Thursday, December 16, 2010

Investing In Real Assets and On Paper Assets

Investing takes many forms. You can invest on things like shoes, bags, jewelries, on real property like house, lot, condo unit, cars, or on farming like cattle, pigs, or crops, and you can invest on paper assets such as Mutual Funds, Stocks Equities, Cooperative Shares or even direct corporate shares.

If you are first time investor, in view of these many and beautiful things you can invest on, you will have to learn how to, and which one to start with. This is very tricky task as there are those who will offer you these investments in exchange for your hard earned money. They will tell you or dictate to you which one to start with and if you are not in the know the proper way of which to choose, you will end up losing bigger opportunities for your money, or worse, you lose your money outright.

So how do you choose which to start with and which to choose from the whole array of investment possibilities? Let me share to you some practical ways I use .

There are three things I recommend you do: 1. Always counter check if it is really an Asset or Liability based on Robert Kiyosaki's definition, 2. Calculate or check prevailing rate of return, 3. Get a coach.

In my experience, based on Philippine scenario, real property trends, and the Stocks Market Trends, the best so far to invest in is on Mutual Funds and Stocks Equities. I should have deferred investing on real property which for the last 15 years had not grown more than 20% each year which one Mutual Fund has performed on the average in the last 16 years.

Once you have built up your paper assets, then you can buy at a bargain real properties or assets because CASH is KING!

If you want to learn more and wan to be coached how to do proper investing, please feel free to contact me or give me a feedback.

God bless!

2 comments: