Back in 1998, Robert Kiyosaki in The CASHFLOW Quadrant wrote, "Historically, if people lived to be 75 years of age, they live through two recessions and one depression. As baby boomers we have gone through two recessions, but we have not yet seen that depression. Maybe there will never be a depression again. But history does not say that."
He further said, " Just as there are waves on the ocean, there are great waves in markets. Instead of the wind and sun driving the waves of the ocean, the waves of the financial markets are driven by two human emotions: greed and fear.
I do not think that depressions are things of the past because we are all human beings and we all have emotions of greed and fear. And when greed and fear collide, and a person loses badly, the next emotion is depression. ... Economic depressions are emotional depressions."
Wow! What an explanation. Is he an economics history professor? Economics philosopher? Economics prophet, or what?
Forbes magazine wrote, "In the year 2010, the first baby boomers turn 65. In the year 2010, instead of adding money to the stock market, baby boomers will begin withdrawing money from the stock market ... if not earlier."
From the above, it appears that the present economic tsunami and financial meltdown is not something that is unexpected.
The U.S.A. is the world's number one international debtor. Numero Uno! Just servicing the debt amounts to some $250 billion! That is just the interest payment, baby! Not the principal.
The principal is some $40 trillion! People like Robert Kiyosaki have said, "The world will realise that the U.S. will not be able to borrow its way out of ... problems." It also means, without any new policy or financial invention, the U.S.A. may go bankrupt. Sooner or later. So, you better be careful where you put your money!
I attended a 4-week training program on 'Oil and Gas Accounting' in 1985. The American professor who conducted the training had a similar view.
Is 2008's global financial turmoil (starting with the U.S. sub-prime loan crisis), the manifestation of what some economists have been aware all along, all these years?
The manifestation of greed, with which the sub-prime loan crisis has been attributed to. And the manifestation of fear, which has led to the credit crunch when even banks have no trust (or confidence) in another bank's ability to pay. For fear that the other bank may collapse completely. And no wonder - 25 U.S. banks failed in 2008 compared to 3 in 2007. With even the likes of Lehmann Brothers going bankrupt, and global Citibank needing a U.S. government bail-out.
There appear to be many around the world who are still in denial about the present global economy going to be in a depression. Perhaps it is politically incorrect (or dangerous) to say that you will be facing a depression soon.
Perhaps afraid of a self-fullfilling prophesy? I guess it's a little bit too late now for such a thing.
The moral of the story? Understanding history is important because it indicates where you have been. And where you will likely be going.
All indications for the year 2009 (as prophesied by Robert Kiyosaki and similar like-thinking economists and businessmen) is that you are going to experience a global depression. Maybe worse than the 1930s!?!
If you follow the Boy Scouts' motto "Be Prepared", you have nothing to worry. If not, then may the Good Lord be with you.
There is a silver lining in the clouds, though. If you are a true investor, this is the opportunity in the crisis. Everyone will be selling (stocks, real estate, etc). In a fire-sale (arising from people being emotionally depressed), the calm investor will go for the bargain.
Are you a calm investor? Then, strike when you are ready!
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
P.S. It now appears that for $3000 (or less), you can buy a house in some parts of the United States. The banks have to sell the houses (almost for free) so that they are not burdened with maintenance charges and local taxes. (The other big reason is that banks are not in the home realty business, but in the money-lending business, so they do not want to keep any foreclosed house on their accounts). Of course you may need another $15,000 - $20,000 for repairs. Or you can just demolish the house and build a brand new one. The land, for one property with 0.38 acres, is certainly worth more than the $3,000 plus the demolition costs.
P.P.S. On 29/Jan/2009 I read that the International Labour Organisation (ILO) forecasts that(for a worst case scenario) global unemployment could rise (by the end of 2009) by 51 million people, to 230 million (7.1% of the world's labour force). The worst recession since the Second World War.
Monday, December 29, 2008
Sunday, December 28, 2008
Your Money or Your Life?
A robber, with a gun, confronts you in a dark alley in the early hours of the morning, with no other soul in sight. "Your money or your life?", he says in that criminal voice which scares you to almost death. Classic situational scenario you are familiar with.
What would you do? Run for your life with the $1,000,000 in your pocket? Or just handover the $1,000,000?
Unless you are Superman (whereby you can catch the bullets coming towards you), or one of those sort of heroes, you would be better off to just handover the money. You can then fight (or make money) another day. Agree?
But what about in normal, everyday life? When there is no robber?
Can you still have your money ($1,000,000), and have a (happy) life? Or do you believe, that if you have money, money cannot bring you happiness?
Can you do something that you love, and at the same time make money? Or is doing something that you love, an entirely different proposition from making a living (making money)?
In this financial paradigm, if you love travelling, what you do is to work hard until you retire at 60 or 65. After you retire, you go travelling around the work (using the money you saved from working hard). That is why if you go on a tour (say, in Europe), you find that the majority who join the tour groups are in their sixties or seventies (from the U.S.A.). Some with canes to help them walk.
Isn't it possible to have lots of money (not $1,000,000 but perhaps $10,000 extra a year), to go and have an overseas holiday every year. When you are still in your twenties or thirties rather than in your late sixties or seventies?
Is it possible to never have to get a job, but still have as much money as those having a job? Without receiving government money? Such as unemployment benefit or disability payment. Or an insurance payout because you were involved in an accident? What do you think?
Well, a person like Dr Dolf de Roos is one such person. Just after completing his doctorate in electrical engineering, he was offered a job at $32,000 a year (this was a sizeable amount because it was in the last century, ok?). He rejected it.
Why? Because he had just (the week before) netted $35,000 from a real estate deal he had completed. He worked one week on the deal. He could then afford 51 weeks holiday if he wished to (compared to working for the $32,000 job offer). Does he have a job? No. Never. Does he work? Yes. Smart.
A former high school teacher gave up her teaching position. So that she could teach her passion for creativity. Of using magic to teach mathematics. She has shared the stage with professors (even of mathematics) at international fora.
Does she have a job? No. Does she work? Yes. But her work is her passion, so it is more enjoyable. It does not seem like work.
Oh yes, her income from conducting a one day training equals what she used to be paid for one month (as a teacher). Did she go into her passion because of the good money? Or did the good money follow her passion?
The moral of the story? You can have your cake and it it too! You can have both your money and your life!
You can be poor and miserable. You can also be rich and happy. The good news is: the choice is yours!
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
P.S. Dr Dolf de Roos is the author of many books on real estate investment; amongst them is Real Estate Riches.
What would you do? Run for your life with the $1,000,000 in your pocket? Or just handover the $1,000,000?
Unless you are Superman (whereby you can catch the bullets coming towards you), or one of those sort of heroes, you would be better off to just handover the money. You can then fight (or make money) another day. Agree?
But what about in normal, everyday life? When there is no robber?
Can you still have your money ($1,000,000), and have a (happy) life? Or do you believe, that if you have money, money cannot bring you happiness?
Can you do something that you love, and at the same time make money? Or is doing something that you love, an entirely different proposition from making a living (making money)?
In this financial paradigm, if you love travelling, what you do is to work hard until you retire at 60 or 65. After you retire, you go travelling around the work (using the money you saved from working hard). That is why if you go on a tour (say, in Europe), you find that the majority who join the tour groups are in their sixties or seventies (from the U.S.A.). Some with canes to help them walk.
Isn't it possible to have lots of money (not $1,000,000 but perhaps $10,000 extra a year), to go and have an overseas holiday every year. When you are still in your twenties or thirties rather than in your late sixties or seventies?
Is it possible to never have to get a job, but still have as much money as those having a job? Without receiving government money? Such as unemployment benefit or disability payment. Or an insurance payout because you were involved in an accident? What do you think?
Well, a person like Dr Dolf de Roos is one such person. Just after completing his doctorate in electrical engineering, he was offered a job at $32,000 a year (this was a sizeable amount because it was in the last century, ok?). He rejected it.
Why? Because he had just (the week before) netted $35,000 from a real estate deal he had completed. He worked one week on the deal. He could then afford 51 weeks holiday if he wished to (compared to working for the $32,000 job offer). Does he have a job? No. Never. Does he work? Yes. Smart.
A former high school teacher gave up her teaching position. So that she could teach her passion for creativity. Of using magic to teach mathematics. She has shared the stage with professors (even of mathematics) at international fora.
Does she have a job? No. Does she work? Yes. But her work is her passion, so it is more enjoyable. It does not seem like work.
Oh yes, her income from conducting a one day training equals what she used to be paid for one month (as a teacher). Did she go into her passion because of the good money? Or did the good money follow her passion?
The moral of the story? You can have your cake and it it too! You can have both your money and your life!
You can be poor and miserable. You can also be rich and happy. The good news is: the choice is yours!
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
P.S. Dr Dolf de Roos is the author of many books on real estate investment; amongst them is Real Estate Riches.
Tuesday, December 23, 2008
Money is Life?
It's sad when you read the headline, "NYPD: Madoff investor commits suicide in office". The founder of an investment fund apparently lost $1.4 billion to Bernard Madoff's alleged $50 billion Ponzi scheme. He slashed his wrists.
You may have heard of similar stories. Like the taxi driver who played the stock market in Hong Kong in 1997/98, and got played out by the market instead. He jumped off an apartment.
Of course, the stories of gamblers who borrow from loan sharks (who charge 10% interest per month?), and are unable to pay back (because their 'winnings' on their horse racing bets are invariably 'loosings') is commonplace. These losers will try to disappear into thin air. To avoid a broken leg, or an even worse fate. Their families also suffer, oftentimes in silence.
Is money equal to life? No money, no life? Plenty money, plenty life?
Unless you are still living in a place where you exchange what you have, to get what you want (barter trading), money is thus very important. Although the ending of one's own life, or the ending of another person's life, are extreme scenarios, it does indicate the power of money.
Money is important in our present world economy because it has become the medium of exchange (in economics' lingo). The measurement standard of one's assets and liabilites ( in acccountancy's terms). The indicator of one's wealth or poverty.
The moral of the story? If money plays such an important role in your life, don't you think that it should be your number one priority?
It does not mean that you should be consumed, every waking hour of your life, with the thought of making tonnes of money. Of getting money at all costs.
But it does mean that you should at least learn about how to play the money game. How to manage your existing money. Whether as a student, when you get your $1 as pocket money. Whether as an employee, when you get $1,000 a month.
Some folks live a happy and fullfilling life with an income of $1,000 a month. Others struggle, 'eking out a living' with a salary of $2,000 (or $5,000 or $10,000) a month.
Some folks have a $1,000,000 and are neither happy nor fulfilled. Others have $1,000,000 and are happy and fulfilled.
Money is important. But it is not the be-all and end-all.
How you manage your money will determine whether you have misery, or happiness in your life. $1,000 with good management will become $2,000 in 3 years. $1,000,000 with poor management will become $0 in 3 years.
So, what should you do? T Harv Eker recommends that you go from being a 'know-it-all' to a 'learn-it-all'.
Set aside 10% of your income, and use it to get an education. To buy books, or DVDs, or attend training seminars, that will increase your knowledge. Knowledge to increase your power. The power to act correctly. To act to get the right results. The right results to make you happy.
I wish you Success in your undertaikings, and Good Health and Wealth to you and your family. Take care!
P.S. Read in the papers (7th January 2009) that a 74-year-old German billionaire (ranked the world's 94th richest man, whose assets were estimated by Forbes to be worth $9.2 billion last year (2008?)) also committed suicide (by throwing himself in front of a train) on 5th January. All because his investments were in trouble, caused by the global financial crisis. Don't you think that's similarly tragic?
P.P.S. Associated Press reported that on 27th January 2009, a man in Wilmington, California fatally shot his wife, his five young children (twin 2-year old boys, twin 5-year old girls, and an 8-year old girl) and himself, all because he and his wife had been fired from their hospital jobs. Very tragic, and very sad. Any lesson you can learn from all the cases above?
You may have heard of similar stories. Like the taxi driver who played the stock market in Hong Kong in 1997/98, and got played out by the market instead. He jumped off an apartment.
Of course, the stories of gamblers who borrow from loan sharks (who charge 10% interest per month?), and are unable to pay back (because their 'winnings' on their horse racing bets are invariably 'loosings') is commonplace. These losers will try to disappear into thin air. To avoid a broken leg, or an even worse fate. Their families also suffer, oftentimes in silence.
Is money equal to life? No money, no life? Plenty money, plenty life?
Unless you are still living in a place where you exchange what you have, to get what you want (barter trading), money is thus very important. Although the ending of one's own life, or the ending of another person's life, are extreme scenarios, it does indicate the power of money.
Money is important in our present world economy because it has become the medium of exchange (in economics' lingo). The measurement standard of one's assets and liabilites ( in acccountancy's terms). The indicator of one's wealth or poverty.
The moral of the story? If money plays such an important role in your life, don't you think that it should be your number one priority?
It does not mean that you should be consumed, every waking hour of your life, with the thought of making tonnes of money. Of getting money at all costs.
But it does mean that you should at least learn about how to play the money game. How to manage your existing money. Whether as a student, when you get your $1 as pocket money. Whether as an employee, when you get $1,000 a month.
Some folks live a happy and fullfilling life with an income of $1,000 a month. Others struggle, 'eking out a living' with a salary of $2,000 (or $5,000 or $10,000) a month.
Some folks have a $1,000,000 and are neither happy nor fulfilled. Others have $1,000,000 and are happy and fulfilled.
Money is important. But it is not the be-all and end-all.
How you manage your money will determine whether you have misery, or happiness in your life. $1,000 with good management will become $2,000 in 3 years. $1,000,000 with poor management will become $0 in 3 years.
So, what should you do? T Harv Eker recommends that you go from being a 'know-it-all' to a 'learn-it-all'.
Set aside 10% of your income, and use it to get an education. To buy books, or DVDs, or attend training seminars, that will increase your knowledge. Knowledge to increase your power. The power to act correctly. To act to get the right results. The right results to make you happy.
I wish you Success in your undertaikings, and Good Health and Wealth to you and your family. Take care!
P.S. Read in the papers (7th January 2009) that a 74-year-old German billionaire (ranked the world's 94th richest man, whose assets were estimated by Forbes to be worth $9.2 billion last year (2008?)) also committed suicide (by throwing himself in front of a train) on 5th January. All because his investments were in trouble, caused by the global financial crisis. Don't you think that's similarly tragic?
P.P.S. Associated Press reported that on 27th January 2009, a man in Wilmington, California fatally shot his wife, his five young children (twin 2-year old boys, twin 5-year old girls, and an 8-year old girl) and himself, all because he and his wife had been fired from their hospital jobs. Very tragic, and very sad. Any lesson you can learn from all the cases above?
Sunday, December 21, 2008
What Type of Investor Are You?
I was disappointed (and oftentimes wondering) why other people were not interested in investing in businesses or projects. Investments that I had made money from, and also investments that I had not made money from (yet). I understood if it was because of the latter reason, because ... who am I, after all? But the former?
I was enlightened after reading Robert Kiyosaki's Cashflow Quadrant. It appears that there are many kinds of investors in this world. Interesting. Can you identify which kind you are (see below)?
The first kind can be categorised as the "Nothing" investor. De nada. No money to invest. All your income is spent. For some, even the ones who 'look rich', they spend more than their income!
One of my friends told me that he had a neighbour (a senior government servant) who always borrowed $50 cash from him at the end of the month. He always ran out of cash to give his school going kids their school allowance, before the montly salary is received!
Another senior government officer bought a $60,000 car by taking a bank loan (with a higher interest rate of 6%) instead of the government loan (at 4% reducing balance rate) because the government loan was only $45,000 and he had no savings to pay the difference.
It seems that 50% of adults are in this "Nothing" category. It doesn't include you, of course.
The second category is the "Borrower". As the name indicates, you are in this category if you borrow your way through life. You borrow money from your credit card for your marriage expenses (yes, a true story!). Two babies later, your credit card loan still has not been paid.
Your favourite exercise? Shopping! Girls are usually in this category. They just can't help it when the shoes, handbags, watches etc are at 70% discount. Sometimes even without discounts (I mean, the shoes and the handbags need to be colour-coordinated, right?)
I remember a friend. He had just successfully obtained a $2 million loan from the bank for a new business. With the money from the bank, he immediately (but not wisely?) bought a Mercedes for himself, and a Honda for his wife. One year down the road, the business was not going on as planned (especially the financials). Now you understand how some 'rich' people lose their Mercs overnight? One day the Mercs is in the car porch, the next day it's missing.
Another friend bought a $360,000 condo one day. From a bank loan. Two years down the road, there was a 'professional accident'. His company closed down. He lost his job. Anyone would like a condo for sale?
The problem if you are a borrower, is not the amount of money that you have as an income. It's just that you have poor money habits. Poor habits lead to poor actions, which lead to poor results.
The third category is the "Saver". You are a saver if you save a little money every month, and keep it in a savings, or Fixed deposit (FD), or Certificate of Deposit(CD), account.
Many save not to invest. But to consume (a vacation, a TV, a $15,000 bicycle). They like cash, not credit or debt.
The only problem with saving money this way is that it gives only very low returns. Frequently, it is a negative return (after inflation and tax).
You should of course have savings like the above. Some financial experts recommend that you should have about two years of your salary as savings. So that you can maintain your present standard of living for two years, if you have no income (because of retrenchment). Or you can survive for four years at 50% of your normal standard of living.
