Sunday, January 17, 2016

Growing Your Money in Just 3 Simple Ways For Beginners

“No one’s ever achieved financial fitness with a January resolution that’s abandoned by February.”
-Suze Orman

Are you still holding on to your New Year’s Resolution? I hope you are becoming more determined or excited to achieve them as I am excited for you. In this third and last blog for the series “ThreeThings to Include in Your New Year’s Resolution”, I am going to share with you the 3 simple ways to grow your money.

If you haven’t tried to let your money work for you before, I believe, this is the right path for you to begin your journey to your financial freedom.

As Robert Kiyosaki, the Author of the Rich Dad, Poor Dad said:
"It's not how much money you make, but how much money you keep, how hard it works for you, and how many generations you keep it for."




Be like farmers

Sow seeds, tend them and patiently wait for the time to harvest.

How many mango seeds does it take to grow a mango tree that later on bear hundreds of kilograms of mango fruits? How many kilograms of rice grains does it take to produce tons and tons of rice?

These few seeds of plants have the ability to produce abundant supply of food that won’t allow you to go hungry. But in order to let their plants grow, farmers need to tend them-from watering, putting fertilizers, spraying pesticides, weeding the grass that grows around them, and cultivating them to take away the risks of the plant from producing less fruit than what is expected, or worse from dying out.

To make sure that the rice grains they sow will grow and bear grade A grains, the farmers have to patiently watch over their plants, and patiently wait for the right time to harvest.


What are my points?

In growing your money, you need patience. If you like growing your money instantly, I apologize but the ways I’m about to teach you aren’t the ones you are looking for. I’m sorry. You may want to try lottery or TV game shows or tracking hidden Yamashita treasures.

The ways I’m going to share are slow but sure. Long term but worth it.

Have you ever seen a farmer who harvested his rice grains when the grains are just sprouting out? Or have you ever heard of a farmer, who planted rice and after a month the rice are set for harvest? Plants need time to grow and so does Money.  Money needs ample time to give ample returns.


So, How to Grow Your Money?
As starters, be open minded to read and digest the following:

1. Choose your vehicles to wealth
Ride your way to wealth. There are many money machines that can make you rich. There are many vehicles to wealth. For newbies, I suggest you first invest in Mutual Funds.

Why Mutual Fund?
Mutual Fund, according to Bo Sanchez is like "rice." "It’s a staple." This is level one investment which is appropriate to starters who are now ready to take the first step to their financial freedom.

Mutual funds are very affordable to every income earner. In the Philippines you can start investing in Mutual funds with 5000 thousand pesos only.

Why Mutual Fund?
Mutual Fund according to INVESTOPEDIA.COM is an investment vehicle that is made up of a pool of funds collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments and similar assets. Mutual funds are operated by money managers, who invest the fund's capital and attempt to produce capital gains and income for the fund's investors. 

When investing in Mutual Funds, imagine that you want to begin a buy and sell of bags business but

a. you don’t have enough money to start the business,

b. you don’t know what kinds of bags to buy, where and when to buy, how much to sell, where and when to sell. In short you don’t know how to run the business, and

c. you don’t have enough time to start a business because you have a busy and stressful full time job schedule.

So, you decide to add your money to a collected fund from others who have the same desire and problems as you. Then you hire a manager to do the business for all of you. The manager will do the buying and selling for you. He decides what kinds of bags to buy and when to buy, and decides when to sell them.

All you have to do is wait for the return of your investment.

There are many Kinds of Mutual Funds and there are many legitimate Mutual Fund providers in the Philippines. (I’ll be talking about that in my next blogs.)

2.  Invest regularly
A farmer never stops planting because he wants abundance. He wants more rice grains to sell in the market to provide him more profit. After a harvest, he plants again.

In Mutual fund investing, you should also sow regularly. You may add as low as 1000 Pesos monthly, or once in 2 months or 3 months...your choice. 

You add money regularly to your Mutual Fund investment so that you'll accumulate more funds that the fund manager will utilize to buy more securities that will earn you more money. 

More funds, more possibilities of returns

3. Keep Seeking
Don’t be contented with your Mutual Fund Investment. While investing in Mutual Funds, keep looking for more investment vehicles and study them. Update yourself into version 2.0 like the stock market.  

I recommend you subscribe to reputable people’s forums and websites that will help you open your world to financial independence.

One of my trusted website when it comes to investing is the Truly Rich Club founded by Bo Sanchez as it is a real service oriented website where you can find helpful materials and step by step guide to a Spiritually and Financially healthy life.  


Important Reminder:
Investing, like farming has risks. But you can minimize these risks through having enough knowledge, proper management of funds and guidance from experts like Bo Sanchez for example.

Happy Investing!!!



If you liked this post, please feel free to share it to your friends. 

P.S. 1 You may also avail of my free e-Book, by signing up the subscription note below. 

P.S. 2 You may click on the link below to also listen to my online mentor explain the importance of  investing and get a free copy of his book "My Maid Invests in the Stock Market and Why You Should Too."

P.S. 3 You may also click here to Register to Truly Rich Club to start your journey to financial freedom through financial literacy.

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