Monday, March 5, 2018
Money matters in life. You cannot do without money. Your money matters to you. But money can often create irrational behavior in rational people, resulting in harmful and even painful consequences in their lives.
Examples of irrational behavior in rational people are:
Money matters so much to some people that they feel so contented and will not even ask for more, even though they may rightly deserve it.
Money matters so much to some people that they simply refuse ever to go into debt, blindly believing in the virtue of being debt-free no matter what.
Money matters so much to some people that they allow their greed to get better of their sound financial judgment, resulting in bad investments.
Money matters so much to some people that they do not let on about the family finances, such as couples concealing bank accounts or credit card payments from each other.
The Obstacles to Understanding Your Money Matters
You spend more than you earn. You buy things you don’t need with the money you don’t have.
You think you need more money. You save and save. Money has become security to you.
You want quick returns and big payoffs for your money.
You go with the crowd when it comes to investment and spending.
You lie about money, because you measure yourself on the basis of money.
You refuse to talk about money, because you are uncomfortable about it. Or you hate money because it is the root of all evils.
To overcome these obstacles, you must simply do exactly the opposite.
Once you can free yourself from the irrational behavior regarding money matters, you will perceive how money really matters in your life such that you will know how to sell yourself, how to invest wisely, and how to make more money. You will be richer for life—in every way. At the end of the day, your money matters.
One of the objectives of this site is to free yourself from such irrational behavior that prevents you from truly understanding how your money matters to you.
Once your understand how your money matters, you will look at money with new perspectives and you will know how to invest and make your money.
The Myth and the Truth in Investing in the Financial Markets
The myth: The financial markets are dangerous, risky, and unpredictable, and you need expert help to make money.
The truth: The financial markets, over the long term, are steady and predictable. To illustrate, an investor with little or no training, who invested in the S&P 500 Index, would have performed better than the average professional investor with an MBA in finance. This attests to the truth that expert help is no help when it comes to investing in the financial markets. Just empower yourself with knowledge in the field of your financial investment, and do it yourself, as long as you understand how your money matters to you.
Copyright © 2018 by Stephen Lau