But anything above the amount needed for an emergency situation, should be better invested at 10-15% in other safe investments. You need to study, and look out for, such investments.
The fourth category is the "Apathetic". I was in this category. I thought that "I was busy".
So I turned over my retirement fund money to a 'mutual fund' lady "to manage". For the first 3 years it was losing money (the selling price was lower than my buying price). After the fourth year, I sold out when the price was at the price that I bought. I lost the dividend amount (5% annually for 4 years), if I had just kept it in the retirement fund.
The fifth category is the "Cynic". Or the Smart Aleck. You are in this category if you know all the reasons why an investment will not succeed. It appears that cynicism is the result of fear combined with ignorance, which leads to arrogance. Wowww! What an enlightening revelation!
Cynics are therefore best avoided. They infect people with fear, disguised as intelligence. Robert Kiyosaki wrote, "The worlds of academia, government, religion and media are filled with these people".
No wonder almost all of my office colleagues are in this category. I guess if you are an employee, you will be in this category.
Unless you have the entrepreneurial streak. Such as being involved in the network marketing industry (recommended by Robert Kiyosaki, Donald Trump, and T Harv Eker).
Cynics often buy high and sell low. And then blame the market for 'swindling' them.
The sixth category is the "Gambler". The gambler thinks that life is all about 'luck'.
You know a gambler when he asks you, "Got any tips on which stock to buy?". Just as a horse racing gambler will ask you which horse to bet on.
The seventh category is the "Long-Term Investor". You are in this category if you learn, often through training seminars, before investing. You know about the power of compound interest.
You are actively pursuing your financial goals. With the appropriate planning. You know your expenses. Your debts and liabilities. How much to invest per month. You are not 'flashy'.
My friend's husband drives a 10 year-old Volvo. Stayed in the same double storey terrace house for the last 30 years. But all their four children were sent to overseas universities. $30,000-50,000 per year per kid. He is, of course, a millionaire (through property development).
The eight category is the "Sophisticated Investor". You are here, if you create your own deals. With at least 25% return-on-investment (ROI).
You are financially savvy. You know how to manage risk. You are focused. Once you have one investment 'running on automatic', then only you diversify.
Bad times do not deter you. You can see opportunities, whether in good markets or bad.
The property market in the United States is extremely bad. Prices are going down every month. House foreclosures are increasing monthly. You see the opportunity to invest. To make 19-26% returns. To be a 'banker'. You can consider yourself a sophisticated investor if you can arrange the deals, and organise the investments.
The ninth category is the "Capitalist". You organise other people's money, talents and time. You get paid for results. For creating a new company. A new organisation. Returns of at least 100% is expected.
A guy in his mid-thirties forms a new company. To market an existing product. From an existing multinational.
He will create millionaires in the process. He will also become a millionaire in the process. He used an idea to become a millionaire. The idea of how to create (and capture) a bigger market for an existing company.
A person bought a rubber plantation (not using his money, but the bank's) and turned it into an exclusive housing enclave. He now has his own plane. He is a capitalist.
Olden day capitalists include Henry Ford. Present day capitalists include Richard Branson.
The moral of the story? What type of investor you are, will determine where you will be. Decide what you want to be, and take the necessary action (or inaction).
It also means that, if you are looking for an investor for your project, do not be easily disappointed. Not many people out there are true investors (category 7, 8 and 9). Be thankful when you find them.
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
I was enlightened after reading Robert Kiyosaki's Cashflow Quadrant. It appears that there are many kinds of investors in this world. Interesting. Can you identify which kind you are (see below)?
The first kind can be categorised as the "Nothing" investor. De nada. No money to invest. All your income is spent. For some, even the ones who 'look rich', they spend more than their income!
One of my friends told me that he had a neighbour (a senior government servant) who always borrowed $50 cash from him at the end of the month. He always ran out of cash to give his school going kids their school allowance, before the montly salary is received!
Another senior government officer bought a $60,000 car by taking a bank loan (with a higher interest rate of 6%) instead of the government loan (at 4% reducing balance rate) because the government loan was only $45,000 and he had no savings to pay the difference.
It seems that 50% of adults are in this "Nothing" category. It doesn't include you, of course.
The second category is the "Borrower". As the name indicates, you are in this category if you borrow your way through life. You borrow money from your credit card for your marriage expenses (yes, a true story!). Two babies later, your credit card loan still has not been paid.
Your favourite exercise? Shopping! Girls are usually in this category. They just can't help it when the shoes, handbags, watches etc are at 70% discount. Sometimes even without discounts (I mean, the shoes and the handbags need to be colour-coordinated, right?)
I remember a friend. He had just successfully obtained a $2 million loan from the bank for a new business. With the money from the bank, he immediately (but not wisely?) bought a Mercedes for himself, and a Honda for his wife. One year down the road, the business was not going on as planned (especially the financials). Now you understand how some 'rich' people lose their Mercs overnight? One day the Mercs is in the car porch, the next day it's missing.
Another friend bought a $360,000 condo one day. From a bank loan. Two years down the road, there was a 'professional accident'. His company closed down. He lost his job. Anyone would like a condo for sale?
The problem if you are a borrower, is not the amount of money that you have as an income. It's just that you have poor money habits. Poor habits lead to poor actions, which lead to poor results.
The third category is the "Saver". You are a saver if you save a little money every month, and keep it in a savings, or Fixed deposit (FD), or Certificate of Deposit(CD), account.
Many save not to invest. But to consume (a vacation, a TV, a $15,000 bicycle). They like cash, not credit or debt.
The only problem with saving money this way is that it gives only very low returns. Frequently, it is a negative return (after inflation and tax).
You should of course have savings like the above. Some financial experts recommend that you should have about two years of your salary as savings. So that you can maintain your present standard of living for two years, if you have no income (because of retrenchment). Or you can survive for four years at 50% of your normal standard of living.
But anything above the amount needed for an emergency situation, should be better invested at 10-15% in other safe investments. You need to study, and look out for, such investments.
The fourth category is the "Apathetic". I was in this category. I thought that "I was busy".
So I turned over my retirement fund money to a 'mutual fund' lady "to manage". For the first 3 years it was losing money (the selling price was lower than my buying price). After the fourth year, I sold out when the price was at the price that I bought. I lost the dividend amount (5% annually for 4 years), if I had just kept it in the retirement fund.
The fifth category is the "Cynic". Or the Smart Aleck. You are in this category if you know all the reasons why an investment will not succeed. It appears that cynicism is the result of fear combined with ignorance, which leads to arrogance. Wowww! What an enlightening revelation!
Cynics are therefore best avoided. They infect people with fear, disguised as intelligence. Robert Kiyosaki wrote, "The worlds of academia, government, religion and media are filled with these people".
No wonder almost all of my office colleagues are in this category. I guess if you are an employee, you will be in this category.
Unless you have the entrepreneurial streak. Such as being involved in the network marketing industry (recommended by Robert Kiyosaki, Donald Trump, and T Harv Eker).
Cynics often buy high and sell low. And then blame the market for 'swindling' them.
The sixth category is the "Gambler". The gambler thinks that life is all about 'luck'.
You know a gambler when he asks you, "Got any tips on which stock to buy?". Just as a horse racing gambler will ask you which horse to bet on.
The seventh category is the "Long-Term Investor". You are in this category if you learn, often through training seminars, before investing. You know about the power of compound interest.
You are actively pursuing your financial goals. With the appropriate planning. You know your expenses. Your debts and liabilities. How much to invest per month. You are not 'flashy'.
My friend's husband drives a 10 year-old Volvo. Stayed in the same double storey terrace house for the last 30 years. But all their four children were sent to overseas universities. $30,000-50,000 per year per kid. He is, of course, a millionaire (through property development).
The eight category is the "Sophisticated Investor". You are here, if you create your own deals. With at least 25% return-on-investment (ROI).
You are financially savvy. You know how to manage risk. You are focused. Once you have one investment 'running on automatic', then only you diversify.
Bad times do not deter you. You can see opportunities, whether in good markets or bad.
The property market in the United States is extremely bad. Prices are going down every month. House foreclosures are increasing monthly. You see the opportunity to invest. To make 19-26% returns. To be a 'banker'. You can consider yourself a sophisticated investor if you can arrange the deals, and organise the investments.
The ninth category is the "Capitalist". You organise other people's money, talents and time. You get paid for results. For creating a new company. A new organisation. Returns of at least 100% is expected.
A guy in his mid-thirties forms a new company. To market an existing product. From an existing multinational.
He will create millionaires in the process. He will also become a millionaire in the process. He used an idea to become a millionaire. The idea of how to create (and capture) a bigger market for an existing company.
A person bought a rubber plantation (not using his money, but the bank's) and turned it into an exclusive housing enclave. He now has his own plane. He is a capitalist.
Olden day capitalists include Henry Ford. Present day capitalists include Richard Branson.
The moral of the story? What type of investor you are, will determine where you will be. Decide what you want to be, and take the necessary action (or inaction).
It also means that, if you are looking for an investor for your project, do not be easily disappointed. Not many people out there are true investors (category 7, 8 and 9). Be thankful when you find them.
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
Thursday, December 18, 2008
Size Matters?
Do you believe that size matters? The bigger the better? Or the smaller the better?
I guess you realise that it all depends. On what?
You heard the story about the lady on her wedding night who thought she was going to get a big one? And the gentleman thought he was going to get a small one? Both were disappointed ... hehehe! Next time, just remember the saying, "To avoid the pain of lost illusions, have none!" ... Comprende? ... hehehe!
I prefer a petite lady ... like Tweety! So a model like Twiggy (I know ... you got to go to Wikipedia to find out who this person is ... thank you for your patience ... anyway, she was famous in the last century), would turn my head.
A friend of mine prefers his lady to be big ... like in 'elephant'! In fact, before their marriage, his wife referred to herself as an elephant (size). But that is precisely what turns him on!
Well, some men prefer birds. Some prefer elephants. To each, his own.
But there is one arena in which SIZE REALLY MATTERS! It's critical that you know why bigger is better in this arena.
Do you agree that the simplest (or easiest) way to live is to not do anything? Not to take risks? Not to take challenges?
Whether in your personal life. Or your working life. Or your volunteer work life.
When you have a personal problem, isn't it that the the easiest way, is to avoid or run away from the problem?
At the office, isn't it best not to rock the boat? Just do the same old things, when there is a problem? Don't take any new actions or consider new proposals which you are not familiar with? Your company do not need to implement the Suggestion System, because many other companies have failed in implementing it? (Even though Japanese companies implement it successfully).
Do the same things and expect different results!?! That is one definition of insanity.
I was observing the happenings in a voluntary organisation. When you are in a voluntary organisation, isn't the inertia even greater? You don't get paid for your time (it's a voluntary organisation, for heaven's sake, that's why ... ), is the common excuse.
So when there is a challenge, such as organising an international training program, where the number of expected participants falls short of the minimum required, you take the easy step - you cancel it!
Your excuse/justification? "We don't want to lose money". Convenient rationale? You feel good that you are saving the organisation money?
Yuhoooo!!! No need to do further work. No need to think about how to get more participants. No need to think of other possibilities to make the program financially viable. No need to contact speakers. No need to follow-up on other matters.
Just relax until next year, when you can offer it again. Just talk at the monthly meetings. Soon, you become a member of NATO (No Action Talk Only). Will your non-profit organisation make progress? There will be progress, yes ... but only in finger-pointing, at the end of the year, or before the Annual General Meeting.
If you want success, you need to be bigger. Bigger than your problems!
How can you become bigger? You grow yourself.
Take problems as challenges. Do not blame anyone (your boss? ... your colleague?...your wife? ...your cat?) or anything (the fricking economy? ... the fricking political situation?) for your problem. You take action to improve the situation. Just like Japanese Kaizen - continuous improvement.
What if, after taking action, you fail? Take it as a learning experience. To make you grow bigger. To make you wiser. To make your organisation better. To be able to handle a similar situation in future, better.
The moral of the story? When you want to be a winner, you need to be bigger. Bigger than the losers.
When you want to be a leader, you need to be bigger. Bigger than your followers.
When you say,"I want to follow what you (the majority) decide upon", you are a follower, not a leader. A leader has to lead, not follow. That's why you have to be bigger than your followers. Otherwise, you become just like your followers - a sheep. You want to be the Lion King, if you want to be a leader.
T Harv Eker said, "If you have a big problem in your life, all that means is that you are a small person ... Your outer world is merely a reflection of your inner world. If you want to make a permanent change, stop focusing on the size of the problems and start focusing on the size of you".
So, you know what to do now? Go! Go make yourself bigger!
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
I guess you realise that it all depends. On what?
You heard the story about the lady on her wedding night who thought she was going to get a big one? And the gentleman thought he was going to get a small one? Both were disappointed ... hehehe! Next time, just remember the saying, "To avoid the pain of lost illusions, have none!" ... Comprende? ... hehehe!
I prefer a petite lady ... like Tweety! So a model like Twiggy (I know ... you got to go to Wikipedia to find out who this person is ... thank you for your patience ... anyway, she was famous in the last century), would turn my head.
A friend of mine prefers his lady to be big ... like in 'elephant'! In fact, before their marriage, his wife referred to herself as an elephant (size). But that is precisely what turns him on!
Well, some men prefer birds. Some prefer elephants. To each, his own.
But there is one arena in which SIZE REALLY MATTERS! It's critical that you know why bigger is better in this arena.
Do you agree that the simplest (or easiest) way to live is to not do anything? Not to take risks? Not to take challenges?
Whether in your personal life. Or your working life. Or your volunteer work life.
When you have a personal problem, isn't it that the the easiest way, is to avoid or run away from the problem?
At the office, isn't it best not to rock the boat? Just do the same old things, when there is a problem? Don't take any new actions or consider new proposals which you are not familiar with? Your company do not need to implement the Suggestion System, because many other companies have failed in implementing it? (Even though Japanese companies implement it successfully).
Do the same things and expect different results!?! That is one definition of insanity.
I was observing the happenings in a voluntary organisation. When you are in a voluntary organisation, isn't the inertia even greater? You don't get paid for your time (it's a voluntary organisation, for heaven's sake, that's why ... ), is the common excuse.
So when there is a challenge, such as organising an international training program, where the number of expected participants falls short of the minimum required, you take the easy step - you cancel it!
Your excuse/justification? "We don't want to lose money". Convenient rationale? You feel good that you are saving the organisation money?
Yuhoooo!!! No need to do further work. No need to think about how to get more participants. No need to think of other possibilities to make the program financially viable. No need to contact speakers. No need to follow-up on other matters.
Just relax until next year, when you can offer it again. Just talk at the monthly meetings. Soon, you become a member of NATO (No Action Talk Only). Will your non-profit organisation make progress? There will be progress, yes ... but only in finger-pointing, at the end of the year, or before the Annual General Meeting.
If you want success, you need to be bigger. Bigger than your problems!
How can you become bigger? You grow yourself.
Take problems as challenges. Do not blame anyone (your boss? ... your colleague?...your wife? ...your cat?) or anything (the fricking economy? ... the fricking political situation?) for your problem. You take action to improve the situation. Just like Japanese Kaizen - continuous improvement.
What if, after taking action, you fail? Take it as a learning experience. To make you grow bigger. To make you wiser. To make your organisation better. To be able to handle a similar situation in future, better.
The moral of the story? When you want to be a winner, you need to be bigger. Bigger than the losers.
When you want to be a leader, you need to be bigger. Bigger than your followers.
When you say,"I want to follow what you (the majority) decide upon", you are a follower, not a leader. A leader has to lead, not follow. That's why you have to be bigger than your followers. Otherwise, you become just like your followers - a sheep. You want to be the Lion King, if you want to be a leader.
T Harv Eker said, "If you have a big problem in your life, all that means is that you are a small person ... Your outer world is merely a reflection of your inner world. If you want to make a permanent change, stop focusing on the size of the problems and start focusing on the size of you".
So, you know what to do now? Go! Go make yourself bigger!
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
Tuesday, December 16, 2008
Little Things Mean a Lot?
I was slightly off my normal "take-off" time to go to the office. As the thought floated in while I was driving, that I could be late (a minute or two) to punch-in at the office door, I realised that "little things mean a lot".
At a training seminar in June 2008, the trainer informed that the doors would close at 10.45 a.m. I was in the long queue to get a cup of coffee, and it was already 10.40 a.m. The long walk to the seminar room with the hot coffee cup ensured I missed the 10.45 a.m. window. Some ladies missed the 10.45 window because of the long queue in the toilet (any lady has had the experience?).
All had to wait for the next window of opportunity. There were murmurings of complaint of the lack of sufficient toilet facilities. These were ignored. I didn't dare murmur about the coffee queue. It was 15 minutes later, that the doors were opened.
Will you feel good to go in, with all eyes on you? Don't you regret missing some of the information that was imparted during the 15 minutes you were "locked out"? Especially if the speaker was a multi-millionaire?
This particular trainer was similarly raving and ranting at another seminar that I attended. Those who attended his seminar for the first time would be wondering, "Why does he rant and rave, as if possessed by naughty spirits, over a little one or two minutes or 5 minutes delay in entering the seminar room, by 5% of the participants?"
