• Live The Times

Getting rich - can anyone do it? Invest and build wealth

Updated: 5 days ago




It is a dream of many: to be rich, to live carefreely, to afford something. But building wealth - how does that work?


Become rich - that's why many people play the lottery or hope to win millions in other lotteries and games of chance. But is one million euros enough to be rich? How much does it take for that? And is it that hard to get rich?


The term wealth – a definition

Financial experts describe the term wealth as follows: "large possessions, accumulation of assets that signify wealth and power."

This is an important orientation: It is about the assets that you own yourself: i.e., the sum of all account balances, material assets, and financial investments.


Build Wealth: How Much Money Do I Need?

If you are now doing wild calculations as to whether you would come up with such net household assets - and are therefore rich, then you should consider a second aspect: your age.


The assets are distributed significantly differently across the age groups, so the result is highly distorted.


After all, the older the household members are, the more assets are usually there. This effect is powerful in the top ten percent – ​​i.e., the rich.

The researchers, therefore, make it clear: "The areas of wealth distribution that a household belongs to depend crucially on whether the household is compared with its respective 'peer group' or distribution of the wealth across entire population."


Can you get rich by investing?

In any case, one thing is clear: it is almost impossible without investing. You would have to hope for an improbable lottery win.

With a winning probability of 1 in almost 140 million, you are more likely to lose money than get closer to your personal savings goal.

Even hoping for reasonable interest rates on savings account balances or fixed-term deposits or call money is likely to be in vain.

Many banks and savings banks are now demanding penalty interest from their customers for credit balances - and are thus passing on the interest rate policy of the Central Bank.


Strategic planning for your money

For you, this means: Instead of asking questions like "How do you become a millionaire quickly?" or "What jobs can you get rich in?" Here are the strategies for a successful planning.


1. Inventory:

Add up where you stand with your assets.


2. Define your goal:

Many people want to "become rich," but specify your personal goal with numbers.


3. Calculate an example:

Use our investment planner to calculate how to achieve your goal - free of charge and without obligation.


4. Get started:

Then you can start right away - very simple and uncomplicated. You can adjust savings rates at any time or have your assets paid out.


5. Control finances:

To become rich, one must, of course, have one's finances under control. So do everything you can to keep an eye on your income and expenses and optimize your costs!


It doesn't matter whether you increase your savings rates or make one-off payments from time to time. For example, building up wealth can be done faster by collecting the Christmas bonus you get.


Without an investment in asset classes such as stocks or funds, ETFs, it is difficult to achieve reasonable returns - and thus to make more of the money available.


Especially for investors who focus on long-term wealth accumulation or make systematic old-age provisions, such as for their pension.


#stocks #StocksToBuy #DayTrading #investment #investments #stockmarket #intraday #securities #equity #investing #trading #investment #money #finance #forex #invest

2 views