or maybe they want to secure their savings and protect it from devaluation (Hedge)
Each asset has their own advantage.
To give an example:
The advantage of stocks and other paper assets is liquidity: You can buy or sell them in a matter of hours or even mintues (seconds on the Forex Market) you can start with low capital. And can practice without risk (Paper Account)
The disadvantage is the lack of control: The company makes a huge mistake and the stock prices are dropping - you have no control of the investment unless you’re one of the major share holders. The only thing you can do is to prepare, secure the investment with options and sell the stock if you need to. Thats it.
The advantage of Real Estate is that the control is in your hands. You make the decisions, you make the contracts etc. Plus you can get cash flow out of it regardless of market conditions. Smart renovations (Solar Panels for example) can keep the value high even during a Bear Market.
The disadvantage: higher amount of capital needed, loans, etc. If you buy a house, and want out of the deal, you may have to wait for months until you’re able to sell it. There is no free and risk free way of trying yourself out.
Each and every asset can benefit you if you know them enough and use it in a planned systematic, strategic manner. There are different techniques to investing (day trading, swing trading, price action trading, vertical spreads, calendar spreads, selling covered calls, carry trading building a dividend portfolio, fix and flip, renting out, lease options) Each method has their benefits as well, but not all of them are appropriate for everyone and for all goals.
Start with creating a financial plan for security (What is the monthly financial need in the present what will it be in the future?, how to secure the sources of income needed for this minimal amount of income?)
After that create a financial plan for a higher standard of living (how to increase income to finance a healthier, more comfortable and altogether better lifestyle)
The third plan is a plan is to generate vast amounts of wealth and become rich. (This requires time, effort, learning, and also a team: help from financial and legal advisors advisors.)
As a final note the main risk in investing lies in the lack of knowledge, lack of information and the lack of control.
1.Control over the legal form (form of business), the type of income (portfolio or passive) and timing (when to buy or sell)
2.Control over contracts (terms and conditions)
3. control over the ratio of income/expenses, ratio of assets and liabilities.
4. Control of taxes
5. Control of information
6. Control over the investment (be it a small house, a portfolio, or a business)
7. most importantly :control over yourself (managing the emotions of fear and greed)
Having all of the above means that risk is virtually eliminated regardless of market comditions. Lacking them means risk is potentially unlimited - regardless of market conditions.
Savitar said:My suggestion for your parents is to invest time first into learning about different assets (be it real estate, stocks, options or futures, cryptos etc) If they do, it is possible to make money wether the market is going up or down.
Also a defined goal is needed. What is the purpose of their investing?
Is their goal to increase their net worth (Capital Gains)
Or to increase their monthly income? (Cash Flow)
Or maybe they want to secure their savings and protect it from devaluation (Hedge)
Each asset has their own advantage.
To give an example:
The advantage of stocks and other paper assets is liquidity: You can buy or sell them in a matter of hours or even mintues (seconds on the Forex Market) you can start with low capital. And can practice without risk (Paper Account)
The disadvantage is the lack of control: The company makes a huge mistake and the stock prices are dropping - you have no control of the investment unless you’re one of the major share holders. The only thing you can do is to prepare, secure the investment with options and sell the stock if you need to. Thats it.
The advantage of Real Estate is that the control is in your hands. You make the decisions, you make the contracts etc. Plus you can get cash flow out of it regardless of market conditions. Smart renovations (Solar Panels for example) can keep the value high even during a Bear Market.
The disadvantage: higher amount of capital needed, loans, etc. If you buy a house, and want out of the deal, you may have to wait for months until you’re able to sell it. There is no free and risk free way of trying yourself out.
Each and every asset can benefit you if you know them enough and use it in a planned systematic, strategic manner. There are different techniques to investing (day trading, swing trading, price action trading, vertical spreads, calendar spreads, selling covered calls, carry trading building a dividend portfolio, fix and flip, renting out, lease options) Each method has their benefits as well, but not all of them are appropriate for everyone and for all goals.
Start with creating a financial plan for security (What is the monthly financial need in the present what will it be in the future?, how to secure the sources of income needed for this minimal amount of income?)
After that create a financial plan for a higher standard of living (how to increase income to finance a healthier, more comfortable and altogether better lifestyle)
The third plan is a plan is to generate vast amounts of wealth and become rich. (This requires time, effort, learning, and also a team: help from financial and legal advisors advisors.)