Why do you think that he insisted that you are on time? And everytime?
I attended a Quality Management training seminar organised by Japan's Association for Overseas Technical Scholarship (AOTS) in Yokohama, Japan in July 1992 (yes ... in the last century). We were given a revised travel itinerary sheet, one day after the original was given. I scrutinised the sheet to see what the revision was all about.
It was that the time for the arrival of the Shinkansen (bullet train) had been revised from 1042 to 1041. A difference of 1 fricking minute! Do you think it is that important to revise the sheet?
If you arrived at the station platform exactly at 1042, would it be important for you to have received the revised itinerary copy?
The Japanese are known for their attention to detail. Sticklers for punctuality. Worship the God of Quality.
Are you surprised that the Japanese economy developed super fast from the ashes of World War II? That Toyota has overtaken General Motors (GM)? That Toyota has big cash reserves, while GM will go bankrupt soon (if there is no government cash bail-out)?
Have you attended meetings where the Meeting Chairman is late? What do you think of the Chairman? Thank your lucky stars because you too were delayed (hehehe ... not you of course, but your friends)?
I once worked for one of the biggest (if it was not the biggest) multinational oil corporation in the world. Meetings were always on time. The Meeting Chairman always started the meeting on time, and it generally ended on time. Do you have respect for whoever chaired the meeting? Do you think the organisation is a fricking good one, or a mediocre one? Would you be a better employee, or manager, if you worked in this corporation?
You are aware that "Procrastination is a thief of time". Yet, how many people (no, ... not you, of course) procrastinate? You may miss the Shinkansen train. You may miss the golden business opportunity.
You may miss the marriage wagon ... so, go tell him (or her) that he (or she) is the answer to your lonely prayer ... an angel from above ... NOW! PRONTO!
The moral of the story? Little things mean a lot, because what you do for the little things, reflects what you do for the big things. If you do not know how to manage your present income of $10,000 a year, you will not know how to manage an income of $1,000,000.
If you mismanage your $10,000 income now, you will mismanage the future $1,000,000 dowry that you receive from your future beautiful wife. Even the future beautiful bungalow that is part of the marriage dowry you will receive. You got it? ... I mean ... not the money and the bungalow ... hehehe!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
At a training seminar in June 2008, the trainer informed that the doors would close at 10.45 a.m. I was in the long queue to get a cup of coffee, and it was already 10.40 a.m. The long walk to the seminar room with the hot coffee cup ensured I missed the 10.45 a.m. window. Some ladies missed the 10.45 window because of the long queue in the toilet (any lady has had the experience?).
All had to wait for the next window of opportunity. There were murmurings of complaint of the lack of sufficient toilet facilities. These were ignored. I didn't dare murmur about the coffee queue. It was 15 minutes later, that the doors were opened.
Will you feel good to go in, with all eyes on you? Don't you regret missing some of the information that was imparted during the 15 minutes you were "locked out"? Especially if the speaker was a multi-millionaire?
This particular trainer was similarly raving and ranting at another seminar that I attended. Those who attended his seminar for the first time would be wondering, "Why does he rant and rave, as if possessed by naughty spirits, over a little one or two minutes or 5 minutes delay in entering the seminar room, by 5% of the participants?"
Why do you think that he insisted that you are on time? And everytime?
I attended a Quality Management training seminar organised by Japan's Association for Overseas Technical Scholarship (AOTS) in Yokohama, Japan in July 1992 (yes ... in the last century). We were given a revised travel itinerary sheet, one day after the original was given. I scrutinised the sheet to see what the revision was all about.
It was that the time for the arrival of the Shinkansen (bullet train) had been revised from 1042 to 1041. A difference of 1 fricking minute! Do you think it is that important to revise the sheet?
If you arrived at the station platform exactly at 1042, would it be important for you to have received the revised itinerary copy?
The Japanese are known for their attention to detail. Sticklers for punctuality. Worship the God of Quality.
Are you surprised that the Japanese economy developed super fast from the ashes of World War II? That Toyota has overtaken General Motors (GM)? That Toyota has big cash reserves, while GM will go bankrupt soon (if there is no government cash bail-out)?
Have you attended meetings where the Meeting Chairman is late? What do you think of the Chairman? Thank your lucky stars because you too were delayed (hehehe ... not you of course, but your friends)?
I once worked for one of the biggest (if it was not the biggest) multinational oil corporation in the world. Meetings were always on time. The Meeting Chairman always started the meeting on time, and it generally ended on time. Do you have respect for whoever chaired the meeting? Do you think the organisation is a fricking good one, or a mediocre one? Would you be a better employee, or manager, if you worked in this corporation?
You are aware that "Procrastination is a thief of time". Yet, how many people (no, ... not you, of course) procrastinate? You may miss the Shinkansen train. You may miss the golden business opportunity.
You may miss the marriage wagon ... so, go tell him (or her) that he (or she) is the answer to your lonely prayer ... an angel from above ... NOW! PRONTO!
The moral of the story? Little things mean a lot, because what you do for the little things, reflects what you do for the big things. If you do not know how to manage your present income of $10,000 a year, you will not know how to manage an income of $1,000,000.
If you mismanage your $10,000 income now, you will mismanage the future $1,000,000 dowry that you receive from your future beautiful wife. Even the future beautiful bungalow that is part of the marriage dowry you will receive. You got it? ... I mean ... not the money and the bungalow ... hehehe!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
Sunday, December 14, 2008
Who is Your Hero(ine)?
Who is your hero? Superman? Wonderwoman? Spiderman? Ultraman? Superinggo (a Phillipines TV character)? Ironman? Powerman? Policeman? Fireman? Conman (God forbid!)? Cicakman (a 'Malaysia-Truly Asia' character)?
Your kid whose hero is Ultraman will watch Ultraman videos umpteen times. He will kick you as you pass by, just like Ultraman does. If you happen to be sitting, and his hands go to your face (accidentally), your spectacles will fly to the ground (it happened to me ... attacked by someone else's kid!).
That is why the dumb box is bad for your kids. Your kids will pick up the aggressiveness shown in cartoons or children's shows. TV-viewing for your kids must therefore be controlled.
Heros act as role models for you. When you think of your uncle who was kind to you, you will want to be like him.
Seeing a trainer in Sweden treat the dinner-lady with the utmost respect, and thanking her with a bouquet of flowers, you want to be like that trainer when you become one.
When you see an elderly gentleman with a lovely young woman, how do you react? Say in your mind, "Dirty old man!"?
Or, "I wonder what he has that can attract a beautiful woman. Perhaps I can learn a thing or two from him on the art of being a charmer".
When you see a beautiful lady in a sports car, what goes in your mind? You think, "She must be somebody's mistress"?
Or, "Hhmmm ... nice car ... I wonder how I can learn from her on how to get that dream car"?
What goes in your mind when you see a well-dressed gentleman, getting out of a luxury car? "He must be a conman, to be able to get such an expensive car. Maybe, he's a drug king."
Or, "He must be a successful businessman. I wonder if I can get the opportunity to listen to him one of these days at a Business Forum or Conference."
In all the above instances, what you think does not have any impact on the person concerned. But it does have a huge and tremendous impact on you!
If you don't like successful people, you will not become successful. If you don't like rich people, you will not become rich. Because your sub-conscious mind cannot accept success or riches. It has been programmed to accept failure and poverty.
When you admire positive-minded people, you will become positive-minded. When you admire healthy people, you will become healthy.
The moral of the story? That which we admire, we attract. That which we bless, we attract. That which we love, we attract.
If you admire a millionaire property investor, won't you take steps to find out how he became successful? And you then follow in his foot-steps?
When you bless a person for her awesome achievement in being an expert (say, in her field of using magic to teach mathematics), won't you be blessed later on? ... when you are the expert in your own field?
When you show genuine love to a child, won't she feel your positive vibrations? What if the child is 18 years old? Now you know the secret? ... hehehe!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
Your kid whose hero is Ultraman will watch Ultraman videos umpteen times. He will kick you as you pass by, just like Ultraman does. If you happen to be sitting, and his hands go to your face (accidentally), your spectacles will fly to the ground (it happened to me ... attacked by someone else's kid!).
That is why the dumb box is bad for your kids. Your kids will pick up the aggressiveness shown in cartoons or children's shows. TV-viewing for your kids must therefore be controlled.
Heros act as role models for you. When you think of your uncle who was kind to you, you will want to be like him.
Seeing a trainer in Sweden treat the dinner-lady with the utmost respect, and thanking her with a bouquet of flowers, you want to be like that trainer when you become one.
When you see an elderly gentleman with a lovely young woman, how do you react? Say in your mind, "Dirty old man!"?
Or, "I wonder what he has that can attract a beautiful woman. Perhaps I can learn a thing or two from him on the art of being a charmer".
When you see a beautiful lady in a sports car, what goes in your mind? You think, "She must be somebody's mistress"?
Or, "Hhmmm ... nice car ... I wonder how I can learn from her on how to get that dream car"?
What goes in your mind when you see a well-dressed gentleman, getting out of a luxury car? "He must be a conman, to be able to get such an expensive car. Maybe, he's a drug king."
Or, "He must be a successful businessman. I wonder if I can get the opportunity to listen to him one of these days at a Business Forum or Conference."
In all the above instances, what you think does not have any impact on the person concerned. But it does have a huge and tremendous impact on you!
If you don't like successful people, you will not become successful. If you don't like rich people, you will not become rich. Because your sub-conscious mind cannot accept success or riches. It has been programmed to accept failure and poverty.
When you admire positive-minded people, you will become positive-minded. When you admire healthy people, you will become healthy.
The moral of the story? That which we admire, we attract. That which we bless, we attract. That which we love, we attract.
If you admire a millionaire property investor, won't you take steps to find out how he became successful? And you then follow in his foot-steps?
When you bless a person for her awesome achievement in being an expert (say, in her field of using magic to teach mathematics), won't you be blessed later on? ... when you are the expert in your own field?
When you show genuine love to a child, won't she feel your positive vibrations? What if the child is 18 years old? Now you know the secret? ... hehehe!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
Wednesday, December 10, 2008
You Want Success, or You are Committed to Success?
You want success? You want wealth? You want good health?
Of course you want all the above. But not everyone attains them.
You want to have good health? I believe that 99%, of the folks out there, will put good health as their number one priority in life. Above success and wealth. Is it true for you, as well?
But what have you done today (or this week, or this month) to ensure you have good health?
Do you exercise? Everyday? Once a week? Once a month? Once a year - at the annual company open day (social day) where there is mass aerobics as one of the items on the agenda?
Have you stopped smoking the poison stick? Have you taken the proper food for your body? Have you taken supplements? To correct any nutritional deficiencies that your body may have (because of hereditary, or age, factors)?
You want wealth? But have you set how much wealth you actually want? $10,000 a year income? $30,000 a year? $500,00 a year? $1,000,000 a year?
Your mind is like a heat-seeking missile. Once you set the target, the missile will inexorably move towards it. Your mind will move towards thinking how to get $10,000 a year once you set it. It will move towards thinking how to get $1,000,000 a year, once you set it. You choose your target. Your mind will go towards it.
Once you set your financial target, have you calculated or determined what you must do to achieve it? On a daily basis? Weekly? Monthly? Annually? People do not plan to fail, they fail to plan (right?).
It's a good starting point when you want success. What's the difference between those who want success, and those who achieve success?
Those who do not achieve success merely want success, but do not know exactly what they want. They are also lazy to go all the way. They lack the determination to follow-up. And to follow-through.
Those who achieve success complete all three steps below.
First, decide what you want. How much money do you exactly want? How many kilogrammes do you want to reduce (your weight, baby ... not the gold bars in your bank safety box ...hehehe ... just checking)? You then must follw-through with the next step.
Second, plan how to achieve it. How much properties do you need to buy? How much money must you save per day, or per month, or per year to enable you to buy the properties?
How many hours must you exercise in the gymnasium (per day, per week) to get to Angelina Jolie's or Jeniffer Aniston's beautiful body shapes? What type of diet (more vegetables and fruits!) to follow?
Third, you work your plan. You COMMIT TO SUCCESS. To do what needs to be done. To do whatever it takes. This is where most folks (not you, of course) fail. The lack of the final follow-through. For lack of Persistence. Edward Eggleton wrote, "Persistent people begin their success where others end in failure."
Do you wake up in the mornings, and think of reasons why you cannot achieve what you want to attain?
Or do you wake up, thinking of ways to achieve your dreams? To not spend that money on a home-video system with 42-inch flat screen TV, because you want to keep it as seed money for your investment? It's from an acorn that a giant oak grows.
To not stay late in bed, or watch the dumb box, so that you can go cycling 40 km (or 100 km, if that's what really turns you on, baby!) on Sundays? To spend your Saturday afternoons attending classes on nutrional therapy. So that you know what to put inside your mouth (no ... definitely not sausages ... naughty girl!) to keep you healthy?
I read in the newspapers about the winners of the Ernst & Young Entrepreneur of the Year 2008 awards. The winner for the Technology Entrepreneur Award (Harvinder Singh) said, "... being an entrepreneur is ... very challenging..., what people see from the outside are the successes, big projects completed, the money made. What they do not see is the struggle and pain you go through .... The strength of an entrepreneur ... is more of the ability to keep getting up each time you fall and keep going when all odds are against you."
The niece of the winner of the Woman Entrepreneur of the Year award (who collected the award on behalf of her aunt Noraini Soltan), said this about the winner, "... I see my aunt as ... most hardworking person and she never gave up in whatever she does."
The moral of the story? There is no such thing as a free lunch. There is no such thing as instant success.
Instant coffee, yes. Instant noodles, yes. Instant gratification, yes. Instant loan approval, yes. Instant office, yes.
Instant success, NO! It needs long-term commitment.
You want your marriage to be a success? To last? It needs long-term commitment. Till death do us part?
Peter Drucker said, "Unless commitment is made, there are only promises and hopes; but no plans."
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
Of course you want all the above. But not everyone attains them.
You want to have good health? I believe that 99%, of the folks out there, will put good health as their number one priority in life. Above success and wealth. Is it true for you, as well?
But what have you done today (or this week, or this month) to ensure you have good health?
Do you exercise? Everyday? Once a week? Once a month? Once a year - at the annual company open day (social day) where there is mass aerobics as one of the items on the agenda?
Have you stopped smoking the poison stick? Have you taken the proper food for your body? Have you taken supplements? To correct any nutritional deficiencies that your body may have (because of hereditary, or age, factors)?
You want wealth? But have you set how much wealth you actually want? $10,000 a year income? $30,000 a year? $500,00 a year? $1,000,000 a year?
Your mind is like a heat-seeking missile. Once you set the target, the missile will inexorably move towards it. Your mind will move towards thinking how to get $10,000 a year once you set it. It will move towards thinking how to get $1,000,000 a year, once you set it. You choose your target. Your mind will go towards it.
Once you set your financial target, have you calculated or determined what you must do to achieve it? On a daily basis? Weekly? Monthly? Annually? People do not plan to fail, they fail to plan (right?).
It's a good starting point when you want success. What's the difference between those who want success, and those who achieve success?
Those who do not achieve success merely want success, but do not know exactly what they want. They are also lazy to go all the way. They lack the determination to follow-up. And to follow-through.
Those who achieve success complete all three steps below.
First, decide what you want. How much money do you exactly want? How many kilogrammes do you want to reduce (your weight, baby ... not the gold bars in your bank safety box ...hehehe ... just checking)? You then must follw-through with the next step.
Second, plan how to achieve it. How much properties do you need to buy? How much money must you save per day, or per month, or per year to enable you to buy the properties?
How many hours must you exercise in the gymnasium (per day, per week) to get to Angelina Jolie's or Jeniffer Aniston's beautiful body shapes? What type of diet (more vegetables and fruits!) to follow?
Third, you work your plan. You COMMIT TO SUCCESS. To do what needs to be done. To do whatever it takes. This is where most folks (not you, of course) fail. The lack of the final follow-through. For lack of Persistence. Edward Eggleton wrote, "Persistent people begin their success where others end in failure."
Do you wake up in the mornings, and think of reasons why you cannot achieve what you want to attain?
Or do you wake up, thinking of ways to achieve your dreams? To not spend that money on a home-video system with 42-inch flat screen TV, because you want to keep it as seed money for your investment? It's from an acorn that a giant oak grows.
To not stay late in bed, or watch the dumb box, so that you can go cycling 40 km (or 100 km, if that's what really turns you on, baby!) on Sundays? To spend your Saturday afternoons attending classes on nutrional therapy. So that you know what to put inside your mouth (no ... definitely not sausages ... naughty girl!) to keep you healthy?
I read in the newspapers about the winners of the Ernst & Young Entrepreneur of the Year 2008 awards. The winner for the Technology Entrepreneur Award (Harvinder Singh) said, "... being an entrepreneur is ... very challenging..., what people see from the outside are the successes, big projects completed, the money made. What they do not see is the struggle and pain you go through .... The strength of an entrepreneur ... is more of the ability to keep getting up each time you fall and keep going when all odds are against you."
The niece of the winner of the Woman Entrepreneur of the Year award (who collected the award on behalf of her aunt Noraini Soltan), said this about the winner, "... I see my aunt as ... most hardworking person and she never gave up in whatever she does."
The moral of the story? There is no such thing as a free lunch. There is no such thing as instant success.
