My 1st Million At 33 – yes, you can do it too

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  • My Advice To Understanding & Preparing for Wealth At Teens

    Posted by Frugal on June 25th, 2006

    From age of 10 to 19 (teens and pre-teens), a person is forming the basis of his or her views on life.  This is also the most important period to build up one’s knowledge, abilities, & skills that could be used for the rest of his or her life.  Most young adolescents may not understand how important their educations are until much later.  Enjoying their growing independence from parents and the companionships of their friends, their center of focus may simply involve around friends.  Friends certainly are an important aspect of one’s life, but friends cannot do your job, nor earn money for you (at least not everyday).

    At this stage in life, in respect to a person’s future wealth, I suggest to understand wealth, forming a healthy attitude towards money & life in general, and to prepare for wealth, establishing a solid foundation of learning & knowledge.  What is a healthy attitude?  In fact, what is an attitude?  An attitude is a default or habitual reaction or a course of pro-active action towards something.  Healthy attitudes (and attributes) include being positive, optimistic, pro-active, objective, resolute, and persistant instead of being negative, pessimistic, reactive, clouded by bias, vacillating, and giving up easily.  One may be born with a certain set of positive and negative characteristics.  But one could learn and improve oneself.  At teens, you question every authority, and every why on you should do this or that.  But don’t just question for rebellion.  Question for the true sake of questioning.  Think and contemplate, meditate if you will.  Ask why.  Seek an understanding of life and the world at large.  Essentially, you’re forming and shaping your responses to the world around you, your attitudes.  But no matter what conclusions you have reached through your search in understanding the world & life, what’s more important is actually in how you react & interact to the world.  The world may not change immediately, but you can change how you react to it.  Between a positive and negative attitude, you always want to choose the positive one, simply because it’s better for you.  Understanding wealth & money as they’re part of the life, but not all of the life, nor none of the life.

    To prepare for gaining wealth in later life, it is necessary to have a solid foundation in learning & knowledge.  Every step in the education ladder is important to the next.  And if there is any mis-step, you should catch up immediately in the next step.  Very often, a teen may ask, “why do I need to learn this or that?  I will never need it.”  The truth is that educations from elementary to high schools (and even some parts of college) are the basic learnings that one should have.  And by basics, it means that it’s a foundation for you to build your other professional skills later on.  You may not know when you will need it.  But when you need it, and you don’t have it learned, you may not find your way out, and may find yourself in serious disadvantage.  Opportunity does not wait for you.  Either you’re prepared, and catch it, or you don’t.  If you are going to deny the school and what school can teach you, you may be able to find your group of friends supporting or joining you for now, but you will find yourself very lonely later.  Can’t even answer a basic question in interview?  Sorry, next person.  You’re on your own.

    In summary, here are my advices for the people from 10 to 19:

    1. Understand the world & life.  Train yourself to interact/react to the world & life in a positive way.
    2. Solidify your learning in schools.  Your basic learnings will go a long way.

    With a good understanding & solid preparation, it will then make wealth possible.


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    2 Responses to “My Advice To Understanding & Preparing for Wealth At Teens”

    1. Mike Gauthier Says:

      Mr. Frugal

      How are you sir? I happened to come across your site searching for ways of leveraging big money through a process much like the Marshall Plan. I’m not sure if you are familiar with the concept but my partner participates in such from Copenhagen, Denmark through his bank there.

      The minimum investment is $5 million and you are guranteed 49% on your money. A trader will trade it or something 20x a day and create enormous wealth. It is not actually money just the credit that is being leveraged.

      Can you dwell on exactly what the trader does with the credit, that process is still unclear to me.

      Thanks alot,

      Mike

    2. Frugal Says:

      That’s very interesting investment. Is it guaranteed 49% for a long period, or every year? If it’s guaranteed 49% return every year, or for any period shorter than 5 or 8 years (annualized return > 5%), I think I will suggest two things:
      1. Look at the fine prints. There is got to be something else that could cause you BIG LOSS.
      2. GET OUT now.

      Mike. There is nothing and no one in this world who can guarantee you pretty much any amount of return, except maybe using bonds. The only people that can guarantee you a return is central banks who can print money at will. I think this is probably a pyramid scheme. I don’t care who trade it. 49% a year, year after year, is simply IMPOSSIBLE.

      Just sit down and think, if they can do such thing, why would they even offer it to you? They can double their money so fast that they can enjoy the fruits themselves without using ANY of your money. 5 millions will be a piece of cake for them, since the doubling process is so fast.

      Maybe your partner get 49% return on paper, or maybe he can get this guaranteed return for a couple of years, due to the nature of pyramid scheme that will do to early investors. But a pyramid scheme always collapses at the end. ALWAYS. There is no exception.

      I did come across a valid guaranteed return investment vehicle, but the number of years to get that return is NOT determinable. Yes, you will get some fixed return of like 50% or 100%, but you don’t know how long you will get that.