Monday, July 30, 2007

CREATING AND MANAGING WEALTH

Wealth people say is " Rich- having a lot of money, possession e.t.c" To be super rich, or extraordinary rich in possesions including large amount of money, treasures and cash - convertible valuables. Of course "wealth" can also be defined in other contexts - wisdom (Solomon), knowledge (Einsten, Picasso, Tom Edison). Wealth is a good thing because all that God created is good. Everyone is capable of having wealth but not all can have it.



To create means, "to make something happen or exist or make something that is new, or cause something to exist that does not exist before". Can man then create wealth? By man's self he can do nothing! Man can only receive from above (James1:17). Nonetheless, God empowered man to create from creation. As every man had been empowered to procreate, so as He empowered to create anything, including wealth.



WISDOM. The empowerment or ability to create lies in WISDOM. That is why Bible teaches us (Prov 4:7) to get wisdom! All you need to be rich is to be at the right place and at the right time, work hard and be clever. The power to create wealth - the wealth of God, lies in Wisdom. Getting wealth is not and cannot be by might nor by power. It is God who gives the wisdom, power to make wealth (Deut 8:18). Therefore we need to know and understanding few things as listed below:



1. The source of God's wealth is wisdom, the power that only comes from God.

2. Wealth comes largely or principally from ideas. Henry Ford, Bill Gates, Tom Edison e.t.c

3. Wealth is only generated by men of great insight - men who see what others cannot see, men who seek and find solutions or profer solutions while others are amplifying problems.

4. God's wealth is hidden and kept in secret places. Isaiah 45:3. It has to be found and located.

5. Simplest way to locate or find wealth is to be able to create supply where there is demand, and create demand where there is supply; or create both demand and supply for anything - product or service.

6. Humility is real route to wealth (Prov 22:4). Pride e.g education keeps Christians away from being rich or wealthy. Many are educated even with MBA's, MSC's and PHD's, but yet unlearned. That is why an enlightened illiterate will always be the employer of a naive graduates. We see it around us all the time!.

7. Diligence and hard work is a key factor in wealth creation (Prov 13:4-5). Tom Edison's famous word: "Success is 1% inspiration and 99% perspiration".

8. For a man, ability to create wealth will normally be built around his gift.

QUOTE FOR TODAY
"Anything in life worth having is worth working for". Andrew Carnegie.

Wednesday, July 18, 2007

COMPOSITION OF THE LIVING

There are three different categories of people who pass through this world,

- People who came, live and die and never know what was happening.

- People who came to observe or see what is happening.

- People who came to make things happen.

Question is where do you belong now? You can make a paradigm shift today!


We need to also know that there are seven kinds of people who must fail in this world. Who they are ?

- People who are undecided

- People who are unlearned

- People who are unfocused

- People who are unbelieving

- People who are untruthful

- People who are unexcited

- People who are unfaithful


QUOTE FOR TODAY
" Setting a goal is not the main thing. It is deciding how you will go about achieving it and staying with the plan". Tom Landry

Friday, July 13, 2007

WEALTH SECRETS

The Late J. Paul Getty's rules for accumulating wealth are simple and to the point. In fact, it is so simple that most people who read them either dismiss them as sweeping generalities or falsely believe they have known and used them most of their lives... but these people are probably not rich. So while these guidelines may lack romance or an obvious direction, be assured that they are the genuine article. Apply them as soon and as often as you can, and apply them with intelligence and creativity.


RULE NO. 1: TO ACQUIRE WEALTH TODAY, YOU MUST BE IN YOUR OWN BUSINESS.

You may think that the corporate executive with a $100,000 salary is better off than small shop owner, but the executive will be hard-pressed to double his income and taxes will eat up most of any increase. The simplest peanut vendor has unlimited opportunity to expand his business and his income, and even salesmen, who in most cases are able to write their own paychecks, can control his sale increase himself.


RULE NO. 2: YOU MUST HAVE A WORKING KNOWLEDGE OF THE BUSINESS WHEN YOU START AND CONTINUE TO INCREASE YOUR KNOWLEDGE OF IT AS YOU GO ALONG.

If you don't know what you've doing when you start, your mistake will be costly and often unnecessary, and you won't be able to keep up with the technological explosions in any field. Start smart and stay that way.


RULE NO. 3: YOU MUST SAVE MONEY IN YOUR PERSONAL LIFE AND IN YOUR BUSINESS VENTURE AS WELL.

Discipline is the key to saving money. You must develop the will power to deny yourself immediate gratification or the temptation to gamble on the quick buck. Resources will be needed for expansion and should be guarded carefully.


RULE NO. 4: YOU MUST TAKE RISKS, BOTH WITH YOUR OWN MONEY OR WITH BORROWED MONEY.

Risk-taking is essential to business growth. Nelson Bunker Hunt is admired for his guts in trying to corner the silver market, not scorned for losing money on this deal. Some of the richest men have staked their entire fortunes and lost, several times over, before the risk-taking paid off. Back those risks with good judgement, experience, commitment, and the right support. Seek advice on risks from the wealthy who still take risks, not friends who dare nothing more than a football bet.