Instant coffee, yes. Instant noodles, yes. Instant gratification, yes. Instant loan approval, yes. Instant office, yes.
Instant success, NO! It needs long-term commitment.
You want your marriage to be a success? To last? It needs long-term commitment. Till death do us part?
Peter Drucker said, "Unless commitment is made, there are only promises and hopes; but no plans."
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
Sunday, December 7, 2008
You Want to Win, or to be Safe?
On 31st December 1980 (wow ... yes ... in the previous century! ...I am a Centurion ... almost ...hehehe!), I bought a book - "Business as a Game" - by Albert Z. Carr.
At the back of the book cover, it said: "How to succeed in business by really trying. Is life in the executive jungle really a game? Yes, ... and the difference between the men who make it to the top and the also-rans is in mastering the business game's unwritten rules and hidden calculations..."
I read in the newspapers last week-end that there are thousands of unemployed university graduates. A mismatch between what the market demands, and the supply by the universities. So it seems.
However, who are the graduates who managed to get job offers? Yes, those who are are able to adapt.
Yes, those who are versatile. Have multiple talents. Played team games. Got involved in extra-curricular activities like the Boy Scouts or Girl Guides or St John's Ambulance Brigade. Got involved as actors/actresses in the school dramas. Played leadership roles. So, yes ... life is also a game! In this case, your working life ... your "getting a job" life.
In life, do you play to win? Or to be safe?
As an undergraduate, to play to win, you must be the best. Either academically, or (even better) both academically and in extra-curricular activities. You represent 5% of the undergraduates, when you are in this category. 1% when you excel both in and out of the lecture room.
Similarly with life. To be safe is to be mediocre. To be average. Like 95% of the people.
To play to win, you need to be in tip-top condition. To take be an Olympic Champion, you need to train everyday. Four years before the actual day, your training has to start in ernest. Do you want to be an Olympic champion?
Two "investment experts" exchanged letters in The Star newspaper. One said that savings kept in the Employees Provident Fund (EPF) earned better returns, than if they were to be invested in the local stock market.
The other said that investing your savings in the stock market is better than keeping it in the EPF. This expert (surprise, surprise!) represents a mutual fund company which encourages the public to take out their savings in the EPF, and invest in mutual funds.
Both are right. Huh? How can both be right? Surely there is Truth and there is Falsehood? Day and Night? Black and White?
Yes, you are right! And you are wrong! Heard about half-truths? Dusk and dawn? The colour Grey? Well, the two experts used different methods of computing the returns.
However, what may interest you is the conclusion by one of the experts. He wrote, "... based on the Sharpe Ratio, EPF is any time far better than KLCI (local stock market index in "Malaysia - Truly Asia").
"... we are 95% confident that the EPF returns will range from 3.7% to 9.7%. ...KLCI returns will range between - 51.6% and 72%. The lowest return from EPF is positive +3.7% versus negative -51.6% for KLCI".
The moral of the story? If you want to play safe (and average), play the investment (money) game using the defensive strategy. Get a maximum (potential returns) of 9.7%.
If you want to win (be rich!), play the game using the assertive (not aggressive) strategy. Get a maximum (potential returns) of 72%.
In short, life's a game. To play to win, be the best in your field. To play the money game, aim to be a millionaire if you want to win. Winners get a better deal!
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
P.S. "But, wait!" ... (you scream), ... "I may lose 51.6% of my savings if I follow the so-called assertive strategy". Well, Robert Kiyosaki does not recommend you invest in mutual funds. Or play the stock market, as most of us play it (i.e. lose money ... no, not you, of course ... the other 95% of the players), precisely because of this concern of yours.
P.P.S. "So how?", you may ask. The answer? There is no instant path to wealth. No short investment advice. Read all the articles in this blog (hehehe!).
P.P.P.S. In short, life's a game. Making money is a game. To win the money game, you need to start by targeting an income of at least a million dollars. Passive income!
At the back of the book cover, it said: "How to succeed in business by really trying. Is life in the executive jungle really a game? Yes, ... and the difference between the men who make it to the top and the also-rans is in mastering the business game's unwritten rules and hidden calculations..."
I read in the newspapers last week-end that there are thousands of unemployed university graduates. A mismatch between what the market demands, and the supply by the universities. So it seems.
However, who are the graduates who managed to get job offers? Yes, those who are are able to adapt.
Yes, those who are versatile. Have multiple talents. Played team games. Got involved in extra-curricular activities like the Boy Scouts or Girl Guides or St John's Ambulance Brigade. Got involved as actors/actresses in the school dramas. Played leadership roles. So, yes ... life is also a game! In this case, your working life ... your "getting a job" life.
In life, do you play to win? Or to be safe?
As an undergraduate, to play to win, you must be the best. Either academically, or (even better) both academically and in extra-curricular activities. You represent 5% of the undergraduates, when you are in this category. 1% when you excel both in and out of the lecture room.
Similarly with life. To be safe is to be mediocre. To be average. Like 95% of the people.
To play to win, you need to be in tip-top condition. To take be an Olympic Champion, you need to train everyday. Four years before the actual day, your training has to start in ernest. Do you want to be an Olympic champion?
Two "investment experts" exchanged letters in The Star newspaper. One said that savings kept in the Employees Provident Fund (EPF) earned better returns, than if they were to be invested in the local stock market.
The other said that investing your savings in the stock market is better than keeping it in the EPF. This expert (surprise, surprise!) represents a mutual fund company which encourages the public to take out their savings in the EPF, and invest in mutual funds.
Both are right. Huh? How can both be right? Surely there is Truth and there is Falsehood? Day and Night? Black and White?
Yes, you are right! And you are wrong! Heard about half-truths? Dusk and dawn? The colour Grey? Well, the two experts used different methods of computing the returns.
However, what may interest you is the conclusion by one of the experts. He wrote, "... based on the Sharpe Ratio, EPF is any time far better than KLCI (local stock market index in "Malaysia - Truly Asia").
"... we are 95% confident that the EPF returns will range from 3.7% to 9.7%. ...KLCI returns will range between - 51.6% and 72%. The lowest return from EPF is positive +3.7% versus negative -51.6% for KLCI".
The moral of the story? If you want to play safe (and average), play the investment (money) game using the defensive strategy. Get a maximum (potential returns) of 9.7%.
If you want to win (be rich!), play the game using the assertive (not aggressive) strategy. Get a maximum (potential returns) of 72%.
In short, life's a game. To play to win, be the best in your field. To play the money game, aim to be a millionaire if you want to win. Winners get a better deal!
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
P.S. "But, wait!" ... (you scream), ... "I may lose 51.6% of my savings if I follow the so-called assertive strategy". Well, Robert Kiyosaki does not recommend you invest in mutual funds. Or play the stock market, as most of us play it (i.e. lose money ... no, not you, of course ... the other 95% of the players), precisely because of this concern of yours.
P.P.S. "So how?", you may ask. The answer? There is no instant path to wealth. No short investment advice. Read all the articles in this blog (hehehe!).
P.P.P.S. In short, life's a game. Making money is a game. To win the money game, you need to start by targeting an income of at least a million dollars. Passive income!
Wednesday, December 3, 2008
How Important Are Your Friends?
Read in today's newspaper about how a guy died from holding a karaoke mike. No, no - there was no electrical fault (that electrocuted him while he was in the karaoke room). No, no - mike is not a guy. Mike = microphone.
It seems that the guy just loved singing. Whilst a few others just loved a bit of peace and quiet.
He hogged the mike. It led to an argument with a few others who had asked him to let go of the mike. And the final result was that he was stabbed to death. A sad and tragic story, but unfortunately true.
Less than two weeks ago, a few of my friends also were holding a mike and merrily croaking (ooops ... I mean, singing - "karaokeing") until 3 a.m. in the morning at a golf and country resort. None of us had any urge to kill any of our friends who were holding the mike. Even if their wives were croaking (there I go again ... I mean "karaokeing"). I mean, we had no urge to kill either them or their wives!
A study reported in the British Medical Journal said that happiness is infectious, and can "ripple" through social groups such as family and friends.
The study's authors (Professor Nicholas Christakis of Harvard Medical School and Professor James Fowler of the University of California) said, "Changes in individual happiness can ripple through social networks and generate large scale structure in the network, giving rise to clusters of happy and unhappy individuals."
"Most important from our perspective is the recognition that people are embedded in social networks and that the health and well-being of one person affects the health and well-being of others."
To you and me, what the above study means (in not so erudite language) is that if you mix with good people, you become a good person. You mix with criminals, you will become a criminal.
The moral of the story? Who your friends are, will determine who you will be. Mix with positive-minded-friends, you become positive-minded. Mix with loving and caring people, you become a more loving and caring person.
Mix with rich friends, you become rich. O.k., I don't mean that you ask your millionaire friends for a donation of $1,000,000, made out in your name. But you will be able to gain their advice on important investments. And your thinking will be like them. Remember Napoleon Hill's book, "Think and Grow Rich"? You see the connexion now?
See how important your friends are? WHAT? You have not a single soul in this world who is your friend? You are presently a hermit living in a cave in the deep jungles of "Malaysia - Truly Asia", and will only be returning to civilisation in 3 years' time?
What advice can I give you? I understand that you are very shy, and will run away from your own shadow. Well, get all the classic motivation books. They can be your first friends. You will follow my advice? Thank you. I love you!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. A few days after the croaking session above, one of my friends (a homeopathic practitioner) emailed/forwarded a message about how to immediately help a stroke victim, using an alternative/traditional approach (i.e. non-conventional medical practice). Another friend who is a neurosurgeon (he operates on your brain if a blood vessel bursts there) said that the traditional advice was "rubbish". Do you think they will start attacking each other? Whether with words ... or knives (or surgeon's scalpels ... or operating saws)?
P.P.S. An opportunity to spend five days having discussions with a multi-millionaire is offered to you. At his exclusive, beautiful home on top of a hill in Hawaii, with a breathtaking view of the Pacific Ocean and the islands. Limited to 20 persons only. Would you grap the opportunity? For a $20,000 fee. What's your comment?
It seems that the guy just loved singing. Whilst a few others just loved a bit of peace and quiet.
He hogged the mike. It led to an argument with a few others who had asked him to let go of the mike. And the final result was that he was stabbed to death. A sad and tragic story, but unfortunately true.
Less than two weeks ago, a few of my friends also were holding a mike and merrily croaking (ooops ... I mean, singing - "karaokeing") until 3 a.m. in the morning at a golf and country resort. None of us had any urge to kill any of our friends who were holding the mike. Even if their wives were croaking (there I go again ... I mean "karaokeing"). I mean, we had no urge to kill either them or their wives!
A study reported in the British Medical Journal said that happiness is infectious, and can "ripple" through social groups such as family and friends.
The study's authors (Professor Nicholas Christakis of Harvard Medical School and Professor James Fowler of the University of California) said, "Changes in individual happiness can ripple through social networks and generate large scale structure in the network, giving rise to clusters of happy and unhappy individuals."
"Most important from our perspective is the recognition that people are embedded in social networks and that the health and well-being of one person affects the health and well-being of others."
To you and me, what the above study means (in not so erudite language) is that if you mix with good people, you become a good person. You mix with criminals, you will become a criminal.
The moral of the story? Who your friends are, will determine who you will be. Mix with positive-minded-friends, you become positive-minded. Mix with loving and caring people, you become a more loving and caring person.
Mix with rich friends, you become rich. O.k., I don't mean that you ask your millionaire friends for a donation of $1,000,000, made out in your name. But you will be able to gain their advice on important investments. And your thinking will be like them. Remember Napoleon Hill's book, "Think and Grow Rich"? You see the connexion now?
See how important your friends are? WHAT? You have not a single soul in this world who is your friend? You are presently a hermit living in a cave in the deep jungles of "Malaysia - Truly Asia", and will only be returning to civilisation in 3 years' time?
What advice can I give you? I understand that you are very shy, and will run away from your own shadow. Well, get all the classic motivation books. They can be your first friends. You will follow my advice? Thank you. I love you!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. A few days after the croaking session above, one of my friends (a homeopathic practitioner) emailed/forwarded a message about how to immediately help a stroke victim, using an alternative/traditional approach (i.e. non-conventional medical practice). Another friend who is a neurosurgeon (he operates on your brain if a blood vessel bursts there) said that the traditional advice was "rubbish". Do you think they will start attacking each other? Whether with words ... or knives (or surgeon's scalpels ... or operating saws)?
P.P.S. An opportunity to spend five days having discussions with a multi-millionaire is offered to you. At his exclusive, beautiful home on top of a hill in Hawaii, with a breathtaking view of the Pacific Ocean and the islands. Limited to 20 persons only. Would you grap the opportunity? For a $20,000 fee. What's your comment?
Friday, November 28, 2008
What's the "Be - Do - Have" Formula?
I invited a very good friend for a business preview seminar. I didn't say much because I was not too familiar with the business myself. My friend postponed another appointment (a training session) to accomodate my invitation.
Another person that I contacted had said that she would attend the seminar. Later she said that she had some other urgent appointment. I believe it was just an excuse, but that doesn't matter. Whether it was true that she had another urgent appointment or not, it's her life ... her destiny, not mine.
What do you think is the difference between the two persons above? Other than their sex (one said "Yes please" and the other said, "I got a headache" ... hehehe ... that woke you up?).
I realised that one person is into Action. He just says, "O.K. I will be there." He is in the present. When he attends the business preview, he will be in the present. Not the past. Not the future.
This Action person behaves the same way with regard to other aspects of life. I once asked him, "Are you going to join the 140 km bicycle ride on Sunday?" His answer (without missing a beat) was, "Yes."
He does not think, "Ooohh ... how many hours will that take?"
"We will be cycling across the mountain range, I wonder if I can make it?"
"Will my 14-year old son be able to complete the distance?"
[Although I had just started cycling a couple of months back, I decided to join him on this 140 km ride. Because my cycling "prowess" was not too far behind his ... hehehe ... I needed a friend when I am (always) at the back of the cycling group! We started at 7 a.m. What time do you think we returned to our starting point (carpark)?]
The other person is into thinking ... too much! You have heard of information overload? The Paralysis by Analysis syndrome?
She's not in the present. She's in the future. She's in the past.
"Is it an MLM business?"
"Is it direct selling?"
"I don't want to sell like what I see some people do. Some people open a small table and start selling (a product, or a service)."
"I think that the business will not be appropriate to my present business/interests."
For heaven's sake, baby! You have not heard what the potential business is all about! And you are making comments as though you have listened (for two and a half hours) and understood, what the new potential business is all about? Good heavens! You know these kind of people? Make sure you don't spend your precious time with them, o.k?
The moral of the story? "Who you are" is "what you are 'be'ing". It is also critical that you are always "being in the present" (as opposed to the past or the future) when you are 'be'ing yourself.
Why? Because "being in the present" eliminates fear. Fear of your past negative experience - which in all probability will not recur. And imagined fears of the future - which in all probability will not occur. It does not mean that you are unaware of your past, or the possibilities of the future.
The 'be' in you is the 'thinking' in you. The 'thinking' in you will lead to your 'do'ing - the actions that you take. Your actions will lead to what you will 'have'. Your 'haves' are your results. Your results are your successes.
Success in life requires you to follow the "Be - Do - Have" formula in that exact sequence. When you become a better person, you will take better actions, and you will get better results.
Interesting? So, be an interesting person, o.k.? You will take interesting action. With interesting results. Such as marrying an interesting person ... awesome, isn't it? Hehehe!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. You guessed the time that we returned from the 140 km ride? You are right! ... if you guessed 5.30 p.m. The next day, I had a challenge to climb the stairs to my office ... hehehe.
P.P.S. Did my friend take up the business opportunity? I will inform you when you give your answer (and e-mail address) in the comments... hehehe!
Another person that I contacted had said that she would attend the seminar. Later she said that she had some other urgent appointment. I believe it was just an excuse, but that doesn't matter. Whether it was true that she had another urgent appointment or not, it's her life ... her destiny, not mine.
What do you think is the difference between the two persons above? Other than their sex (one said "Yes please" and the other said, "I got a headache" ... hehehe ... that woke you up?).
I realised that one person is into Action. He just says, "O.K. I will be there." He is in the present. When he attends the business preview, he will be in the present. Not the past. Not the future.
This Action person behaves the same way with regard to other aspects of life. I once asked him, "Are you going to join the 140 km bicycle ride on Sunday?" His answer (without missing a beat) was, "Yes."
He does not think, "Ooohh ... how many hours will that take?"
"We will be cycling across the mountain range, I wonder if I can make it?"
"Will my 14-year old son be able to complete the distance?"
[Although I had just started cycling a couple of months back, I decided to join him on this 140 km ride. Because my cycling "prowess" was not too far behind his ... hehehe ... I needed a friend when I am (always) at the back of the cycling group! We started at 7 a.m. What time do you think we returned to our starting point (carpark)?]
The other person is into thinking ... too much! You have heard of information overload? The Paralysis by Analysis syndrome?
She's not in the present. She's in the future. She's in the past.
"Is it an MLM business?"
"Is it direct selling?"
"I don't want to sell like what I see some people do. Some people open a small table and start selling (a product, or a service)."
"I think that the business will not be appropriate to my present business/interests."
