Secret Way of Self-Made Millionaires....

Many People have been brainwashed to think that millionaires always have to wear GUCCI, HUGO BOSS, ROLEX, and sit on first class in air travel. This is why so many people never become rich because the moment they earn more money, they think that it is only natural that they spend more, putting them back to square one. The truth is that those are frugal and only spend on what is necessary and of value. That is why they are able to accumulate and multiply their wealth so much faster.

This is not a my main content of this blog.It's a example. If you want to build your own wealth you had to work hard on your savings and your expenses.I noticed that it was only those who never had to work hard to build  their own wealth who spent like there was no tomorrow.After reading this many people ask me "What is the point in making so much money if you don't enjoy it?" Real thing is that it is only for while,it does not last. When I don't have by-cycle,that time it was the last thing in the world which I want. But after getting this now it's value null. So I want to say that material happiness never lasts, it just gives you a quick fix.

Many of Us lack an understanding of financial markets and how to begin an investment program. More importantly, we may not recognize the importance of investing, which is to build wealth and financial security by ensuring the money we earn also has earning power. You begin an investment program by asking why you’ll need money and how much money you’ll need at different points in time. Once you recognize these investment goals, making your financial plan , you're better prepared to identify investment vehicles that will support your financial objectives.

The time horizon for achieving an investment goal varies from one goal to the next. In addition, some goals are reoccurring, such as travel, and others are more rare occurrences, such as a college education or the purchase of a home. In general, the greater amount of time you have to accumulate the money you’ll need, the more risk you can tolerate and the greater return an investment might earn due to the power of compound interest. The critical of the need, such as saving for retirement, and the time you have to meet the financial need will determine your return requirements and your ability to tolerate investment risk.

Saving is easy and you can save more throughout your career if you start early. Please don't stuffing your money under a mattress.Putting your money in a regular bank savings account won't help much either because of the typically minuscule interest rates. While placing your money in investment vehicles, such as stocks and mutual funds, introduces an element of risk, you stand a much better chance of outpacing the inflation rate throughout a period of years

At the very basic, wealth creation refers to the process of deploying your money in a manner that there is real-value accretion over the long run. In other words, you should deploy your savings in such a way that the rate of return on your money beats the rate of inflation.In India, over the past several years, stocks, gold and real estate have beaten the rate of inflation, while instruments like bank fixed deposits and bonds have not been able to do that in any significant way. So financial planners advise their clients, who are not very financially savvy, to take the equities route for wealth creation with some parts of the money going into debt, gold and real estate.

 "The important thing here is to invest regularly and stay away from reacting to market volatility. Undisputedly, mutual funds are a great wealth-creation vehicle," To follow this route, financial planners and advisers say that the SIP route to invest in mutual funds is the best way: It inculcates discipline in one's approach to investment, helps the investor negotiate volatility and has a strong potential to create wealth in the long run.

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