How Not To Achieve Financial Independence in 10 Ways
By Eric March 7, 2013
This is the first article contributed by Eric. He is a fund manager at Aggregate Asset Management.
Charlie Munger always say “Invert, Always Invert”. He tells the story of the man who wants to know where he will die, so he will never go there.
If you want to remain poor, and remain a wage slave, then do the following:
1. Do no pay any attention to your expenses.
Spend freely. Buy a Bell & Ross watch, or a Panerai watch or a Birkin andbag. Get an Audi convertible – you can afford the installments, and surely you deserve it.
Don’t learn about compound interest. Do not pay any attention to mathematics – who needs them? It is just for nerds.
2. Do not track your portfolio performance.
Who cares? It is too small, and too bothersome. Also, Excel functions are pretty complicated. Donald Trump got rich without too much of a brain, and so can you.
3. Concentrate your portfolio on one stock and pour all your energy into learning and researching that stock.
The focused approach will let you win big (and lose big too). When you want to go out, go out with a bang!
4. Learn technical analysis
~~ Draw a few squiggly lines, and buy/sell based on that. It works.
~~~ This is evident from the number of courses offered on that and the fact that enormous amounts of money are charged for the course.
If something costs so much – surely it is good.
Remember, the course instructors are doing all this for your own good – they are already rich, and are just merely making the world a better place.
5. Trust your bankers and buy their Unit Trusts recommendations.
They work in the banks and wear nice ties, with pressed clothes and Swiss mechanical watches– surely they know what they are talking about.
6. Trust your insurance agents
– they are here to protect your family and you.
There is nothing wrong with being overly insured and buying investment linked products.
It’s good for you and is a scheme of forced savings. If you didn’t buy any of these stuff – you would spend all your money anyway.
7. Trust your friend.
He is hard-working and bright and he got this new business idea for a pub/café. Invest in him – he seems enthusiastic. This is your one and only chance to get in early on the next Richard Branson.
8. Invest in gold/oil/land-banking/swiftlet farming.
The world is running out of gold/oil/land/birds nest – and the price has gone up a lot recently. Something must be right. They also Guarantee 15% returns per year.
Do all the above.
http://www.bigfatpurse.com/2013/03/how- ... n-10-ways/