For heaven's sake, baby! You have not heard what the potential business is all about! And you are making comments as though you have listened (for two and a half hours) and understood, what the new potential business is all about? Good heavens! You know these kind of people? Make sure you don't spend your precious time with them, o.k?
The moral of the story? "Who you are" is "what you are 'be'ing". It is also critical that you are always "being in the present" (as opposed to the past or the future) when you are 'be'ing yourself.
Why? Because "being in the present" eliminates fear. Fear of your past negative experience - which in all probability will not recur. And imagined fears of the future - which in all probability will not occur. It does not mean that you are unaware of your past, or the possibilities of the future.
The 'be' in you is the 'thinking' in you. The 'thinking' in you will lead to your 'do'ing - the actions that you take. Your actions will lead to what you will 'have'. Your 'haves' are your results. Your results are your successes.
Success in life requires you to follow the "Be - Do - Have" formula in that exact sequence. When you become a better person, you will take better actions, and you will get better results.
Interesting? So, be an interesting person, o.k.? You will take interesting action. With interesting results. Such as marrying an interesting person ... awesome, isn't it? Hehehe!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. You guessed the time that we returned from the 140 km ride? You are right! ... if you guessed 5.30 p.m. The next day, I had a challenge to climb the stairs to my office ... hehehe.
P.P.S. Did my friend take up the business opportunity? I will inform you when you give your answer (and e-mail address) in the comments... hehehe!
Wednesday, November 26, 2008
You Have Ups and Downs? the Economy Too?
I cycle for exercise. The wheels of the bicycle go round and round. Hmmm ... why are we talking about my Sunday morning Rubberman bike rides?
Ooooohhh ... ok ... we are going to talk about cycles. Not only for exercise (bicycles). But also for our financial planning (economic cycles). For our investment (property cycles). Menstruation cycles ... no, no ... I will let my Gynaecologist friends write about this in their blog ... hehehe ... you should give them a chance too (to write about cycles).
You should expect, based on history, to undergo one depression and two recessions in your life-time. Your life-span is 75 years - if your don't misuse and abuse your body ... hehehe!
Of course, your personal depressions can be more (karaoke girl-friend left you, mistress left you, wife left you, kids left you, mummy left you, money left you, ...). Here, you should think about an economic depression. And economic recession.
What's the difference between an economic recession and an economic depression? You may realise that there's a recession, when your neighbour loses his job. A depression is when you lose your job. A depression is a more severe form of recession. You get more severe headaches (after finishing your severance package).
So, how can you avoid a recession, or a depression (worse, isn't it)? Simple, if you think it out logically ... don't have a job!
No job? "My daddy and mummy told me to study hard, and get a good job with security", you say to yourself. Well, with the present Information Age (and Knowledge) economy, a safe secure job is no more a reality if you are in developed countries like the United States of America.
In some countries, like "Malaysia - Truly Asia", you can still get a safe secure job in the (government) civil service. But whether it is a good job (in terms of salary and benefits), is subject to interpretation and your personal propensity to spend (economist's terms for whether you are a big spender or careful saver!).
If you don't have a job, what are you going to do? Be a hippie ? Well, that was in my time - in the 1960s. You were born too late, baby!
Robert Kiyosaki (and all the other millionaires too, I believe) recommends that you become an investor. "But ... but ... nobody told me to be one." Yes, no one asked you to be one because school teachers are employees. Maybe, one teacher in a million is an investor.
Anyway, it's never too late to learn. There are numerous training programs and seminars teaching you to be an investor. Property investment. Stock investment. They will teach you that there are monthly cycles, yearly cycles, ten-year cycles, etc. (Of course, the best for health is daily bi-cycle...hehehe! ... just to keep you awake).
When you have enough knowledge about cycles, about ups and downs, about booms and busts, you will be able to survive. If you are into properties, you make money whether the market is up or down. If you are into the stock market, or options trading, you will make your money - whether there's a boom or a bust.
Non-investors have a hard time, especially recently. In October, the TV showed some workers in the United States of America lamenting that they have lost 50% of their retirement savings (or investments), because of the stock market melt-down starting in September 2008. Robert Kiyosaki (and quite a few others, of course) knew that this economic depression would come.
What's the secret of successful investors? They have the knowledge - so you make sure you read books and attend training/seminars! Investors also learn how to manage risks (so that their investment risks are minimal or zero!).
The moral of the story? Up and downs is a fact of life. Of your life. Of the economic life. Of the business life. When you realise this - not only during the bust-time, but especially during the boom time - you prepare yourself (Be Prepared - your Boy Scout's motto ... remember?). Your life would then be plain sailing. Or smooth cycling (for road - compared to mountain - cyclists like me ... hehehe!).
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. I asked a property millionaire whether it is a bad time to invest in real estate, given the economic depression which is coming very very soon. He replied, "No. It simply means that we will have more raw materials (auctioned properties) to choose from, for our money-making machine."
Ooooohhh ... ok ... we are going to talk about cycles. Not only for exercise (bicycles). But also for our financial planning (economic cycles). For our investment (property cycles). Menstruation cycles ... no, no ... I will let my Gynaecologist friends write about this in their blog ... hehehe ... you should give them a chance too (to write about cycles).
You should expect, based on history, to undergo one depression and two recessions in your life-time. Your life-span is 75 years - if your don't misuse and abuse your body ... hehehe!
Of course, your personal depressions can be more (karaoke girl-friend left you, mistress left you, wife left you, kids left you, mummy left you, money left you, ...). Here, you should think about an economic depression. And economic recession.
What's the difference between an economic recession and an economic depression? You may realise that there's a recession, when your neighbour loses his job. A depression is when you lose your job. A depression is a more severe form of recession. You get more severe headaches (after finishing your severance package).
So, how can you avoid a recession, or a depression (worse, isn't it)? Simple, if you think it out logically ... don't have a job!
No job? "My daddy and mummy told me to study hard, and get a good job with security", you say to yourself. Well, with the present Information Age (and Knowledge) economy, a safe secure job is no more a reality if you are in developed countries like the United States of America.
In some countries, like "Malaysia - Truly Asia", you can still get a safe secure job in the (government) civil service. But whether it is a good job (in terms of salary and benefits), is subject to interpretation and your personal propensity to spend (economist's terms for whether you are a big spender or careful saver!).
If you don't have a job, what are you going to do? Be a hippie ? Well, that was in my time - in the 1960s. You were born too late, baby!
Robert Kiyosaki (and all the other millionaires too, I believe) recommends that you become an investor. "But ... but ... nobody told me to be one." Yes, no one asked you to be one because school teachers are employees. Maybe, one teacher in a million is an investor.
Anyway, it's never too late to learn. There are numerous training programs and seminars teaching you to be an investor. Property investment. Stock investment. They will teach you that there are monthly cycles, yearly cycles, ten-year cycles, etc. (Of course, the best for health is daily bi-cycle...hehehe! ... just to keep you awake).
When you have enough knowledge about cycles, about ups and downs, about booms and busts, you will be able to survive. If you are into properties, you make money whether the market is up or down. If you are into the stock market, or options trading, you will make your money - whether there's a boom or a bust.
Non-investors have a hard time, especially recently. In October, the TV showed some workers in the United States of America lamenting that they have lost 50% of their retirement savings (or investments), because of the stock market melt-down starting in September 2008. Robert Kiyosaki (and quite a few others, of course) knew that this economic depression would come.
What's the secret of successful investors? They have the knowledge - so you make sure you read books and attend training/seminars! Investors also learn how to manage risks (so that their investment risks are minimal or zero!).
The moral of the story? Up and downs is a fact of life. Of your life. Of the economic life. Of the business life. When you realise this - not only during the bust-time, but especially during the boom time - you prepare yourself (Be Prepared - your Boy Scout's motto ... remember?). Your life would then be plain sailing. Or smooth cycling (for road - compared to mountain - cyclists like me ... hehehe!).
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. I asked a property millionaire whether it is a bad time to invest in real estate, given the economic depression which is coming very very soon. He replied, "No. It simply means that we will have more raw materials (auctioned properties) to choose from, for our money-making machine."
Sunday, November 23, 2008
Is Destiny a Matter of Chance, or Choice?
What is your destiny?
To be poor? To be rich? To be middle class? To be famous? To be infamous? To be unknown? To help only yourself? To help as many people as you can?
If you want to be successful, in whatever endeavour, you need to make a choice. Nothing happens by chance.
If you think that your life is a case of a chance happening, or of chance happenings, you will become a victim of life. You have met these people. They blame everyone, or an event, for their dire straits in life.
I was reading some comments on the internet. I was shocked (well, I shouldn't be, but still it came as a shock) to find many people writing, and blaming the financial tsunami in the United States of America on the U.S.A.'s President-elect Barack Obama! Good heavens! What a convenient scape-goat. You can get sick, if you read the way these people blame other people.
Research has shown that the criminals in prison never blame themselves for being in prison. "It's the government's fault that I am in prison."
"It's the teachers' fault that I am in this situation."
"It's my parent's fault that I am in this unfortunate condition."
It is never their fault!
A neigbour went to the extreme though, of practising 'destiny is a matter of choice'. He was highly educated with a B.Sc. and a M.Sc. degree, and was a lecturer at a university. He rented a house for $400, but stopped paying the rental after some time (the house-owner was working and staying 250 kilometers away). When asked why he did not pay his rental, he said that he was saving the money to buy his own house. Unbelievable? But a true story! He really wanted to make the choice to have money to pay for his own house! But his degrees certainly does not make him a better man, don't you think so? He's robbing his landlord, to help himself!
An office colleague gambled a lot of his money on horse racing. One day, I saw a notice in the newspapers, and it was his house that was to be auctioned by the bank! When you play 'games of chance' to become rich, what are your chances?
There are even books published to help you interpret your nightly dreams. For example, if a monkey appeared in your dream, it would represent the number 583, and if you dreamt of a red ladies underwear, it would represent the number 912. These are supposedly to help you win the $1,000,000 jack-pot that can make you an instant millionaire!
Why are these books able to be published? Because many people want to be rich the easy way - interpreting their nightly dreams! Hahahaha! Funny, but true reality! These people's dreams naturally turn to financial nightmares, later on in life.
You can easily find out people who make themselves out as victims of circumstances. They use the three 'Cs' as their guiding light - Criticising, Complaining, and Condemning, everything that is happening in the world (most often in their own limited little world). You can easily meet these people in the company canteen or dining room.
The moral of the story? You create the life that you want. When you realise that destiny is a matter of choice, and not a matter of chance, you will take the necessary action to achieve your life's goal(s) and desires.
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Did the office colleague who lost his house because of gambling his money away become homeless? It was lucky that his wife had her own apartment, and he was saved from joining the homeless brigade.
To be poor? To be rich? To be middle class? To be famous? To be infamous? To be unknown? To help only yourself? To help as many people as you can?
If you want to be successful, in whatever endeavour, you need to make a choice. Nothing happens by chance.
If you think that your life is a case of a chance happening, or of chance happenings, you will become a victim of life. You have met these people. They blame everyone, or an event, for their dire straits in life.
I was reading some comments on the internet. I was shocked (well, I shouldn't be, but still it came as a shock) to find many people writing, and blaming the financial tsunami in the United States of America on the U.S.A.'s President-elect Barack Obama! Good heavens! What a convenient scape-goat. You can get sick, if you read the way these people blame other people.
Research has shown that the criminals in prison never blame themselves for being in prison. "It's the government's fault that I am in prison."
"It's the teachers' fault that I am in this situation."
"It's my parent's fault that I am in this unfortunate condition."
It is never their fault!
A neigbour went to the extreme though, of practising 'destiny is a matter of choice'. He was highly educated with a B.Sc. and a M.Sc. degree, and was a lecturer at a university. He rented a house for $400, but stopped paying the rental after some time (the house-owner was working and staying 250 kilometers away). When asked why he did not pay his rental, he said that he was saving the money to buy his own house. Unbelievable? But a true story! He really wanted to make the choice to have money to pay for his own house! But his degrees certainly does not make him a better man, don't you think so? He's robbing his landlord, to help himself!
An office colleague gambled a lot of his money on horse racing. One day, I saw a notice in the newspapers, and it was his house that was to be auctioned by the bank! When you play 'games of chance' to become rich, what are your chances?
There are even books published to help you interpret your nightly dreams. For example, if a monkey appeared in your dream, it would represent the number 583, and if you dreamt of a red ladies underwear, it would represent the number 912. These are supposedly to help you win the $1,000,000 jack-pot that can make you an instant millionaire!
Why are these books able to be published? Because many people want to be rich the easy way - interpreting their nightly dreams! Hahahaha! Funny, but true reality! These people's dreams naturally turn to financial nightmares, later on in life.
You can easily find out people who make themselves out as victims of circumstances. They use the three 'Cs' as their guiding light - Criticising, Complaining, and Condemning, everything that is happening in the world (most often in their own limited little world). You can easily meet these people in the company canteen or dining room.
The moral of the story? You create the life that you want. When you realise that destiny is a matter of choice, and not a matter of chance, you will take the necessary action to achieve your life's goal(s) and desires.
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Did the office colleague who lost his house because of gambling his money away become homeless? It was lucky that his wife had her own apartment, and he was saved from joining the homeless brigade.
Do You See Obstacles, or Opportunities?
What happens to you when you see obstacles? Will you be energised to act, or will you be petrified to act??
What happens when you see opportunities? Will your energy level, to take action, decrease or increase?
You are aware of the story of the two shoe salemen who were sent to a certain country to do a market survey for their product? Salesman 'A' saw the so-called natives not wearing any shoes. He reported to World Headquarters in "Malaysia - Truly Asia", "There is no market potential - no one's wearing shoes here." Will salesman 'A' be motivated to take the next step to meet his sales target?
Salesman 'B' also saw that the natives were not wearing shoes. He reported back, "There is a massive golden opportunity here - no one's wearing shoes yet!" Will Salesman 'B' be moved to take immediate action to meet his sales target?
What your mind focuses on, expands. When your mind focuses on obstacles, you see obstacles.
When your mind focuses on opportunities, opportunities seem to appear in front of you. Sometimes, as though out of thin air.
Remember when you were thinking of buying a new (say, a Toyota Rush) vehicle? Didn't you, suddenly, become aware of Toyota Rush vehicles on the road as you drive your old dilapidated jalopy? This is the Law of Attraction in action. What your mind focuses on, your eyes will see.
I have talked to dozens of my friends and acquaintances regarding an investment program in properties which gives at least a 20% annual Return-On-Investment (ROI). (I have no financial rewards or share in this program. I simply wanted to share the financial reward opportunity).
Only two guys understood what I was saying about the program. One guy was because his father-in-law was personally using a similar business model, as his primary source of income. The other guy was because he and his brother were using a similar business model to generate an additional source of income.
The other guys only saw obstacles when I explained the program to them. "It's too good to be true." "Beware of people collecting money from you, giving good returns in the beginning, and one fine day disappearing into thin air."
A similar business program was presented to some 500 people in Singapore in June 2008. The preview showed how money could be made from opportunities arising from the U.S.A.'s sub-prime loans crisis.
Yes, many people will unfortunately lose money from the sub-prime loan crisis. Yes, they chose to be in that position (although you may not agree with this statement). A few will make money from the sub-prime loan crisis. Yes, they also chose to be in this position. Life's a choice, don't you think so?
The annual Return-On-Investment was stated as 19% to 26%. "Too good to be true", thought the cynics, who see obstacles in their mind. "Sounds a very reasonable rate of return", thought those who have the knowledge (or experience) of how the property market works.
Exactly the same presentation and information, but completely different interpretations or views. Interesting, isn't it?
The moral of the story? Opportunities abound. Whether for a business opportunity, or a life partner! Look and you will see! Ask and you will be given!
I wish you Success in your undertakings and Good Health and Wealth for you and your family. Take care!
P.S. A very good friend of mine joined the property investment program when I told him about it. He said he trusts me (thank you sir!). I believe his trust in me jumped a quantum leap when he saw the bank cheque from my investment! ... Hehehe ... he's one smart guy, don't you think so?
What happens when you see opportunities? Will your energy level, to take action, decrease or increase?
You are aware of the story of the two shoe salemen who were sent to a certain country to do a market survey for their product? Salesman 'A' saw the so-called natives not wearing any shoes. He reported to World Headquarters in "Malaysia - Truly Asia", "There is no market potential - no one's wearing shoes here." Will salesman 'A' be motivated to take the next step to meet his sales target?
Salesman 'B' also saw that the natives were not wearing shoes. He reported back, "There is a massive golden opportunity here - no one's wearing shoes yet!" Will Salesman 'B' be moved to take immediate action to meet his sales target?
What your mind focuses on, expands. When your mind focuses on obstacles, you see obstacles.
When your mind focuses on opportunities, opportunities seem to appear in front of you. Sometimes, as though out of thin air.
Remember when you were thinking of buying a new (say, a Toyota Rush) vehicle? Didn't you, suddenly, become aware of Toyota Rush vehicles on the road as you drive your old dilapidated jalopy? This is the Law of Attraction in action. What your mind focuses on, your eyes will see.
I have talked to dozens of my friends and acquaintances regarding an investment program in properties which gives at least a 20% annual Return-On-Investment (ROI). (I have no financial rewards or share in this program. I simply wanted to share the financial reward opportunity).