As a final note the main risk in investing lies in the lack of knowledge, lack of information and the lack of control.
1.Control over the legal form (form of business), the type of income (portfolio or passive) and timing (when to buy or sell)
2.Control over contracts (terms and conditions)
3. control over the ratio of income/expenses, ratio of assets and liabilities.
4. Control of taxes
5. Control of information
6. Control over the investment (be it a small house, a portfolio, or a business)
7. most importantly :control over yourself (managing the emotions of fear and greed)
Having all of the above means that risk is virtually eliminated regardless of market comditions. Lacking them means risk is potentially unlimited - regardless of market conditions.
I’d avoid cryptos.....… it was good if u invested 8 years ago, now you would be rich, but now notAdondis said:Savitar said:My suggestion for your parents is to invest time first into learning about different assets (be it real estate, stocks, options or futures, cryptos etc) If they do, it is possible to make money wether the market is going up or down.
Also a defined goal is needed. What is the purpose of their investing?
Is their goal to increase their net worth (Capital Gains)
Or to increase their monthly income? (Cash Flow)
Or maybe they want to secure their savings and protect it from devaluation (Hedge)
Each asset has their own advantage.
To give an example:
The advantage of stocks and other paper assets is liquidity: You can buy or sell them in a matter of hours or even mintues (seconds on the Forex Market) you can start with low capital. And can practice without risk (Paper Account)
The disadvantage is the lack of control: The company makes a huge mistake and the stock prices are dropping - you have no control of the investment unless you’re one of the major share holders. The only thing you can do is to prepare, secure the investment with options and sell the stock if you need to. Thats it.
The advantage of Real Estate is that the control is in your hands. You make the decisions, you make the contracts etc. Plus you can get cash flow out of it regardless of market conditions. Smart renovations (Solar Panels for example) can keep the value high even during a Bear Market.
The disadvantage: higher amount of capital needed, loans, etc. If you buy a house, and want out of the deal, you may have to wait for months until you’re able to sell it. There is no free and risk free way of trying yourself out.
Each and every asset can benefit you if you know them enough and use it in a planned systematic, strategic manner. There are different techniques to investing (day trading, swing trading, price action trading, vertical spreads, calendar spreads, selling covered calls, carry trading building a dividend portfolio, fix and flip, renting out, lease options) Each method has their benefits as well, but not all of them are appropriate for everyone and for all goals.
Start with creating a financial plan for security (What is the monthly financial need in the present what will it be in the future?, how to secure the sources of income needed for this minimal amount of income?)
After that create a financial plan for a higher standard of living (how to increase income to finance a healthier, more comfortable and altogether better lifestyle)
The third plan is a plan is to generate vast amounts of wealth and become rich. (This requires time, effort, learning, and also a team: help from financial and legal advisors advisors.)
As a final note the main risk in investing lies in the lack of knowledge, lack of information and the lack of control.
1.Control over the legal form (form of business), the type of income (portfolio or passive) and timing (when to buy or sell)
2.Control over contracts (terms and conditions)
3. control over the ratio of income/expenses, ratio of assets and liabilities.
4. Control of taxes
5. Control of information
6. Control over the investment (be it a small house, a portfolio, or a business)
7. most importantly :control over yourself (managing the emotions of fear and greed)
Having all of the above means that risk is virtually eliminated regardless of market comditions. Lacking them means risk is potentially unlimited - regardless of market conditions.
I first read Hoodedcobra's post and then yours as I have a very small amount of saving in dollars (but it's worth a considerable amount in our national currency due to exchange rates) and I have to make use of it as well as possible to maximise its value in the next two years because it is certain due to various reasons that I won't be able to save during that time. Hoodedcobra mentioned that we are in a 8 year period where some sort of financial structural change is more possible than before and you added advice on traditional financial tools of investment. As it's often customary in our country, my initial idea was to buy a cottage in Spain (example) because there are really affordable properties there where I can live with my pets without asking for anybody's permission and even cultivate small amounts of products in the garden to sustain myself. Also, I always thought of it as an emergency flight escape since our country is under a wretched government's regime where everything's organised according to Islam as opposed to the times when I was a kid.