RULE NO. 5: YOU MUST NOT ONLY LEARN TO LIVE WITH TENSION, YOU MUST SEEK IT OUT.

Thrive on stress! If it means getting physically fit, having a psychiatric overall or losing 50 pounds before you can handle it, do it. Once you can learn to thrive on stress, you will not only enjoy it, you will seek it out willingly and enthusiastically and wonder how you could live any other way. Men of means look at making money as a game which they love to play. Consider it serious business and you will suffer far more stress than you need or want. Keep your perspective or your stress level will rocket beyond your control.


RULE NO. 6: BUILD WEALTH AS A BY-PRODUCT OF YOUR BUSINESS SUCCESS.

If wealth is your only object in business, you will probably fail. Wealth is only a benefit of the game. If you win, the money will be there. If you lose, and you will from time to time if you play long and hard enough, it must have been fun or it was not worth it.


RULE NO. 7: PATIENCE.

This is the greatest business asset. Wait for the right time to make your moves. Let your business grow naturally, not by pressing your luck.


RULE NO. 8: DIVERSIFY AT THE TOP

Once you've made it, you'll understand that any business is limited in the challenges it offers. You'll want and need other games to play, so you'll look for other ventures to hold your interest.


QUOTE FOR TODAY
"Unless you are willing to drench yourself in your work beyond the capacity of the average man, you are just not cut out for positions at the top." J.C. Penny.

Monday, July 9, 2007

TOP 50 RULES TO INVESTING

1. An attempt to making a quick buck usually leads to losing much of that buck.

2. If stocks in general don't seem cheap, stand aside.

3. Buy and hold dosen't ALWAYS work.

4. Never throw good money after bad (don't buy more of a loser).

5. Cut your losers, and let your winners ride.

6. If the investment sounds too good to be true, it is.

7. Don't fight "the tape" (the trend.)

8. Don't fight the Fed (interest rates).

9. Most stocks that fall under $5 rarely see $10 again.

10. The best hot tip: there is no such thing as a hot tip.

11. Don't fall in love with your stock; it won't fall in love with you.

12. Don't have more than 3% AT RISK in any one position.

13. The trend is your friend until the end.

14. Trading options often leads to a quick trip to the poorhouse.

15. Bear-market rallies are often violent; giving the illusion the bull is back.

16. Low-priced stocks don't double any faster than high-priced ones.

17. Valuations don't matter in the short run.

18. When a stock hits a new high, it's not time to sell. Something is going right.

19. Have a rose garden portfolio (don't trim your roses while your weeds fester).

20. It takes courage to be a pig (don't settle for taking 10% profits).

21. Not selling a stock for a gain, simply because you've afraid of the taxes, is a bad idea.

22. Avoid limited upside, unlimited downside investment.

23. When all you're left with is hope, get out.

24. Don't keep losing money just to "prove you are right." Nobody cares.

25. Forecast are useless.

26. Have a patience and stick with your discipline.

27. When it's time to act, don't hesitate.

28. Expert investors care about risk, novice investors shop for returns.

29. Don't lose money.

30. You can learn more from your bad moves than your good.

31. A rising tide raises all ships, and vice versa, so assess the tide, not the ships.

32. Stocks fall more than you think and rise higher than you can possibly imagine.

33. Very few people have had great success short selling, even in bear markets.

34. You can't know everything, seek out speacialist who know their areas.

35. Since you can't know everything, seek out speacialists who know their areas.

36. If a company's sales are shrinking, the business isn't growing anymore.

37. Real estate cycles are not the same as stock market cycles.

38. Investing in what's popular never ends up making you any money.

39. Know your investment edge, and don't stray too far from it.

40. Bear markets begin in good times. Bull markets begin in bad times.

41. Buy value - stock that are priced less than their underlying assets are worth.

42. Neglected sectors often turn out to offer good values.

43. There's usually only one reason corporate insiders buy stock.

44. Don't miss a good one by being too concerned with the exact price you pay.

45. Avoid popular stocks, fad industies and new ventures.

46. Buy shares in businesses you understand.

47. Try to buy a stock when it has few friends.

48. Be patient: don't be rattled by fluctuations.

49. Mutual funds underperform the averages over the long run. Buy index funds instead.

50. If you don't understand the investment, don't invest.

That's a lot of rules....intuitive, yet millions of investors break these rules every day. I'd like to leave you with one more rule, which i'm seeing among investors trying to get back where they were.

51. The people who suffer the worst losses are those who over-reached.


THOUGHTS FOR TODAY

"Unless you try to do something beyond what you have already mastered, you will never grow." Ronald E. Osborn.

Tuesday, July 3, 2007

21 ABSOLUTE UNBREAKABLE LAW OF MONEY

1. THE LAW OF CAUSE AND EFFECT: Everything happens for a reason; there is a cause for every effect.

2. THE LAW OF BELIEF: Whatever you truly believe, with feeling, becomes your reality.

3. THE LAW OF EXPECTATIONS: Whatever you expect, with confidence, becomes your own self-fulfilling prophecy.

4. THE LAW OF ATTRACTION: You are a living magnet; you invariably attract into your life the people, situations and circumstances that are in harmony with your dominant thoughts.

