What does it mean to be financially independent?
• I buy and create assets that generate cash flow
• The cash flow from my assets pay for my living expenses.
• Once my monthly cash flow from my assets is equal to or greater than my monthly living expenses then I am financially independent
• I am financially free because my assets are throwing off cash flow abd are working for me.
• I no longer have to work for money.
Financial independence means = FREEDOM
Freedom means I have more choices. As long as I have to work, I’m not free. (I may choose to work which is different from having to work)
Cash flow means that the money comes in every month whether I work or not
Why women make great investors?
1. We’re not afraid to say “I don’t know” and willing to ask more questions without damaging ego’s or not wanting to look stupid
2. We’re willing to ask for help
3. Women are great shoppers. We know how to spot a bargain. The formula for bargain shopping is the same for investing – look for something that is priced below its actual value and buy it.
4. Women do their homework, they do not typically buy off a hot tip. Women buy because the deal makes sense.
5. Women are risk-averse! They will do more research and study and assessment before making a risky investment.
6. Women have much less ego. Quote “We women don’t care about getting our pictures on money as long as we can get our hands on it” Men tend to let their ego’s make decisions for them. They buy for fear of missing out on that one big opportunity. They refuse to ask questions or ask for help in fear of looking silly. Women possess a high emotional intelligence. EI is the ability to think objectively about a situation and not get too emotionally involved. Rather than investing according to what will make them look good, women will invest according to a plan – not according to hat mood they are in or whether they are right or wrong.
7. Women are nurturers. Women establish stronger relationships with their investment teams.
8. Women learn well from other women. Women share with one another. They typically want their friends to succeed. Hence the growing number of all-women investment clubs.
Money affects everything that is important – your health, your education, and quality of life.
Ultimately money buys you one of two things: it buys you slavery or it buys you freedom.
Slavery to your job, your debt, or your relationships.
Or it buys you freedom to live as you choose.