Interesting tips from Roger Hamilton's seminar:
When it comes to creating wealth and making money, the last thing that you should be thinking about is making the money.
“When I am at my best, when I am racing and driving at my best, the last thing I am thinking about is driving.” ~ Ayrton Senna, Formula one Champion
For most of us creating wealth does not come naturally because we are not focusing on the right path. We are not moving down the right path.
Critical Failures in Creating Wealth:
1) Too much information 2) If you don't know what you are looking for you will never find your wealth. We have so many different options to choose from that some of us choose no option at all. 3) Doing the wrong thing.
There is a formula to all of wealth which includes all the advice and profiles.
Find Your Personal Path of Least Resistance:
There are eight different ways to create your wealth. You need to know which one is your personal path of least resistance. Without knowing your personal path, you will be looking at what other people are doing instead of what you should be doing.
Formula to Wealth: Wealth = Value x Leverage
“It's not a question of choosing the right investment vehicle, but whether it is the right person in the right vehicle, the one who is doing it naturally, who doesn't have to think, it just comes in a wink.”
Money Flow is like a River
Wealth – something which allows the money to flow.
Money will always flow from high value to low value. Value creates the gradient in the river that allows money to flow. Greater value creates a steeper gradient and the money will flow faster. Value alone will not give you the money.
Leverage – gives you the width and the depth of the river You can increase the money coming down simply by leveraging it.
Two totally opposite ways of creating value:
1. Innovator - creates something new Example: Bill Gates
2. Timing - knows when to buy and sell Example: Warren Buffet
Two opposite ways of creating leverage:
1. Multiply - How can this be done without me? Example: Ray Kroc, founder of Macdonalds expanded his wealth through franchising system.
2. Magnify - How can this only be done with me? Example: Tom Cruise, selling 'Tom Cruise' brand of merchandise.
You need to know which path is suitable for you or your winning formula can become a losing formula.
With each path, there are also rules to the game. If you don’t know what the rules are, you are never going to win the game!
Wealth is:
1. a foundation.
2. what you are left with if you lose all your money.
3. not about the money you have today but your ability to make money tomorrow.
If you have invested in your foundation, in creating the river, then even if the river dries up today because there is no rain it will start up again. What are you doing right now to invest in your foundation?
It’s very difficult to build your foundation if you are not focused on the path where you are naturally best. 90% of your time is spent on things that make no sense and make no wealth. Yet all wealth is created in the remaining 5-10% of the time during critical moments. If you are only focused on the 90% you will miss the 10%.
Paths to Creating Wealth:
Deal Maker - knowing how to spot deals Example: Lee Ka-Shing, Hong Kong's Billionaire Owns: the timing of when products are bought and sold
Mechanic - creating a better system Example: Sam Walton, founder of Wal-Mart Owns: the entire system
Supporter - give some time to the wealth creator Example: Steve Ballmer, CEO of Microsoft since 1980 hired by Bill Gates Owns: a percentage of wealth in the company
Lord - Uses other people’s money to get the right properties at the right yield Example: LandLord Owns: the cashflow
If you are not certain of your path, you may mistakenly switch from the right path to the wrong path and miss your wealth altogether.
If you don't know your path, you are wasting your time.
It is time to discover your path.
