Education: Part 2

Creating a Hedge, then start growing your wealth.

In this way, You will have the desired results either by hook or by crook.

Example:

You might want to have a net worth of $5,000,000.
So you started working for it once you graduated.

You studied very hard during your colleague years and graduated with a 1st class.
And you started working for 2 years with a starting salary of $3,000 - $3,500.
And after 2 years, you went on to pursue your master.

After getting your master, you got another job, paying you $5,000 a month with a promised increment of $500 every year.
After 10 years, you'll be earning $10,000 a month without adding in your blah and blah bonuses.
And projected, you're intending to invest $5,000 every month and starting your own small business with your expertise and hoping you will achieve a net worth of $5,000,000 when you're 60 years old for retirement.

So first, it would be advisable for you to first create that $5,000,000 hedge that should anything unfortunate events were to occur, you would have achieved that $5,000,000 end results.

But if nothing happens, you can continue working towards your dreams of achieving $5,000,000 net worth.

In this way, your $5,000,000 would be secured.
But the million dollar question is, how many people actually can afford this $5,000,000 hedge?

Therefore, creating a hedge is a process. Maybe you start with $500,000 first and slowly "upgrading" your hedge to $5,000,000. So financial planning is never a one time event.

Secondly, this hedge which i talk about actually helps you to achieve your desired results, this hedge which you created helps you to increase your wealth, makes your money work harder for you, and also fulfill the "8th wonder of the world", compounding, months after months and years after years.

30 years down the road,

55 years old, you already have a networth of 4 millions dollars, you're "ON TRACK".

Then you asked me, "but now i don't need 5 million dollars hedge leh, i already got $4,000,000 net worth leh. how?"

Then you can either give it as a love gift for your loved ones when you're gone, if not, you are able to decrease your coverage & at the same time get some $$ back from this hedge, thus expertising your way to $5,000,000.

Lets say after 30 years, you decided to decrease your hedge to $1,000,000
and you received a return, lets say $500,000 from this hedge,

Effectively, $4,000,000 + $500,000 = $4,500,000 and your short fall will only be $500,000.

Isn't it great?
Yes, Life isn't just great, It's fantastic when you've such a hedge.
A Hedge that compresses time.

Good luck.