A Millionaire Inside Us All
I recently finished reading The Millionaire Next Door. I must say it was quite boring. I didn't exactly feel that it was as informative as it makes out in the back cover. Maybe it's my state of mind? Maybe it's because it's a lengthy book on arbitrary numerical figures against things that don't really apply to today's standard of being rich or famous. But I'd say one big take on it is to be frugal on all levels of finance, even in the most dire of situations. Frugality and humbleness is what I get off it. I like the fact that many of the things they mention in the book are logically categorized but you can skip many pages of "real life" scenarios and charts of items you don't find tasteful.
One thing I found most interesting is that many millionaires are not like what we imagine them to be: big house owners, driving fancy cars, showing off flashy brands and having incredibly attractive partners. Instead they're primarily working class folk who have looked to money as a tool rather than a luxury to flaunt or spend. I was shocked to find out even in their best dress suits they're spending less than five hundred and many times the items they possess are used or of previous-generations. When I was done reading about those who were successful, I looked around my own place, finding out many items I possess are second-hand items or items that I've been able to acquire by barter or trade. I was stunned millionaires like hand-me-downs and second-hand goods like any other layman.
Another aspect the book claims is that millionaires get their success from their businesses. This is true but it also claims that even if you make your own business, it doesn't equate to success, let alone success that leaves you a millionaire. But many millionaires do have multiple sources of income. I had to reflect on my own life regarding this: having investments and having a video/photography service (using outdated photo equipment that does the job) as well as a computer technician service I provide to the elderly/disabled, I've noticed that a lot of my income isn't from one source. Those additional resources have allowed me to spoil myself more than others and it's also been able to keep my portfolio consistently growing.
Speaking of portfolio, regarding the COVID-19 scare, I've lost roughly two grand from all this hoopla in the last few months. I don't mind it. It's money I can afford to lose and when the current is right, I'll be buying up the trough on what I consider important enough to bounce back. It's going to be an interesting year investing but for now I've got about half my account in the red and the other stop losing at the 8% mark. I always get anxious with money sitting, waiting for the tides to return. But I know, as well as everyone else does, when it does return, it'll be much bigger than before. Some people suspect it'll be almost a year before we see any legitimate gains but I feel it'll be sooner. DJIA is at the same point it was back in January 2017, which not to pull anyone's hair, is the same month Trump came into office. I'd be embarrassed to say the economy is doing great. I'm not putting all this on the administration but I feel it could have been handled a lot smoother regarding the virus, the impeachment, the constant blame tweets and the fueled debate on the illegitimacy of media outlets. You don't need a guy who filed bankruptcy six times tell us the economy is the best it's ever been. But that's my two cents. Hopefully investments are moving back toward the sun soon. For now, stay hunkered down, buy those discounted stocks and hold fast against the changing winds. Times are strange right now.
But I did let out a big sigh thinking I am already building a millionaire mindset. It's safe to know that what I'm doing is fine. Albeit not as extreme as some but it's still generally a good feeling to know that my life and my investments are following along a string of others who have made it. And although I consider it rather boring I did manage to find a quote that stuck with me:
Page 228 - "Too often people want a "sound-bite" answer to the question of how to become wealthy in America."
It's so true. Even me I fell for the same kind of question but the reality is research, hard work, a little luck and persistence. I'm proud to consider myself a potential future millionaire but I ain't gonna brag until the fat lady sings.
Stocks I'm currently in:
NIO
MCD
BILI
Stocks I'm eyeing:
LW
JD
SNAP
AMD
One thing I found most interesting is that many millionaires are not like what we imagine them to be: big house owners, driving fancy cars, showing off flashy brands and having incredibly attractive partners. Instead they're primarily working class folk who have looked to money as a tool rather than a luxury to flaunt or spend. I was shocked to find out even in their best dress suits they're spending less than five hundred and many times the items they possess are used or of previous-generations. When I was done reading about those who were successful, I looked around my own place, finding out many items I possess are second-hand items or items that I've been able to acquire by barter or trade. I was stunned millionaires like hand-me-downs and second-hand goods like any other layman.
Another aspect the book claims is that millionaires get their success from their businesses. This is true but it also claims that even if you make your own business, it doesn't equate to success, let alone success that leaves you a millionaire. But many millionaires do have multiple sources of income. I had to reflect on my own life regarding this: having investments and having a video/photography service (using outdated photo equipment that does the job) as well as a computer technician service I provide to the elderly/disabled, I've noticed that a lot of my income isn't from one source. Those additional resources have allowed me to spoil myself more than others and it's also been able to keep my portfolio consistently growing.
Speaking of portfolio, regarding the COVID-19 scare, I've lost roughly two grand from all this hoopla in the last few months. I don't mind it. It's money I can afford to lose and when the current is right, I'll be buying up the trough on what I consider important enough to bounce back. It's going to be an interesting year investing but for now I've got about half my account in the red and the other stop losing at the 8% mark. I always get anxious with money sitting, waiting for the tides to return. But I know, as well as everyone else does, when it does return, it'll be much bigger than before. Some people suspect it'll be almost a year before we see any legitimate gains but I feel it'll be sooner. DJIA is at the same point it was back in January 2017, which not to pull anyone's hair, is the same month Trump came into office. I'd be embarrassed to say the economy is doing great. I'm not putting all this on the administration but I feel it could have been handled a lot smoother regarding the virus, the impeachment, the constant blame tweets and the fueled debate on the illegitimacy of media outlets. You don't need a guy who filed bankruptcy six times tell us the economy is the best it's ever been. But that's my two cents. Hopefully investments are moving back toward the sun soon. For now, stay hunkered down, buy those discounted stocks and hold fast against the changing winds. Times are strange right now.
But I did let out a big sigh thinking I am already building a millionaire mindset. It's safe to know that what I'm doing is fine. Albeit not as extreme as some but it's still generally a good feeling to know that my life and my investments are following along a string of others who have made it. And although I consider it rather boring I did manage to find a quote that stuck with me:
Page 228 - "Too often people want a "sound-bite" answer to the question of how to become wealthy in America."
It's so true. Even me I fell for the same kind of question but the reality is research, hard work, a little luck and persistence. I'm proud to consider myself a potential future millionaire but I ain't gonna brag until the fat lady sings.
Stocks I'm currently in:
NIO
MCD
BILI
Stocks I'm eyeing:
LW
JD
SNAP
AMD
Disclaimer: I am not a financial advisor. I have no proper training in finance or consider myself an expert in money and finance. This blog is just my personal journey in gaining control of my money, my life and sanity. I don't expect you to get rich but I hope you will turn out successful with your finance management. I hope these tools, tips and strategies helps someone out there as much as they have helped me. Please contact me for any concerns. - Adam
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