Only two guys understood what I was saying about the program. One guy was because his father-in-law was personally using a similar business model, as his primary source of income. The other guy was because he and his brother were using a similar business model to generate an additional source of income.
The other guys only saw obstacles when I explained the program to them. "It's too good to be true." "Beware of people collecting money from you, giving good returns in the beginning, and one fine day disappearing into thin air."
A similar business program was presented to some 500 people in Singapore in June 2008. The preview showed how money could be made from opportunities arising from the U.S.A.'s sub-prime loans crisis.
Yes, many people will unfortunately lose money from the sub-prime loan crisis. Yes, they chose to be in that position (although you may not agree with this statement). A few will make money from the sub-prime loan crisis. Yes, they also chose to be in this position. Life's a choice, don't you think so?
The annual Return-On-Investment was stated as 19% to 26%. "Too good to be true", thought the cynics, who see obstacles in their mind. "Sounds a very reasonable rate of return", thought those who have the knowledge (or experience) of how the property market works.
Exactly the same presentation and information, but completely different interpretations or views. Interesting, isn't it?
The moral of the story? Opportunities abound. Whether for a business opportunity, or a life partner! Look and you will see! Ask and you will be given!
I wish you Success in your undertakings and Good Health and Wealth for you and your family. Take care!
P.S. A very good friend of mine joined the property investment program when I told him about it. He said he trusts me (thank you sir!). I believe his trust in me jumped a quantum leap when he saw the bank cheque from my investment! ... Hehehe ... he's one smart guy, don't you think so?
Thursday, November 20, 2008
Why Do You Need To Market 'You'?
Is Coca Cola an internationally recognised brand? Have you drank Coke? The Real Thing?
If Coca Cola is a readily recognised international brand, why do they spend lots of money on advertisements and promotions? After all, everyone knows Coca Cola, isn't it?
So what is the reason they spend a lot on promotions and advertisements? To be number 1? Yes! You are right! They have a lot of competitors, such as Pepsi Cola.
If Coke spends tonnes of money to market itself, shouldn't you - a mere unknown (at this point in time, but certainly not forever!) - also do some promotion? Some marketing? Self promotion?
One fine day in 1997, I decided to join an international MLM (multi level marketing) company. Why? Because you can make lots of money? True, but that was not the principal reason; because I had no confidence that I would be able to do what it takes in that business.
My principal reason was to find out how network marketing works. To understand its principles, so that when people give their opinion on this method of marketing products or services, I will give a knowledgeable answer. From actual experience of being in the industry. Rather than hearsay.
MLM or network marketing companies use one of the most effective forms of advertising or marketing - word of mouth. That's what I learnt.
Are we digressing from our topic? No, because another lesson I learnt is that if you are in any business, you should promote that business.
Me? I was trying to hide it. From anything that breathes. Why? Because some folks have the wrong information on the MLM industry. They 'think' its a pyramid scheme. (And I was afraid people would associate me with this). Because they 'think' (without the right information), they do not take 'action' to grap one of the best business opportunities in the world.
Once he learnt about the awesome power of the network marketing business model, Robert T Kiyosaki wrote "The Business School for People Who Like to Help People" to describe the advantages of being involved in the network marketing industry.
Of course, network marketing is not for everyone. But it sure would be a great help for a lot of people, if they just opened their minds.
Robert Kiyosaki also states that one of the most important personal skills that you must learn, to succeed in life, is selling! Because selling trains you to tame the fear of rejections! Can you handle twenty 'No's before you get one 'Yes'?
Harv T Eker wrote, "... any leader who can't or won't promote will not be a leader for long, be it in politics, business, sports or even as a parent. (Also)... Leaders earn a heck of a lot more money than followers!"
The moral of the story? If you do not promote yourself, no one else will. If you do not sell your business, no one else will. If you do not transfer your enthusiasm ('the radio wave by which you transmit your personality to others'), no one else will. Go sell, with integrity, the product "YOU"!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. In case you are the curious kind, which MLM company did I join? Give me your answer in the Comments space. If you give me your email, I will confirm the answer privately! Of course, if you guessed right, I will give you a little gift. Fair deal?
If Coca Cola is a readily recognised international brand, why do they spend lots of money on advertisements and promotions? After all, everyone knows Coca Cola, isn't it?
So what is the reason they spend a lot on promotions and advertisements? To be number 1? Yes! You are right! They have a lot of competitors, such as Pepsi Cola.
If Coke spends tonnes of money to market itself, shouldn't you - a mere unknown (at this point in time, but certainly not forever!) - also do some promotion? Some marketing? Self promotion?
One fine day in 1997, I decided to join an international MLM (multi level marketing) company. Why? Because you can make lots of money? True, but that was not the principal reason; because I had no confidence that I would be able to do what it takes in that business.
My principal reason was to find out how network marketing works. To understand its principles, so that when people give their opinion on this method of marketing products or services, I will give a knowledgeable answer. From actual experience of being in the industry. Rather than hearsay.
MLM or network marketing companies use one of the most effective forms of advertising or marketing - word of mouth. That's what I learnt.
Are we digressing from our topic? No, because another lesson I learnt is that if you are in any business, you should promote that business.
Me? I was trying to hide it. From anything that breathes. Why? Because some folks have the wrong information on the MLM industry. They 'think' its a pyramid scheme. (And I was afraid people would associate me with this). Because they 'think' (without the right information), they do not take 'action' to grap one of the best business opportunities in the world.
Once he learnt about the awesome power of the network marketing business model, Robert T Kiyosaki wrote "The Business School for People Who Like to Help People" to describe the advantages of being involved in the network marketing industry.
Of course, network marketing is not for everyone. But it sure would be a great help for a lot of people, if they just opened their minds.
Robert Kiyosaki also states that one of the most important personal skills that you must learn, to succeed in life, is selling! Because selling trains you to tame the fear of rejections! Can you handle twenty 'No's before you get one 'Yes'?
Harv T Eker wrote, "... any leader who can't or won't promote will not be a leader for long, be it in politics, business, sports or even as a parent. (Also)... Leaders earn a heck of a lot more money than followers!"
The moral of the story? If you do not promote yourself, no one else will. If you do not sell your business, no one else will. If you do not transfer your enthusiasm ('the radio wave by which you transmit your personality to others'), no one else will. Go sell, with integrity, the product "YOU"!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. In case you are the curious kind, which MLM company did I join? Give me your answer in the Comments space. If you give me your email, I will confirm the answer privately! Of course, if you guessed right, I will give you a little gift. Fair deal?
Tuesday, November 18, 2008
What is Your Net Worth?
Why is your Net Worth important? Because once you have a Net Worth (instead of net liability!), you will be able to proceed to more wealth! "The journey of one million dollars starts with one single dollar", said the famous philosopher MyFinancial$Sense.
Common folks talk in terms of having a salary increase of 30% (a promotion) or 5% (annual increase to keep up with inflation, but not with personal expenses!). Rich people talk in terms of increasing Net Worth. Common folks talk of increasing Working Income.
Six years ago, a friend of mine, a millionaire (must be, because he lived in a million-dollar bungalow, and also had just been given a million-dollar golden handshake, with more than a million dollars in his retirement fund, plus a few road/racing bicycles worth what 3 administrative assistants would earn in a year!) said of another friend, "Dick will be worth a couple of (more like 50) million dollars when his company is listed on the stock market." It's only now that I understand that rich people never talk of 5% or 30% increase in your working income.
How do you calculate your Net Worth? Simple: add (expressed in '$ & c') everything that you own, and then minus everything that you owe.
If you own: a house which you bought for $300,000 (market value $180,000 because of the U.S.A.'s sub-prime crisis), an apartment which you bought for $ 125,000 (market value $ 160,000 because it is situated in the Central Business District), savings bonds of $10,000 (fixed value), 60,000 units of mutual funds which you bought @ $1.30/unit but whose price today is $0.50 (because of the world's worst financial market in two decades), an 8-year old car bought for $50,000 but now worth $10,000 on the market, a 2-year old car which you bought for $ 37,000 (market value $ 9,000 because it's a lemon), and you owe: the bank $25,000 (loan for 2-year old car), what is your Net Worth? (A special prize awaits you if you get the right answer!).
T Harv Eker states that four (4) factors determine your Net Worth:
(1) Income, (2) Savings, (3) Investments, and (4) Simplification.
Income can be from Active Income, or Passive Income.
Active Income is when you trade your 'time' for 'money'. Your time is worth less (perhaps $4/hour) when there is a lot of supply (e.g. you work as a manual worker, perhaps packing items into a cardboard box). If you have specialised skills (like a neuro-surgeon, divorce lawyer for the rich and famous, or creative marketing consultant), your rate could be $10,000 per hour.
Passive Income is when you have an income stream whether you are awake or asleep (or gone to heaven!?! ... Elvis Presley - o.k., ok., his estate - still earns lotsa $$$$ from his songs' royalties). Or you write a best-selling book (not a best-written book, for heaven's sake!), and collect your royalties as you go on a tropical cruise.
Savings is critical because because they will become the seeds of your investment, once it reaches a minimum level. Savings indicates that you have the discipline not to let money get completely out of your hands. If you can't keep it, others will! Get the message?
From your savings (if you keep it in the bank, some banks offer 4% per annum, a few may offer 12% when they are really short of funds), you will accumulate over a period of time to use for Investments.
Investments in gold, property, stocks or business? For a Mc Donald's or Kentucky Fried Chicken franchise, you may need a $1,000,000 investment. For a network marketing company's rights to market their products, the 'franchise fee' could be less than a $100. Without an investment fund, you may miss golden business opportunities which require investments of between $10,000 to $100,000.
Simplification requires you to reduce your cost of living, so that you can increase your savings and investments faster. A property millionaire started his road to riches by simplification, when he realised that almost 100% of his income was on expenses, with little room left for savings and investments. How?
He got rid of his big car (he was a lawyer with his own firm) and changed to a compact car. He unloaded the driver (of his big car). His friends gingerly avoided him at the club (because they thought he was in dire financial straits). He's laughing his way to the bank now (and riding, with the breeze caressing his moustache, on his Harley Davidson around the country). FINANCIAL FREEDOM!
The moral of the story? Once you realise that your Net Worth is more important than your Net Income, you will be on your way to financial freedom. Focus on your Net Worth everyday (o.k., every month for starters), and you will see it grow.
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Sshhh ... what about his big wife? No, no! The guy didn't get rid of his big wife (see story on Simplification above), in case you were wondering. Just joking (about his wife being big), for heaven's sake!
Common folks talk in terms of having a salary increase of 30% (a promotion) or 5% (annual increase to keep up with inflation, but not with personal expenses!). Rich people talk in terms of increasing Net Worth. Common folks talk of increasing Working Income.
Six years ago, a friend of mine, a millionaire (must be, because he lived in a million-dollar bungalow, and also had just been given a million-dollar golden handshake, with more than a million dollars in his retirement fund, plus a few road/racing bicycles worth what 3 administrative assistants would earn in a year!) said of another friend, "Dick will be worth a couple of (more like 50) million dollars when his company is listed on the stock market." It's only now that I understand that rich people never talk of 5% or 30% increase in your working income.
How do you calculate your Net Worth? Simple: add (expressed in '$ & c') everything that you own, and then minus everything that you owe.
If you own: a house which you bought for $300,000 (market value $180,000 because of the U.S.A.'s sub-prime crisis), an apartment which you bought for $ 125,000 (market value $ 160,000 because it is situated in the Central Business District), savings bonds of $10,000 (fixed value), 60,000 units of mutual funds which you bought @ $1.30/unit but whose price today is $0.50 (because of the world's worst financial market in two decades), an 8-year old car bought for $50,000 but now worth $10,000 on the market, a 2-year old car which you bought for $ 37,000 (market value $ 9,000 because it's a lemon), and you owe: the bank $25,000 (loan for 2-year old car), what is your Net Worth? (A special prize awaits you if you get the right answer!).
T Harv Eker states that four (4) factors determine your Net Worth:
(1) Income, (2) Savings, (3) Investments, and (4) Simplification.
Income can be from Active Income, or Passive Income.
Active Income is when you trade your 'time' for 'money'. Your time is worth less (perhaps $4/hour) when there is a lot of supply (e.g. you work as a manual worker, perhaps packing items into a cardboard box). If you have specialised skills (like a neuro-surgeon, divorce lawyer for the rich and famous, or creative marketing consultant), your rate could be $10,000 per hour.
Passive Income is when you have an income stream whether you are awake or asleep (or gone to heaven!?! ... Elvis Presley - o.k., ok., his estate - still earns lotsa $$$$ from his songs' royalties). Or you write a best-selling book (not a best-written book, for heaven's sake!), and collect your royalties as you go on a tropical cruise.
Savings is critical because because they will become the seeds of your investment, once it reaches a minimum level. Savings indicates that you have the discipline not to let money get completely out of your hands. If you can't keep it, others will! Get the message?
From your savings (if you keep it in the bank, some banks offer 4% per annum, a few may offer 12% when they are really short of funds), you will accumulate over a period of time to use for Investments.
Investments in gold, property, stocks or business? For a Mc Donald's or Kentucky Fried Chicken franchise, you may need a $1,000,000 investment. For a network marketing company's rights to market their products, the 'franchise fee' could be less than a $100. Without an investment fund, you may miss golden business opportunities which require investments of between $10,000 to $100,000.
Simplification requires you to reduce your cost of living, so that you can increase your savings and investments faster. A property millionaire started his road to riches by simplification, when he realised that almost 100% of his income was on expenses, with little room left for savings and investments. How?
He got rid of his big car (he was a lawyer with his own firm) and changed to a compact car. He unloaded the driver (of his big car). His friends gingerly avoided him at the club (because they thought he was in dire financial straits). He's laughing his way to the bank now (and riding, with the breeze caressing his moustache, on his Harley Davidson around the country). FINANCIAL FREEDOM!
The moral of the story? Once you realise that your Net Worth is more important than your Net Income, you will be on your way to financial freedom. Focus on your Net Worth everyday (o.k., every month for starters), and you will see it grow.
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Sshhh ... what about his big wife? No, no! The guy didn't get rid of his big wife (see story on Simplification above), in case you were wondering. Just joking (about his wife being big), for heaven's sake!
Saturday, November 15, 2008
Is Money Working for You, or Are You Working for Money?
Are you working for money? A simple but profound question, don't you think so?
Most of you may not realise that you are working for money. I found the comment from an office colleague interesting. He says he does not work for money - he works for the sake of God. Well, if he does not work for money, don't you think that he should give away his monthly salary to a House of God, or to an ophanage? Well, we don't want to touch on sensitive topics. I guess as long as he's happy in his own world, we should let him be.
It's as though you have been programmed since you came out of the womb. Perhaps even before you came out! If you were scanned through your mummy's tummy, and found to be a boy (well, the scan showed you had an appendage!), your parents may have had visions of you as a doctor, or lawyer, or accountant - never as a dancer, or as a network marketer ("goodness gracious me, why would anyone want to become that", thinks 95% of parents ... the ignorant ones).
If you were born a girl, your parents would have visions of you as ... da da! .... a doctor, or lawyer, or an accountant!
What would you like your children to become when they grow up? A philosopher? A rock star? A guitarist? Mother Theresa? A multi-level marketer?
What have you been programmed to, by your parents and the educational system, since you were born? To get a ... JOB! Yes, you are good, aren't you?
When you have been programmed to get a job, your life would be Just Over Broke. You will work to get money. To buy you a big bike. Buy you a big car. Buy you a big house. Buy you a big wife (!?!)... hehehe ... to check that you are not sleeping again!
When you get a $500 per month increment, you buy a bigger, more prestigious car. When you get another $1,000 per month increment, you up-grade your house. Whether you are a civil servant, a factory worker, a nurse, a lawyer, an accountant or a doctor. You are programmed to spend whatever extra you get. You work for money!
Rich people let money work for them. If they have $500 extra per month, they save it. Until it is enough to be invested. In mutual funds, or stocks, or gold, or property, or a business.
If you have $100,000 in your hand (your long lost auntie just left you that amount in her will), would you prefer to use it to buy a new car to replace your 8-year old car? How long would you need to think about this?
If you have a 'rich person's' mind, you would calculate the opportunity cost of buying a car rather than invest it. You may think, "If I buy a new car, I lose the opportunity to triple the $100,000 in 5 years (in a property investment program). Hmmm ... I need to see whether it's worthwhile to get a new car, at this moment in time. I must get my priorities right". This is what 5% of the people would do.
If you have a mind that 'works for money', you would simply and immediately say to yourself, "What the heck ... it's better that I get a new car immediately and enjoy life. You never know whether you will live long, anyway". This is what 95% of the folks out there would do. You are not in this category, of course.
The moral of the story? If you think short-term, you will always be working for money. If you think long-term, you will have money working for you.
"Delayed gratification" means that you are willing to have a hard time now, so that you will have an easy time in the future. "Instant gratification" means you want your pleasure now, and torture later (and forever?). Which one do you practise? You choose the life that you want!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
Most of you may not realise that you are working for money. I found the comment from an office colleague interesting. He says he does not work for money - he works for the sake of God. Well, if he does not work for money, don't you think that he should give away his monthly salary to a House of God, or to an ophanage? Well, we don't want to touch on sensitive topics. I guess as long as he's happy in his own world, we should let him be.