5. THE LAW OF CORRESPONDENCE: Your outer world is a reflection of your inner world and correspond with your dominant patterns of thinking.

6. THE LAW OF ABUNDANCE: We live in an abundant universe in which there is sufficent money for all who really want it and are willing obey the laws governing its acqusition.

7. THE LAW OF EXCHANGE: Money is the medium through which people exchange their labor in the production of goods and services for the goods and services of others.

8. THE LAW OF CAPITAL: Your most valuable asset, in terms of cash flow, is physical and mental capital, your earning ability.

9. THE LAW OF TIME PERSPECTIVE: The most successful people in any society are those who take the longest time period into consideration when making their day-to-day decisions.

10. THE LAW OF SAVINGS: Financial freedom comes to the person who saves 10% or more of his income throughout his lifetime.

11. THE LAWOF CONSERVATION: Its not how much you make, but how much you keep, that determines your financial future.

12. PARKINSON'S LAW: Expenses rise to meet income.

13. THE LAW OF THREE: There are three legs to the stool of financial freedom: savings, insurance and investment.

14. THE LAW OF INVESTING: Investigate before you invest.

15. THE LAW OF COMPOUND INTEREST: Investing your money carefully and allowing it to grow at compound interest will eventually make you rich.

16. THE LAW OF ACCUMULATION: Every great financial achievement is an accumulation of hundreds of small efforts and sacrifices that no one ever sees or appreciates.

17. THE LAW OF MAGNETISM: The more money you save and accumulate, the more money you attract into your life.

18.THE LAW OF ACCELERATING ACCELERATION: The faster you move towards financial freedom, the faster it moves towards you.

19. THE LAW OF THE STOCK MARKET: The value of a stock is the total anticipated cash flow from the stock discounted to the present day.

20. THE LAW OF REAL ESTATE: The value of a piece of real estate is the future earning power of that particular piece of property.

21. THE LAW OF THE INTERNET: The internet is a tool for rapid communication of information of all kinds.


QUOTE FOR TODAY
"You've got to win in your mind before you win in your life." John Addison

Monday, July 2, 2007

TWO PRINCIPLES FOR FINANCIAL SUCCESS

There are two great principles for achieving financial success.

1. THE LAW OF ATTRACTION. It says that you are a living magnet. It says that your thoughts create a force field of energy that radiates out from you and attracts back to life people and circumstances in harmony with them. Any thought you have, combined with an emotion, positive or negative, radiates out from you and attracts back into your life the people, circumstances, ideas and opportunities consistent with it. Many people feel that this is perhaps the most important of all mental laws. It says that if you have a clear idea in your mind of your desired goal, to become wealthy, and you can hold that idea in your mind on a continuing basis, you will inevitably draw into your life the resources that you need in order to achieve it. Every person who has become wealthy or successful has become wealthy and successful as a result of holding the idea of wealth and success in his or her mind long enough and hard enough, until they drew into their lives the resources they needed to accomplish it.

2. THE LAW OF CORRESPONDENCE.This mental law is very powerful. It says, "as within, so without." It says that your outer world is like a mirror that reflects back to you what is going on in your inner world. And this law of correspondence says that everything that happens outside of you corresponds to something that's going on inside of you. When we say that your outer world is a reflection of your inner world, we mean both at a conscious and at a subconscious level. If you consciously believe that you have the ability to achieve your goals and you can hold a picture of those goals clearly in your mind long enough and hard enough, eventually your outer world will correspond with it.

There are three places where we see this law of correspondence,

a). Your outer world of people will correspond exactly within your own attitude. You will always see your attitude reflected back to you in the faces and the behaviour of the people around you. If you have a positive optimistic attitude, people will respond to you almost immediately, even before you open your mouth, in a positive and cheerful way.

b). Another area is in your relationship. Your relationship will always mirror back to you exactly the kind of a person you are. When you are happy and optimistic and at peace, your relationshipos will be happy and harmonious and loving. But when your thinking is disrupted or negative for any reason, consciously or unconsciously, this will be immediately reflected in your relationships.

c). This is with regard to your wealth. Your external world of wealth and financial accomplishment will be a mirror image of your inner world of preparation. The only part of the equation that you can control is your conscious thoughts, and if you can keep your conscious thoughts on what you want, on your images of wealth and affluence, eventually your external world of reality and experiences will reflect it back to you.

Here are two things you can do to apply these principles in your financial life.

First, guard your thoughts carefully. Whatever you think about, combined with the emotions of desire or fear, you will attract into your life. Be sure that you are attracting what you want by continuing to think only about what you want.

Second, keep feeding your mind with new information, ideas and pictures of the person you want to be and the life you want to live. By creating this inner attitude of mind, you change the outer aspects of your reality.

QUOTES FOR TODAY
"Successful and unsuccessful people do not vary greatly in their abilities. They vary in their desires to reach their potentials." John Maxwell