But considering your advice and that of Hoodedcobra, I started to think that investing in blockchain and cryptocurrencies could be a much more lucrative manoeuvre if done wisely and properly. On the other hand, the popular cryptocurrencies and fintech enterprises based on blockchain are on a steady decline for a year and it might be a big gamble. May I have your opinions? Which way would you go? I feel like both of my options are motivated by fears and I know that's not a healthy way to make decisions.
Adondis said:I first read Hoodedcobra's post and then yours as I have a very small amount of saving in dollars (but it's worth a considerable amount in our national currency due to exchange rates) and I have to make use of it as well as possible to maximise its value in the next two years because it is certain due to various reasons that I won't be able to save during that time. Hoodedcobra mentioned that we are in a 8 year period where some sort of financial structural change is more possible than before and you added advice on traditional financial tools of investment. As it's often customary in our country, my initial idea was to buy a cottage in Spain (example) because there are really affordable properties there where I can live with my pets without asking for anybody's permission and even cultivate small amounts of products in the garden to sustain myself. Also, I always thought of it as an emergency flight escape since our country is under a wretched government's regime where everything's organised according to Islam as opposed to the times when I was a kid.
But considering your advice and that of Hoodedcobra, I started to think that investing in blockchain and cryptocurrencies could be a much more lucrative manoeuvre if done wisely and properly. On the other hand, the popular cryptocurrencies and fintech enterprises based on blockchain are on a steady decline for a year and it might be a big gamble. May I have your opinions? Which way would you go? I feel like both of my options are motivated by fears and I know that's not a healthy way to make decisions.
Savitar you the best, I am wondering, are you making a living with investing and stock market and that stuff?Savitar said:Adondis said:I first read Hoodedcobra's post and then yours as I have a very small amount of saving in dollars (but it's worth a considerable amount in our national currency due to exchange rates) and I have to make use of it as well as possible to maximise its value in the next two years because it is certain due to various reasons that I won't be able to save during that time. Hoodedcobra mentioned that we are in a 8 year period where some sort of financial structural change is more possible than before and you added advice on traditional financial tools of investment. As it's often customary in our country, my initial idea was to buy a cottage in Spain (example) because there are really affordable properties there where I can live with my pets without asking for anybody's permission and even cultivate small amounts of products in the garden to sustain myself. Also, I always thought of it as an emergency flight escape since our country is under a wretched government's regime where everything's organised according to Islam as opposed to the times when I was a kid.
But considering your advice and that of Hoodedcobra, I started to think that investing in blockchain and cryptocurrencies could be a much more lucrative manoeuvre if done wisely and properly. On the other hand, the popular cryptocurrencies and fintech enterprises based on blockchain are on a steady decline for a year and it might be a big gamble. May I have your opinions? Which way would you go? I feel like both of my options are motivated by fears and I know that's not a healthy way to make decisions.
Financial security, exposure to any risk, or crisis is a legitimate concern, It is completely healthy, that you want to take action in this direction.
Jumping into any business, crypto or real estate due to fear/greed wth out preparation on the other hand is definetly no good.
If I understood correctly: You are looking for ways to increase your income levels, because in the future you won’t be able to save money, or your income levels will decrease. Am I correct?
If this is the case, your investing goal/purpose should be to increase cash-flow.
Regarding Crypto: I’m still in the studying phase, therefore I cannot give you any advice based on experience. However what I know is that the technology is here to stay, it has real, intrinsic value, incredible potential. The current bear market is close to an end. On the other hand, about 90-95% of ICO-s, alt-coins are scams.
-Cryptos are mainly for capital gains and hedge, but there are several strategies for cash flow:
-Hodl dividend paying Cryptos: the best of these pay around 5-10% per year
-Learn how to trade learn one, or a few trading strategies and trade Crypto CFDS-s. With CFD you can use leverage up to 5 and make money on downward movements as well. (Not to mention, that you can also absorb losses of a crypto portfolio you Hodl by setting sell pending orders below market price)
If you plan to stick with crypto: prepare to invest a lot of time and energy into educating yourself and practice trading on a paper account.
You will learn to set a system, a routine of trading, set a weekly goal and a certain percentage you withdraw from your account to use as income
By immersing yourself, the opportunity to invest into legit alt-coins with huge returns will be open, since with proper education you can smell scams from miles away.