It's as though you have been programmed since you came out of the womb. Perhaps even before you came out! If you were scanned through your mummy's tummy, and found to be a boy (well, the scan showed you had an appendage!), your parents may have had visions of you as a doctor, or lawyer, or accountant - never as a dancer, or as a network marketer ("goodness gracious me, why would anyone want to become that", thinks 95% of parents ... the ignorant ones).
If you were born a girl, your parents would have visions of you as ... da da! .... a doctor, or lawyer, or an accountant!
What would you like your children to become when they grow up? A philosopher? A rock star? A guitarist? Mother Theresa? A multi-level marketer?
What have you been programmed to, by your parents and the educational system, since you were born? To get a ... JOB! Yes, you are good, aren't you?
When you have been programmed to get a job, your life would be Just Over Broke. You will work to get money. To buy you a big bike. Buy you a big car. Buy you a big house. Buy you a big wife (!?!)... hehehe ... to check that you are not sleeping again!
When you get a $500 per month increment, you buy a bigger, more prestigious car. When you get another $1,000 per month increment, you up-grade your house. Whether you are a civil servant, a factory worker, a nurse, a lawyer, an accountant or a doctor. You are programmed to spend whatever extra you get. You work for money!
Rich people let money work for them. If they have $500 extra per month, they save it. Until it is enough to be invested. In mutual funds, or stocks, or gold, or property, or a business.
If you have $100,000 in your hand (your long lost auntie just left you that amount in her will), would you prefer to use it to buy a new car to replace your 8-year old car? How long would you need to think about this?
If you have a 'rich person's' mind, you would calculate the opportunity cost of buying a car rather than invest it. You may think, "If I buy a new car, I lose the opportunity to triple the $100,000 in 5 years (in a property investment program). Hmmm ... I need to see whether it's worthwhile to get a new car, at this moment in time. I must get my priorities right". This is what 5% of the people would do.
If you have a mind that 'works for money', you would simply and immediately say to yourself, "What the heck ... it's better that I get a new car immediately and enjoy life. You never know whether you will live long, anyway". This is what 95% of the folks out there would do. You are not in this category, of course.
The moral of the story? If you think short-term, you will always be working for money. If you think long-term, you will have money working for you.
"Delayed gratification" means that you are willing to have a hard time now, so that you will have an easy time in the future. "Instant gratification" means you want your pleasure now, and torture later (and forever?). Which one do you practise? You choose the life that you want!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
Thursday, November 13, 2008
NeFiPELoG Money Management System?
Under "Is There a Simple Money Management System (MMS)", you were introduced to the NeFiPELoG system. You need some elaboration on the six accounts that T Harv Eker came up with?
Ne = Necessities Account. This is the 50% of your income (after taxes) that you use to pay for your necessities, for your basic needs, such as your food and lodging. Without these necessities, you would not be able to live, or go to work.
Fi = Financial Freedom Account. This is the 10% of your income that you only use for investments. Or buying/creating passive income streams. The income derived from these investments must not be spent! It is to be further invested. Only when you retire (not necessarily at the formal/official retirement age) can you spend the passive income (i.e the principal remains untouched).
P = Play Account. The 10% of your income put into this account has to be spent every month! Why? Because if you just save, you may become addicted to saving only, and may become miserly. To nurture the habit of feeling good and being able to do things that your heart really desires (yes ladies - that cute Gucci hand-bag to match your sexy red shoes!), this play account money can be spent on anything that you fancy for the month. This makes you a 'holistic' person (I don't know whether you will turn into a holy man ... hehehe).
E = Education Account. You are familiar with the saying: "If education is expensive, try ignorance". This 10% of your income is for you to buy books, attend seminars, or pursue a course of study to improve your knowledge and skills. I met the General Manager of the Cameroon Development Corporation (Africa) in 1993, and found him very knowledgeable. I was impressed, and asked him his secret. He mentioned that when he was overseas and at the airport, he would buy books, because it was quite difficult to find a wide choice/range of books in his country. A few years later he was appointed the President of the Republic of Cameroon. They picked an excellent person. The right person, don't you think?
Lo = Long-Term Savings for Spending Account. This 10% of your income differs from the Financial Freedom Account in that it can use it anytime (and not only when you retire). The principle is that if you want to spend something, do not take a loan (especially a credit card loan!). Instead, save 10% of your income, and then spend when the accumulated savings is enough for you to buy the desired object (e.g. a new bedroom or sofa set, or a vacation to Tioman Island or Bora Bora).
G = Give Account. This 10% of your income is to be given out to your favorite charity or religious house. Winston Churchill said, "We make a living by what we earn - we make a life by what we give". Do you agree?
What is the moral of the story? If a multi-millionaire like T Harv Eker suggests that you manage your money according to the NeFiPELog system, doesn't it merit your attention? If he recommends the system, and he has the results to show for it, shouldn't you do your utmost to follow it? Even if you have $100 only to manage? That would be a measure of your discipline, isn't it?
Money, like everything in life, needs to be managed. If not managed, your money turns into a state of financial chaos. Isn't the global financial chaos a sign that you need to go back to basics?
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
Ne = Necessities Account. This is the 50% of your income (after taxes) that you use to pay for your necessities, for your basic needs, such as your food and lodging. Without these necessities, you would not be able to live, or go to work.
Fi = Financial Freedom Account. This is the 10% of your income that you only use for investments. Or buying/creating passive income streams. The income derived from these investments must not be spent! It is to be further invested. Only when you retire (not necessarily at the formal/official retirement age) can you spend the passive income (i.e the principal remains untouched).
P = Play Account. The 10% of your income put into this account has to be spent every month! Why? Because if you just save, you may become addicted to saving only, and may become miserly. To nurture the habit of feeling good and being able to do things that your heart really desires (yes ladies - that cute Gucci hand-bag to match your sexy red shoes!), this play account money can be spent on anything that you fancy for the month. This makes you a 'holistic' person (I don't know whether you will turn into a holy man ... hehehe).
E = Education Account. You are familiar with the saying: "If education is expensive, try ignorance". This 10% of your income is for you to buy books, attend seminars, or pursue a course of study to improve your knowledge and skills. I met the General Manager of the Cameroon Development Corporation (Africa) in 1993, and found him very knowledgeable. I was impressed, and asked him his secret. He mentioned that when he was overseas and at the airport, he would buy books, because it was quite difficult to find a wide choice/range of books in his country. A few years later he was appointed the President of the Republic of Cameroon. They picked an excellent person. The right person, don't you think?
Lo = Long-Term Savings for Spending Account. This 10% of your income differs from the Financial Freedom Account in that it can use it anytime (and not only when you retire). The principle is that if you want to spend something, do not take a loan (especially a credit card loan!). Instead, save 10% of your income, and then spend when the accumulated savings is enough for you to buy the desired object (e.g. a new bedroom or sofa set, or a vacation to Tioman Island or Bora Bora).
G = Give Account. This 10% of your income is to be given out to your favorite charity or religious house. Winston Churchill said, "We make a living by what we earn - we make a life by what we give". Do you agree?
What is the moral of the story? If a multi-millionaire like T Harv Eker suggests that you manage your money according to the NeFiPELog system, doesn't it merit your attention? If he recommends the system, and he has the results to show for it, shouldn't you do your utmost to follow it? Even if you have $100 only to manage? That would be a measure of your discipline, isn't it?
Money, like everything in life, needs to be managed. If not managed, your money turns into a state of financial chaos. Isn't the global financial chaos a sign that you need to go back to basics?
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
Tuesday, November 11, 2008
Is There a Simple Money Management System (MMS)?
Warren Buffet said, "Don't think that you have to be wealthy, before you can be an investor. You have to learn to be an investor, before you can be wealthy".
In other words, you don't have to have lotsa $,$$$,$$$ before you need to manage it. You need to manage it before you get lotsa $,$$$,$$$! Simple? Yes! But how many of you manage your money ... properly? Do you have a system to manage your $$$$$?
How much money do you receive over your life-time? Well, at least over your working life-time? For the majority you, it will be over $1,000,000! Wow! That's good news!
What's the bad news? You will spend most (if not all!) of the $1,000,000! How can this be? Indeed, how can it be?
But don't you agree, that oftentimes, truth is stranger than fiction? How can you personally check this out?
One way is for you to note your daily expenses for 30 days. Every single expense. Including credit card purchases.
A simple way to check other people's expenditure, in a roundabout way, is to check their bank balances.
Of course no one is going to show, (or allow you to check) their bank balance. But you can just (discreetly ... or like 007 ... your choice!) go to any automated teller machine (ATM), and collect the balance print-out slips. These are readily retrieved from the waste basket, or (not that many, though) from the tops of the ATM machines.
Check the balance slips. One set of slips - just after the beginning of the month. Another set of slips - just before payday at the end of the month. Can you please report to me your findings through the 'comments' on this blog?
The simplest Money Management System (MMS) is called E-S-I system. This requires you to separate your income into three separate items (or bank accounts!).
E = Expenses = 70% of your income.
S = Savings = 10% of your income.
I = Investments = 20% of your income.
Simple? 'Do'able? You doing it?
T Harv Eker has another (more sophisticated, or advanced, or complicated, ... depending on who you are?!?) system. There are six separate accounts or items, instead of the three for E-S-I system. It is the N-F-P-E-L-G system. For your easy memory retention, is it ok with you if we call it the NeFiPELoG system? Thank you for your kind agreement.
The six accounts are:
Ne = Necessities = 50% of your income
Fi = Financial Freedom = 10% of your income
P = Play = 10% of your income
E = Education = 10% of your income
Lo = Long-Term Savings for Spending = 10% of your income
G = Give = 10% of your income
T Harv Eker is 'a multi-millionaire many times over' (... I heard it right from the horse's mouth!). So if he says that the above is the key to your financial success, do you think we should have a debate with him?
The moral of the story? You are aware of friends or neighbours who earn more than $5,000 a month but who are broke (run out of cash before the end of the month! ... they love the month of February...hehehe!). You also know friends or neighbours who earn $2,000 a month but have cash left-over to be used the next month. How come the difference in results?
As T Harv Eker says, "The habit of managing your money is more important than the amount".
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. I read yesterday about a guy (in thirties or early forties) who experienced having his last $4.50 to be spent with his kid at McDonalds, and also of having his car reposessed, after having lost his job. He appeared to have had a very well-paying job before that. I do not know his exact background when he experienced all these 'sad situations' or 'traumas', but have you known your friends or neighbours being in similar situations? Hmmm ... care to share/comment? Thank you.
In other words, you don't have to have lotsa $,$$$,$$$ before you need to manage it. You need to manage it before you get lotsa $,$$$,$$$! Simple? Yes! But how many of you manage your money ... properly? Do you have a system to manage your $$$$$?
How much money do you receive over your life-time? Well, at least over your working life-time? For the majority you, it will be over $1,000,000! Wow! That's good news!
What's the bad news? You will spend most (if not all!) of the $1,000,000! How can this be? Indeed, how can it be?
But don't you agree, that oftentimes, truth is stranger than fiction? How can you personally check this out?
One way is for you to note your daily expenses for 30 days. Every single expense. Including credit card purchases.
A simple way to check other people's expenditure, in a roundabout way, is to check their bank balances.
Of course no one is going to show, (or allow you to check) their bank balance. But you can just (discreetly ... or like 007 ... your choice!) go to any automated teller machine (ATM), and collect the balance print-out slips. These are readily retrieved from the waste basket, or (not that many, though) from the tops of the ATM machines.
Check the balance slips. One set of slips - just after the beginning of the month. Another set of slips - just before payday at the end of the month. Can you please report to me your findings through the 'comments' on this blog?
The simplest Money Management System (MMS) is called E-S-I system. This requires you to separate your income into three separate items (or bank accounts!).
E = Expenses = 70% of your income.
S = Savings = 10% of your income.
I = Investments = 20% of your income.
Simple? 'Do'able? You doing it?
T Harv Eker has another (more sophisticated, or advanced, or complicated, ... depending on who you are?!?) system. There are six separate accounts or items, instead of the three for E-S-I system. It is the N-F-P-E-L-G system. For your easy memory retention, is it ok with you if we call it the NeFiPELoG system? Thank you for your kind agreement.
The six accounts are:
Ne = Necessities = 50% of your income
Fi = Financial Freedom = 10% of your income
P = Play = 10% of your income
E = Education = 10% of your income
Lo = Long-Term Savings for Spending = 10% of your income
G = Give = 10% of your income
T Harv Eker is 'a multi-millionaire many times over' (... I heard it right from the horse's mouth!). So if he says that the above is the key to your financial success, do you think we should have a debate with him?
The moral of the story? You are aware of friends or neighbours who earn more than $5,000 a month but who are broke (run out of cash before the end of the month! ... they love the month of February...hehehe!). You also know friends or neighbours who earn $2,000 a month but have cash left-over to be used the next month. How come the difference in results?
As T Harv Eker says, "The habit of managing your money is more important than the amount".
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. I read yesterday about a guy (in thirties or early forties) who experienced having his last $4.50 to be spent with his kid at McDonalds, and also of having his car reposessed, after having lost his job. He appeared to have had a very well-paying job before that. I do not know his exact background when he experienced all these 'sad situations' or 'traumas', but have you known your friends or neighbours being in similar situations? Hmmm ... care to share/comment? Thank you.
Monday, November 10, 2008
How to Manage Your Money?
What is the key to financial freedom?
Is it to have a well-paying job? There are many well-paid executives who have big cars and big houses. They also have big loans! (And big wives? ... just joking ... to check whether you are paying attention!). But small or zero savings!
Is it to be lucky, and win a million dollars through the lottery? You have heard of many stories of people who won a million dollars in a lottery, but are back to square one in a matter of 2-3 years.
Did you see the story in the newspapers of a grandmother who received more than a million dollars (because her piece of land was acquired by the government) but who then lost it all? She then became dependent on her neighbours to provide her with food.
Why did these people not keep their big money? The reason is that they did not know how to manage money!
If you do not know how to manage $100, you will not be able to manage $1,000,000! Similarly, if you do not know how to take care of 1 tree, you will never be able to take care of a forest or a plantation with 1,000,000 trees.
My wife has difficulty in looking after potted plants or flowers. Even the most hardy of plants - the cactus - will die (not a sudden, horrible death, I hope ... but more of a slow death, I guess) when she buys from IKEA and keeps it in the house. Would you want her to look after the Botanical Gardens at Kew, England? God bless the flower plants and the trees!
Haven't you heard of the following saying: "'Happiness' is when you have $100, and you spend $99. 'Misery' is when you have $100, and you spend $101"?
The financial tsunami experienced by the United States of America in 2008 is caused by this principle. When many individuals practise 'misery' in their daily lives, the result would be 'misery' on a national scale. Even on a global scale.
When you have $100 and you spend $99, you will have $1 savings. When your financial habit is 'savings' of 1%, you will save $10 when you get $1,000. Your 1% habit will make you save $100 when you get $10,000.
One of the secrets to financial freedom is that you must 'invest'. When you 'invest', your money is working for you! Instead of you working for money! Isn't that neat? Which is your choice?
When you have a financial habit of 10% savings when your salary is $100 a month, what would your savings be when your salary becomes 1,000 per month? What would be your savings when you earn $10,000 per m0nth?
When you invest all your savings (10%) above, beginning when you earned $100 per month, do you think that you could be a millionaire in 20 years' time? Or 30 years' time? Or 40 years' time? Or when you retire? Would it give you peace of mind?
The moral of the story? When you develop your financial habit of saving at least 10% of the money that you get, you will be on your way to financial freedom. Your 10% savings will allow you to invest - letting money work for you (instead of you working for money). T Harv Eker wrote: "Until you show you can handle what you've got, you won't get any more!...We are creatures of habits, and therefore the habit of managing your money is more important than the amount".
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
Is it to have a well-paying job? There are many well-paid executives who have big cars and big houses. They also have big loans! (And big wives? ... just joking ... to check whether you are paying attention!). But small or zero savings!
Is it to be lucky, and win a million dollars through the lottery? You have heard of many stories of people who won a million dollars in a lottery, but are back to square one in a matter of 2-3 years.
Did you see the story in the newspapers of a grandmother who received more than a million dollars (because her piece of land was acquired by the government) but who then lost it all? She then became dependent on her neighbours to provide her with food.
Why did these people not keep their big money? The reason is that they did not know how to manage money!
If you do not know how to manage $100, you will not be able to manage $1,000,000! Similarly, if you do not know how to take care of 1 tree, you will never be able to take care of a forest or a plantation with 1,000,000 trees.
My wife has difficulty in looking after potted plants or flowers. Even the most hardy of plants - the cactus - will die (not a sudden, horrible death, I hope ... but more of a slow death, I guess) when she buys from IKEA and keeps it in the house. Would you want her to look after the Botanical Gardens at Kew, England? God bless the flower plants and the trees!
Haven't you heard of the following saying: "'Happiness' is when you have $100, and you spend $99. 'Misery' is when you have $100, and you spend $101"?
The financial tsunami experienced by the United States of America in 2008 is caused by this principle. When many individuals practise 'misery' in their daily lives, the result would be 'misery' on a national scale. Even on a global scale.
When you have $100 and you spend $99, you will have $1 savings. When your financial habit is 'savings' of 1%, you will save $10 when you get $1,000. Your 1% habit will make you save $100 when you get $10,000.
