Creating Wealth by Investment Planning

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From a financial point of view there are four kinds of people in this world

  • The first kind are the ones who are only concerned about fulfilling their basic needs. The ones which we will call “with limited means” or in simple terms “poor”
  • The second kind are the hard working / earning ones who are busy buying stuff sometimes even beyond their pay cheque. They are the ones who are busy paying bills of all kinds: medical, electricity, house rent, house EMI, credit card etc. which seem never ending in nature. At the end of the month virtually nothing is left when it comes to savings.
  • The third kind are those who become super rich all of a sudden but don’t know how to utilize their wealth find themselves in a mess financially. Michael Jackson and Mike Tyson are examples of such “Rags to Riches and Back to Rags” stories
  • The fourth kind are what we would say, “Wealth creators”, “Smart investors” or the ones who do not have to worry about money being not enough. They might be born poor, born rich, born in a hard working family or might someday become rich over night. But what differentiates them is that they know how to “GROW” their money.

The only way to multiply your money is by proper Investment or Financial Planning. As Warren Buffett says – “Never get dependent on one source of income, make Investment to create second source”. The need of financial planning is in preserving ones money and converting it into wealth. Financial planning basically means determining ones current financial situation, setting goals and targets and devising methods in order to achieve these set goals and targets.Posted below are some tips which would help in planning your Financial Planning.

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