Definition of Taking a calculated risk

Definition of Taking a calculated risk

It is taking a predetermined risk to earn a higher return, where a turn of events will not cause you to loose everything, you lose based on your assumed risk- a business risk, and it will not be a problem to start again, cause you win some, you lose some, and it doesn’t affect your basic needs.

Definition of Basic needs

It is related to a person’s lifestyle. For some, it is the best of everything in life, including place of stay and food, for others, it is not even a proper meal a day. If you can endure sufferings and hardship, your chance of succeeding one day is high if you can endure and persevere.

1) Set priorities in your Life
2) Plan ahead for all events
3) Have a personal savings plan to meet your goals
4) Enlarge your umbrella
5) Gamble with only what you can afford to lose
6) Dreams are just dreams, if you don’t act on it
7) Everybody’s financial goals are different, do not follow the herd instinct
8) Build a solid foundation on “real returns”, diversifying your risks
9) How much is enough? Take small steps before embarking on large ones
10)Lastly, it takes great discipline, to meet all your goals, do not be distracted however great is the temptation, to achieve personal financial success.

Example ; The most important priority, especially if you got a family, is to set aside cash of at least six months of your monthly salary as an umbrella, before you consider any other investments, credit accounts do not count. Do you plan for your “large” purchases? Is it prudent to spent, when you don’t even have the bare minimum, much less consider about investments. Borrowing to fund your investments, can you beat the interest you have to pay the bank? Remember you will only have access to more funds, when you meet all your financial obligations, that is the reason, to have a good credit history, a better credit rating for your prudent financial management. “It is not prudent to compare with your neighbours what they own, it will only bring you misery, who knows, they may also be drowning in debt, be wise and be debt-free.”

“The Greatest Sin of a human is the Sin of the Eyes, how can we ever learn, to see the real TRUTH. We compare, we judge people by their wealth and their worldly possessions, but can we really perform, or is everything a fallacy?” – Oogle.

Do we really know, the difference between a Balance of Life and “pure maniac hordeing”?
Tell me frankly, when you buy a luxury product, do you buy it just to show off, or because the product offers you the best in terms of price and quality, and it is best suited for your needs?

My advice for those who are in debt today, take control of your life, start planning and make sacrifices, start
negiotiation with your debtors rather than runaway, before they make you a bankrupt, it maybe painful for a lesson to be learned, but at least you have a second chance at life. It is better to face the music by your creditors, rather than forever not able to lift up your head high again.

Remember, your job opportunities is tied to how much education you have and your ability to be financially independent. Being at your creditor’s mercy will diminish this opportunity, not to mention your inability to navigate. Take charge of your life before someone else take charge of you.

(From previous posts)

If today you are in debt,
You can borrow from future earnings,
To repay the present,
But you must do the extraordinary,
By putting extra effort,
Make sacrifices and change your lifestyle,
To tremendously increase your income,
Or by having multiple income,
That is more than your debt.
Therefore it is posssible,
To generate a financial plan,
To renegiotiate with your creditors,
Reorganise your financials,
In order to solve your problem.

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Author: Gilbert Tan TS

IT expert with more than 20 years experience in Apple, Andriod and Windows PC. Interests include hardware and software, Internet and multimedia. An experienced Real Estate agent, Insurance agent, and a Futures trader.

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