前Banker真心話🙅🏻‍♀️成為有錢人不能靠投資, 不要再浪費時間了🫡[中文ENG]

Summary

This video script explores the misconceptions about wealth creation through investment, highlighting that financial freedom is not solely achievable by stock market plays. It emphasizes the importance of initial capital, the reality of market returns, and the significance of building a business. The speaker, a former banker, shares insights on the wealth pyramid, the role of private companies in asset accumulation, and practical steps to financial independence, advocating for a clear 'Why?', exploring 'How?', and challenging viewers to assess their daily actions towards wealth-building.

Takeaways

• 💰 **Wealth Accumulation**: Warren Buffett, George Soros, and Bill Ackman made significant profits through various investment strategies, but these are not typical and require substantial capital to begin with.
• 🏦 **Investment Reality**: The speaker, a former banker, emphasizes that becoming wealthy cannot solely rely on investment and that financial freedom is a gradual process.
• 💼 **Capital Requirement**: Before making substantial investments like in Coca-Cola, Buffett had already achieved financial freedom, highlighting the importance of initial capital.
• 📈 **Stock Market Returns**: High-percentage returns on investments like Tesla or NVIDIA are impressive but may not be enough to retire on, especially with small initial investments.
• 📊 **Market Index Returns**: The S&P 500 has a long-term average return of about 9.9%, which, while stable, is not enough for rapid wealth accumulation.
• 🚀 **High-Risk, High-Reward**: Pursuing ultra-high returns involves high risk, often requiring investment in high-growth startups or exceptional foresight and luck.
• 🤔 **Investment Performance**: Most professional fund managers underperform the market index, indicating that even experts struggle to consistently outperform the market.
• 🏆 **Wealth Origin**: The primary source of wealth for the rich is their private companies, not financial investments, with the bottom 50% of people holding minimal shares.
• 🛠 **Value of Work**: Building a business and solving problems for others through products or services is a key path to wealth, as illustrated by the speaker's own startup journey.
• 🔄 **Wealth Pyramid**: The wealth pyramid shows that the top tier consists of rich tycoons, followed by financially free individuals, and the base being ordinary people with jobs but lacking freedom.
• 💡 **Start With Why**: Understanding the 'why' behind seeking financial freedom is crucial, as it helps to define one's financial goals and the lifestyle one aspires to achieve.
• 📚 **Education and Influence**: Learning about financial management and being influenced by successful individuals can significantly impact one's approach to achieving financial freedom.
• 🔢 **50/30/20 Rule**: A key financial management rule suggests allocating 50% of income for necessities, 30% for savings or debt repayment, and 20% for discretionary spending.

Q & A

What was the return on investment Warren Buffett achieved by investing in Coca-Cola?

Warren Buffett made more than 1,700% on his investment in Coca-Cola, winning 22.7 billion dollars.

How much did George Soros reportedly make from a single short bet?

George Soros made 1 billion dollars in one short bet.

What was Bill Ackman's profit from shorting US Treasury bonds over a three-month period?

Bill Ackman made 200 million dollars by shorting US Treasury bonds in 3 months.

What is the speaker's view on the necessity of capital for investment to achieve wealth?

The speaker believes that to become rich, one cannot rely solely on investing because you first need to have capital to invest.

What is the speaker's perspective on the common belief that high investment returns can lead to wealth?

The speaker suggests that even with high investment returns, a small initial capital will not be sufficient to make one wealthy, especially if they cannot afford to retire on such returns.

What is the long-term average rate of return for the S&P 500 index according to the speaker?

The long-term average rate of return for the S&P 500 index is about 9.9%.

How does the speaker describe the wealth accumulation of the rich through private companies and financial assets?

The speaker indicates that the largest source of assets for the rich is their private companies, with financial assets as a secondary investment. The bottom 50% of ordinary people hold very little in private companies or financial assets.

What is the speaker's opinion on the effectiveness of large active funds in capturing market trends over the past 15 years?

The speaker states that 90% of the returns of large active funds have underperformed compared to the S&P 500 market index, indicating that these funds have not been able to outperform the market.

What is the main source of wealth for the rich according to the research mentioned in the script?

The main source of wealth for the rich is their ownership of private companies, with financial assets as a secondary source of investment.

How does the speaker describe the wealth pyramid and its implications for financial freedom?

The wealth pyramid has rich tycoons at the top, financially free individuals in the middle, and ordinary people at the bottom with jobs but no freedom. The speaker suggests that achieving financial freedom is not just about investment but also about business and solving problems for others.

What is the speaker's advice on the first step towards financial freedom?

The speaker advises to start with understanding 'Why?' - the personal motivation and definition of financial freedom, as it varies from person to person and can change over time.

What is the '50, 30, 20 rule' mentioned by the speaker for financial management?

The '50, 30, 20 rule' suggests allocating 50% of income for necessities, 30% for savings, investment, or debt repayment, and 20% for discretionary spending such as leisure and entertainment.

How does the speaker suggest increasing one's income to achieve financial freedom?

The speaker suggests identifying and pursuing various ways to increase income, such as side jobs, entrepreneurship, promotions, or learning about investments and asset allocation.

What role does the speaker believe a positive circle of influence plays in achieving financial success?

The speaker believes that having a positive circle of influence, particularly being associated with wealthy individuals, can increase one's likelihood of participating in investments and savings, thus contributing to financial success.

What is the significance of the book 'Think and Grow Rich' in the speaker's perspective on achieving success?

The book 'Think and Grow Rich' is highlighted as it emphasizes that a strong desire to succeed is the starting point for many successful people, suggesting that having a burning ambition can be a driving force for achievement.