One of the secrets to financial freedom is that you must 'invest'. When you 'invest', your money is working for you! Instead of you working for money! Isn't that neat? Which is your choice?
When you have a financial habit of 10% savings when your salary is $100 a month, what would your savings be when your salary becomes 1,000 per month? What would be your savings when you earn $10,000 per m0nth?
When you invest all your savings (10%) above, beginning when you earned $100 per month, do you think that you could be a millionaire in 20 years' time? Or 30 years' time? Or 40 years' time? Or when you retire? Would it give you peace of mind?
The moral of the story? When you develop your financial habit of saving at least 10% of the money that you get, you will be on your way to financial freedom. Your 10% savings will allow you to invest - letting money work for you (instead of you working for money). T Harv Eker wrote: "Until you show you can handle what you've got, you won't get any more!...We are creatures of habits, and therefore the habit of managing your money is more important than the amount".
I wish you Success in your undertakings and Good Health and Wealth to you and your family. Take care!
Thursday, November 6, 2008
Why Go the Extra Mile?
Will going the extra mile (or km?) give you an advantage? Will it make you a significantly better person than 99.9% of the population?
When I was 15 (yes ... a very long, long time ago ... like eternity ... according to my kids Adam and Sabrina), I saw my senior at high school take part in the 100-metre dash (back in those "pre-historic times" it was known as the 110-yard dash).
He came in third. To me, that was a big achievement because he won a trophy (even though for third place). It also meant that he was part of the schools' 4x100 sprint-relay team. To a 15 year old, that was glamourous! Everyone in the school would know you. You would become famous!
But I don't believe that he woke up one fine morning, and became an immediate success as a sprinter. Having muscular legs to propel him at a velocity that can beat others.
I remembered that I had joined him (and a small group of other boys) once, 5 years before, to jog around our small town at 5.30 a.m. in the morning. He had been "training" for 5 years!
At that time, it did not seem like training - it was more of having fun with your friends. Just enjoying a run in the fresh and invigorating coolness of the morning. But the result 5 years later for him, was that he became a winner on the running track. He jogged almost every morning, whilst it was the first, and last, early morning run for me! See the different results? Law of Cause and Effect?
I was at a training camp a couple of weeks ago. We were given an exercise on the beach in the gloriously skin-burning (and energy-sapping) sunshine.
I noticed that one tall young guy (ok ... I agree ... any guy will be young when compared to ancient me) was willing to take more responsibility. In the form of more load (of bricks ... believe it ... or don't!) off other people whom he saw were struggling with the load. One of the 'people' was me ... that's why I know! hehehe!
Din (not some loud noise ... it's his name!) went the extra mile that day. I could not stop admiring him. If I were his father, I would have been very proud of him. If he was single (he's handsome), and I were a beautiful, sexy and voluptuous gal, I would have proposed to him right away that very evening!
Anyway, what do you think of Din (the guy, the guy! ... not the loud noise!)? Will you want to be his friend?
Will he attract businesss partners if he were starting a new business, and looking for partners? Will YOU be willing to do whatever he asks you? Why? Because you trust him. Because he is not selfish. Because he contributes to increasing life (well ... I thought I would die if one of the bricks was not taken away from me! ... hehehe!). Do you think that the Universe will help Din in whatever endeavour he undertakes?
The moral of the story? When you go the extra mile, you will be noticed. You will be a leader in whatever field you are involved in ... Sports ... Business ... Voluntary organisations ... Academia. Why? Because the majority are not willing to go the extra mile.
You go and be a leader. Do that little bit extra. You will attract goodness; maybe even greatness. Do your bit to make this a better Universe ... by being a better you!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Ladies, I am sorry to disappoint you ... but Din's happily married.
P.P.S. Five days after writing the above, I attended a graduation dinner for Certified Professional Trainers (CPT). The organiser of a 2-day seminar on Global Branding gave out two free tickets to 2 of those present. The recipients did not expect to receive the $4,000-value tickets. The organiser recognised both of them for going the extra mile. One selflessly led the CPT alumni. The other pro-actively supported by (among others) writing, and e-mailing to members, about their 'monthly talks'. When you go the extra mile, the Universe is aware; and you will be rewarded - financially or in other terms!
When I was 15 (yes ... a very long, long time ago ... like eternity ... according to my kids Adam and Sabrina), I saw my senior at high school take part in the 100-metre dash (back in those "pre-historic times" it was known as the 110-yard dash).
He came in third. To me, that was a big achievement because he won a trophy (even though for third place). It also meant that he was part of the schools' 4x100 sprint-relay team. To a 15 year old, that was glamourous! Everyone in the school would know you. You would become famous!
But I don't believe that he woke up one fine morning, and became an immediate success as a sprinter. Having muscular legs to propel him at a velocity that can beat others.
I remembered that I had joined him (and a small group of other boys) once, 5 years before, to jog around our small town at 5.30 a.m. in the morning. He had been "training" for 5 years!
At that time, it did not seem like training - it was more of having fun with your friends. Just enjoying a run in the fresh and invigorating coolness of the morning. But the result 5 years later for him, was that he became a winner on the running track. He jogged almost every morning, whilst it was the first, and last, early morning run for me! See the different results? Law of Cause and Effect?
I was at a training camp a couple of weeks ago. We were given an exercise on the beach in the gloriously skin-burning (and energy-sapping) sunshine.
I noticed that one tall young guy (ok ... I agree ... any guy will be young when compared to ancient me) was willing to take more responsibility. In the form of more load (of bricks ... believe it ... or don't!) off other people whom he saw were struggling with the load. One of the 'people' was me ... that's why I know! hehehe!
Din (not some loud noise ... it's his name!) went the extra mile that day. I could not stop admiring him. If I were his father, I would have been very proud of him. If he was single (he's handsome), and I were a beautiful, sexy and voluptuous gal, I would have proposed to him right away that very evening!
Anyway, what do you think of Din (the guy, the guy! ... not the loud noise!)? Will you want to be his friend?
Will he attract businesss partners if he were starting a new business, and looking for partners? Will YOU be willing to do whatever he asks you? Why? Because you trust him. Because he is not selfish. Because he contributes to increasing life (well ... I thought I would die if one of the bricks was not taken away from me! ... hehehe!). Do you think that the Universe will help Din in whatever endeavour he undertakes?
The moral of the story? When you go the extra mile, you will be noticed. You will be a leader in whatever field you are involved in ... Sports ... Business ... Voluntary organisations ... Academia. Why? Because the majority are not willing to go the extra mile.
You go and be a leader. Do that little bit extra. You will attract goodness; maybe even greatness. Do your bit to make this a better Universe ... by being a better you!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Ladies, I am sorry to disappoint you ... but Din's happily married.
P.P.S. Five days after writing the above, I attended a graduation dinner for Certified Professional Trainers (CPT). The organiser of a 2-day seminar on Global Branding gave out two free tickets to 2 of those present. The recipients did not expect to receive the $4,000-value tickets. The organiser recognised both of them for going the extra mile. One selflessly led the CPT alumni. The other pro-actively supported by (among others) writing, and e-mailing to members, about their 'monthly talks'. When you go the extra mile, the Universe is aware; and you will be rewarded - financially or in other terms!
Tuesday, November 4, 2008
Why Must You Have Continuous Improvement?
"Kaizen" is the Japanese word for 'improvement'. It pertains to continuous improvement, whether in personal life, home life, social life or working life. Kaizen has even been credited as the key to Japan's competitive success.
How important is continuous improvement to you in your personal life? Should you aim to be a better person, day by day, at the rate of 1% a day? Or just on one special day in a year, you increase your ability by 100%?
Which do you think is easier - 1% a day improvement for 365 days? Or 365% on 31st December (so that you can relax and 'enjoy' life the rest of the previous 364 days?).
When you improve yourself by 1% everyday, don't you think you will be awesome after a year? When you make 'improvement' a habit, will it become more difficult or easier for you, as time goes on?
I attended a 4-day business seminar (conducted by a multi-millionaire), in Singapore in June 2008 at the Singapore Exposition Centre. About 2,000 participants from Singapore, Malaysia, Indonesia, Thailand, Hong Kong, Philippines, Taiwan, Australia, India and Maldives attended.
At the seminar, I met two millionaires - one from Maldives and the other from Singapore. I asked them why they were attending a business seminar, when they are already successful in their businesses. Both replied that they were looking for new ideas that could improve their business results. If millionaires are willing to attend training programs to improve their knowledge (to improve their results), shouldn't you also?
In organisations with enlightened Human Resource Management departments, continuous training is critical to their organisations' continuous drive for excellence. Formalised (out of the office) training, usually at least 5 days in a year, is planned for all staff. Informal (on the job) training is provided by constant job rotation (i.e. on average, two years in one job, before being assigned another job). An accountant could be trasferred to the Information Technology department for two years on a project. An engineer could be assigned to the Human Resource department for two years, to be in-charge of training (of engineers).
On an individual or personal level, you must continuously give more value to your organisation that you are working for. How? By becoming more efficient, perhaps by doing things faster. By becoming more effective, perhaps by getting new ideas from books, or using what you learned in formal training.
On an organisational level, the products or services that you deliver must have "use-value" which is more than "cash-value". This could be done by continuouosly improving product quality. Research and Development (R&D) is therefore critical in regard to this product quality aspect.
The moral of the story? As the saying goes, "If you are not growing, then you are dying". Wallace D Wattles aptly wrote, " Every living thing is under this necessity for continuous advancement; where increase of life ceases, dissolution and death set in at once." Abraham Lincoln said, "I don't think much of a man who is not wiser today than he was yesterday."
Are You ready to take action to become a Better You? An "Improved You" Model?
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
How important is continuous improvement to you in your personal life? Should you aim to be a better person, day by day, at the rate of 1% a day? Or just on one special day in a year, you increase your ability by 100%?
Which do you think is easier - 1% a day improvement for 365 days? Or 365% on 31st December (so that you can relax and 'enjoy' life the rest of the previous 364 days?).
When you improve yourself by 1% everyday, don't you think you will be awesome after a year? When you make 'improvement' a habit, will it become more difficult or easier for you, as time goes on?
I attended a 4-day business seminar (conducted by a multi-millionaire), in Singapore in June 2008 at the Singapore Exposition Centre. About 2,000 participants from Singapore, Malaysia, Indonesia, Thailand, Hong Kong, Philippines, Taiwan, Australia, India and Maldives attended.
At the seminar, I met two millionaires - one from Maldives and the other from Singapore. I asked them why they were attending a business seminar, when they are already successful in their businesses. Both replied that they were looking for new ideas that could improve their business results. If millionaires are willing to attend training programs to improve their knowledge (to improve their results), shouldn't you also?
In organisations with enlightened Human Resource Management departments, continuous training is critical to their organisations' continuous drive for excellence. Formalised (out of the office) training, usually at least 5 days in a year, is planned for all staff. Informal (on the job) training is provided by constant job rotation (i.e. on average, two years in one job, before being assigned another job). An accountant could be trasferred to the Information Technology department for two years on a project. An engineer could be assigned to the Human Resource department for two years, to be in-charge of training (of engineers).
On an individual or personal level, you must continuously give more value to your organisation that you are working for. How? By becoming more efficient, perhaps by doing things faster. By becoming more effective, perhaps by getting new ideas from books, or using what you learned in formal training.
On an organisational level, the products or services that you deliver must have "use-value" which is more than "cash-value". This could be done by continuouosly improving product quality. Research and Development (R&D) is therefore critical in regard to this product quality aspect.
The moral of the story? As the saying goes, "If you are not growing, then you are dying". Wallace D Wattles aptly wrote, " Every living thing is under this necessity for continuous advancement; where increase of life ceases, dissolution and death set in at once." Abraham Lincoln said, "I don't think much of a man who is not wiser today than he was yesterday."
Are You ready to take action to become a Better You? An "Improved You" Model?
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
Sunday, November 2, 2008
Why Should You Do What You Wanna Do?
What do you need to succeed in any field of endeavour, or business venture? What do you need to succeed at your job?
My 7-year old son Adam loves to sing. He actually likes to sing loudly (a future rocker?), especially when having his morning shower (he has the makings of a bathroom singer .. like his father!). I think his pitching is sometimes off when he sings. I believe he will not make it to the finals of American Idol. (Mick Jagger - you are safe!) I think I'd better enter him for the Male Model of the Year competition. Mothers who look at him think he is handsome (... like his father? ... hahahaha! ... just being modest ... hahahaha! ... I am only joking, ok?).
6-year old Sabrina, on the other hand, sings better than her brother and father (and mother ... hehehehe ... don't tell her mummy ok? ... very sensitive issue ... I am all for peace in the world ... whether Green Peace, Nobel Peace Prize or, especially, Domestic Peace!). With her natural talent (let's say that it comes from her mummy's genes, ok?), plus some skills (music and voice) training, she may make it to the finals of American Idol.
In actual life, there will be many Sabrinas. People with talent and the skills. But not all will succeed, or be at the top of the pile.
There was a winner of a national singing competition many, many moons ago. He was not destined for greater things. Why? Because he did not know how to make the best use of his God-given assets. He did not come for TV recordings on time. He was high on drugs when he turned up for studio recordings. His drugs controlled him. When you do not respect yourself, will the Universe respect you?
I know someone who originally wanted to be a linguist when he was 12 years old. Along the way, he just followed what others told him to do. At 20, he decided that he wanted to be an accountant. But he let the environment decide for him. He read the physical sciences/chemistry full-time at University. But he was studying part-time, and sitting, for the professional Chartered Institute of Management Accountants (CIMA) examinations at the same time.
His career started as an assistant chemist, because of his training and acquired skills in University. But deep in his heart, he wanted to be an accountant. He continued studying part-time while working as a chemist. If your son were in this situation, what would you advise? Do you think he will be happier with your advice? Or more successful?
Wallace D Wattles wrote, "Doing what you want is life ... ; ... And it is certain that you can do what you want to do; the desire to do it is proof that you have within you the power which can do it. Desire is a manifestation of power".
What is the moral of the story? You can achieve success in the field that you have been trained, or have acquired skills, in. But do not discount the possibilities in other fields that you have a passion, or interest, in. As the saying goes, "Interest is the soil in which intelligence grows". You will do much better in something which is closest to your heart, rather than doing something which you may merely be comfortable in.
When you have a focused dream, and you have a strong burning desire, your personal power will be amazing. Instead of comfortably running round and round in the chicken-coop, you will be freely soaring like an eagle!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Did the guy who studied accountancy part-time become an accountant? Yes! He worked as a Senior Management Accountant at a multinational petroleum company.
My 7-year old son Adam loves to sing. He actually likes to sing loudly (a future rocker?), especially when having his morning shower (he has the makings of a bathroom singer .. like his father!). I think his pitching is sometimes off when he sings. I believe he will not make it to the finals of American Idol. (Mick Jagger - you are safe!) I think I'd better enter him for the Male Model of the Year competition. Mothers who look at him think he is handsome (... like his father? ... hahahaha! ... just being modest ... hahahaha! ... I am only joking, ok?).
6-year old Sabrina, on the other hand, sings better than her brother and father (and mother ... hehehehe ... don't tell her mummy ok? ... very sensitive issue ... I am all for peace in the world ... whether Green Peace, Nobel Peace Prize or, especially, Domestic Peace!). With her natural talent (let's say that it comes from her mummy's genes, ok?), plus some skills (music and voice) training, she may make it to the finals of American Idol.
In actual life, there will be many Sabrinas. People with talent and the skills. But not all will succeed, or be at the top of the pile.
There was a winner of a national singing competition many, many moons ago. He was not destined for greater things. Why? Because he did not know how to make the best use of his God-given assets. He did not come for TV recordings on time. He was high on drugs when he turned up for studio recordings. His drugs controlled him. When you do not respect yourself, will the Universe respect you?
I know someone who originally wanted to be a linguist when he was 12 years old. Along the way, he just followed what others told him to do. At 20, he decided that he wanted to be an accountant. But he let the environment decide for him. He read the physical sciences/chemistry full-time at University. But he was studying part-time, and sitting, for the professional Chartered Institute of Management Accountants (CIMA) examinations at the same time.
His career started as an assistant chemist, because of his training and acquired skills in University. But deep in his heart, he wanted to be an accountant. He continued studying part-time while working as a chemist. If your son were in this situation, what would you advise? Do you think he will be happier with your advice? Or more successful?
Wallace D Wattles wrote, "Doing what you want is life ... ; ... And it is certain that you can do what you want to do; the desire to do it is proof that you have within you the power which can do it. Desire is a manifestation of power".
What is the moral of the story? You can achieve success in the field that you have been trained, or have acquired skills, in. But do not discount the possibilities in other fields that you have a passion, or interest, in. As the saying goes, "Interest is the soil in which intelligence grows". You will do much better in something which is closest to your heart, rather than doing something which you may merely be comfortable in.
When you have a focused dream, and you have a strong burning desire, your personal power will be amazing. Instead of comfortably running round and round in the chicken-coop, you will be freely soaring like an eagle!
I wish you Success in your undertakings, and Good Health and Wealth to you and your family. Take care!
P.S. Did the guy who studied accountancy part-time become an accountant? Yes! He worked as a Senior Management Accountant at a multinational petroleum company.
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