Short summary:
1. Invest time, energy, and money into training, education and learning
2. Practice on paper account
3. Try out the real deal with a small portion of your savings, which you will handle as risk capital. Do not invest all of your savings!! The strength of your Fear/Greed changes with the invested money.
4. Once you gain experience, increase the amount you invest gradually.
5. Do not become a gambler: Pouring your funds imto something and doing some money/energy work won’t pay. Using money spells
6. and positive affirmations regarding your wealth and success combined with proper education, preparation and practice is what pays off.
Creating Cash-Flow from Real Estate is simpler, (Rent Out, or Lease Option) but the risk is that your money not liquid, a bad buying decision is hard to correct.
Do you live in Spain? If not, I advise not to start in a foreign country and education is also a must!
An advice:
A good solution to increasing your income is to start/join a part time network marketing business that offers you additional training on the field of sales, communication, personality etc. It’s an exellent way to develop the skills for business, and all investing is a business, with the same fundamental structure:
Apply this to crypto trading:
-You are the leader, the mission is to create prosperity for yourself and your beloved ones. The Team is anyone who has something to do with Crypto Trading activity: advisors, creaters of softwares you use for trading, the brokers, the staff behind the trading platform etc.
For a succesful business, Cash-Flow is the foundation. In Crypto Trading, this means that the overall trading activie brings in money. The winning trades are the income and losing ones are the regular business expenses.
-You need efficient communication with your “team” to avoid problems or to solve them.
-You need a business system, a repeatable process, that can be automated. In crypto: setting up a software, that gives you trading signals based on your strategy. This way, you don’t have to glue yourself to the monitor. Setting uo a sofware that shows you graohs about your performance, that can help in make decisions etc.
-You need legal knowledge, how to tax after your gains, what legal protection your funds and account has, etc.
-Your product in this case is the trading activity itself.
Apply the same to real estate:
-Cash Flow: The income from the rental payments should cover all the related costs and create passive income. This is the foundation
-Communicate with the people who rent your house, with anyone who works on your house etc.
-Create a system, which allows the automation of the whole process or at least spares a ajor amount of time and energy for you
-Contracts, any laws regarding real estate business and proprety
-The product is your incredible house for use at available price and fair rental policy
As a final note:
Look for seminars/webinars where you can find mentors and and learn through immersion. Investing has It’s own language and a dialect for each asset. You can learn a foreign language from a book, teacher, or by visitng the country and and immersing yourself. You learn a lot more this way.
With proper knowledge (that allows you to invest successfully) you would already know exactly what action to take. Therefore there is no point in putting money in any asset. You should first invest money into financial education, your own mind. This is the signle and best investment, that will make you rich. In the end, It’s not Real Estate, Crypto (insert any other asset) that creates wealth, It’s your knowledge about these assets, that creates wealth. Your own mind and knowledge is the real money maker.
Savitar said:Adondis said:I first read Hoodedcobra's post and then yours as I have a very small amount of saving in dollars (but it's worth a considerable amount in our national currency due to exchange rates) and I have to make use of it as well as possible to maximise its value in the next two years because it is certain due to various reasons that I won't be able to save during that time. Hoodedcobra mentioned that we are in a 8 year period where some sort of financial structural change is more possible than before and you added advice on traditional financial tools of investment. As it's often customary in our country, my initial idea was to buy a cottage in Spain (example) because there are really affordable properties there where I can live with my pets without asking for anybody's permission and even cultivate small amounts of products in the garden to sustain myself. Also, I always thought of it as an emergency flight escape since our country is under a wretched government's regime where everything's organised according to Islam as opposed to the times when I was a kid.
But considering your advice and that of Hoodedcobra, I started to think that investing in blockchain and cryptocurrencies could be a much more lucrative manoeuvre if done wisely and properly. On the other hand, the popular cryptocurrencies and fintech enterprises based on blockchain are on a steady decline for a year and it might be a big gamble. May I have your opinions? Which way would you go? I feel like both of my options are motivated by fears and I know that's not a healthy way to make decisions.
Financial security, exposure to any risk, or crisis is a legitimate concern, It is completely healthy, that you want to take action in this direction.
Jumping into any business, crypto or real estate due to fear/greed wth out preparation on the other hand is definetly no good.
If I understood correctly: You are looking for ways to increase your income levels, because in the future you won’t be able to save money, or your income levels will decrease. Am I correct?
