As currencies rise and fall and markets both global and local turn jittery because of political uncertainty, some wealthy individuals nevertheless manage not just to survive but also to thrive, reaping returns on their investments even in uncertain times. These wealthy investors –
CEOS, entrepreneurs, and people from a wide range of fields – manage to keep and build wealth with a few surprisingly low-key strategies that any investor can adopt.
They Invest Globally
Very wealthy investors cast a wide net, putting money into solid investments in places far beyond their local area. They keep an eye on trends in emerging markets, often putting money into lesser known markets and enterprises under the radar of conventional investing wisdom. Investors in income property can use this strategy too, by taking Jason Hartman’s advice to diversify, looking beyond local markets for potential good deals. Investing in another city – or another country – creates a hedge against downturns in any one market.
They Invest in Solid Assets
The ultra-rich are pretty conservative when it comes to investing. They sink their money into tangibles like property precious metals and even art. Stocks and securities make up a surprisingly small part of their portfolios. The takeaway for real estate investors: as Jason Hartman says, real estate is a vehicle for building long term wealth – a tangible commodity that will be in demand as long as people need places to live.
They Don’t Speculate
Very wealthy investors stick with known quantities and stay away from hot new deals promising quick money. Although they have money to risk, they listen to smart financial advisors and keep their wealth in proven assets with a long track record of success, such as property, solid businesses and physical commodities.
For income property investors, the same is true. House flipping and real estate schemes promising fast money don’t deliver for the long term. Creating an income stream that lasts calls for patience and perseverance backed by good financial advice and an investing strategy with clear goals.
They Get Good Advice
Rich investors have a plan and they look for good financial advice to help them implement it. Although they’re in charge of their investing decisions, they recognize the need for qualified money managers to execute those decisions. That’s good advice for the independent property investor – and one of Jason Hartman’s investing commandments too. You don’t have to be a multimillionaire investor to learn about investing and locate the best advice you can afford.
They Invest in Themselves
Whether they’re the face of a corporation or a face on a billboard, ultra-wealthy investors invest in themselves. They recognize that their image and their brand plays a role in their investing success and they put money toward developing and protecting that brand. And you don’t have to have that high a profile to recognize the importance of seeing your investing career as a business, with a story and a personal brand all its own. That means investing in the right tools for managing your enterprise, from courses to computer software. And it also means creating and presenting a professional image when you’re conducting investing business, such as interviewing tenants.
It’ often said that the rich are just like you and me. And while that’s not necessarily true in all ways, even the smallest income property investor can make good use of the investing “secrets” of the ultra-wealthy. (Top image: Flickr/SqueakyMarmot)
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