If this is the case, your investing goal/purpose should be to increase cash-flow.
Regarding Crypto: I’m still in the studying phase, therefore I cannot give you any advice based on experience. However what I know is that the technology is here to stay, it has real, intrinsic value, incredible potential. The current bear market is close to an end. On the other hand, about 90-95% of ICO-s, alt-coins are scams.
-Cryptos are mainly for capital gains and hedge, but there are several strategies for cash flow:
-Hodl dividend paying Cryptos: the best of these pay around 5-10% per year
-Learn how to trade learn one, or a few trading strategies and trade Crypto CFDS-s. With CFD you can use leverage up to 5 and make money on downward movements as well. (Not to mention, that you can also absorb losses of a crypto portfolio you Hodl by setting sell pending orders below market price)
If you plan to stick with crypto: prepare to invest a lot of time and energy into educating yourself and practice trading on a paper account.
You will learn to set a system, a routine of trading, set a weekly goal and a certain percentage you withdraw from your account to use as income
By immersing yourself, the opportunity to invest into legit alt-coins with huge returns will be open, since with proper education you can smell scams from miles away.
Short summary:
1. Invest time, energy, and money into training, education and learning
2. Practice on paper account
3. Try out the real deal with a small portion of your savings, which you will handle as risk capital. Do not invest all of your savings!! The strength of your Fear/Greed changes with the invested money.
4. Once you gain experience, increase the amount you invest gradually.
5. Do not become a gambler: Pouring your funds imto something and doing some money/energy work won’t pay. Using money spells
6. and positive affirmations regarding your wealth and success combined with proper education, preparation and practice is what pays off.
Creating Cash-Flow from Real Estate is simpler, (Rent Out, or Lease Option) but the risk is that your money not liquid, a bad buying decision is hard to correct.
Do you live in Spain? If not, I advise not to start in a foreign country and education is also a must!
An advice:
A good solution to increasing your income is to start/join a part time network marketing business that offers you additional training on the field of sales, communication, personality etc. It’s an exellent way to develop the skills for business, and all investing is a business, with the same fundamental structure:
Apply this to crypto trading:
-You are the leader, the mission is to create prosperity for yourself and your beloved ones. The Team is anyone who has something to do with Crypto Trading activity: advisors, creaters of softwares you use for trading, the brokers, the staff behind the trading platform etc.
For a succesful business, Cash-Flow is the foundation. In Crypto Trading, this means that the overall trading activie brings in money. The winning trades are the income and losing ones are the regular business expenses.
-You need efficient communication with your “team” to avoid problems or to solve them.
-You need a business system, a repeatable process, that can be automated. In crypto: setting up a software, that gives you trading signals based on your strategy. This way, you don’t have to glue yourself to the monitor. Setting uo a sofware that shows you graohs about your performance, that can help in make decisions etc.
-You need legal knowledge, how to tax after your gains, what legal protection your funds and account has, etc.
-Your product in this case is the trading activity itself.
Apply the same to real estate:
-Cash Flow: The income from the rental payments should cover all the related costs and create passive income. This is the foundation
-Communicate with the people who rent your house, with anyone who works on your house etc.
-Create a system, which allows the automation of the whole process or at least spares a ajor amount of time and energy for you
-Contracts, any laws regarding real estate business and proprety
-The product is your incredible house for use at available price and fair rental policy
As a final note:
Look for seminars/webinars where you can find mentors and and learn through immersion. Investing has It’s own language and a dialect for each asset. You can learn a foreign language from a book, teacher, or by visitng the country and and immersing yourself. You learn a lot more this way.
With proper knowledge (that allows you to invest successfully) you would already know exactly what action to take. Therefore there is no point in putting money in any asset. You should first invest money into financial education, your own mind. This is the signle and best investment, that will make you rich. In the end, It’s not Real Estate, Crypto (insert any other asset) that creates wealth, It’s your knowledge about these assets, that creates wealth. Your own mind and knowledge is the real money maker.
Nice U cool!Savitar said:@Aquarius I’m just a dude who tries to help
I work as a financial intermediator/advisor and have experience with Forex & Option Trading (the latter is my personal favorite due to It’s versatility, flexibility) -Making a living from the investments is a goal yet to be reached.
"It is my desire that all my followers unite in a bond of unity, lest those who are without prevail against them." - Satan