The 8 Places Billionaires Keep Their Money

The 8 Places Billionaires Keep Their Money

Andrew Dehan   Tue, August 30, 2022

Billionaires have been able to not only acquire wealth but most have gradually built it over time. This means that many have had successful investments, which makes it natural for everyone else to wonder where they are investing or keeping their money in order to see that growth. We’ve compiled a list of some of the most common investments that billionaires make when looking for sustained growth of their money over time.

Keep in mind, though, that billionaires don’t typically manage their own money and instead choose to work with a financial advisor to help with their asset allocation.

1. Cash and Cash Equivalents

Cash and cash equivalents are common places where billionaires keep of some their money. Though not often thought of as an investment, cash is a liquid asset, meaning you can use it in a variety of ways as needs or desires arise. In a crisis, having cash on hand gives you the flexibility to respond. That’s why billionaires keep a significant portion of their money in cash and cash equivalents.

However, with current rates of inflation, cash has less of an emphasis. Inflation causes the value of money to drop, so having too much of it on hand during an inflationary period can mean you lose significantly.

2. Commodities

Commodities are often another piece of a billionaire’s portfolio, and having such assets can help hedge against risk, inflation and volatility. For instance, in a scenario where inflation is causing difficulty for the rest of the market, having investments in raw materials whose price is rising can help protect you if other parts of your portfolio are suffering. People and economies depend on commodities, and inflation makes them worth more money.

Raw materials and agricultural products – like precious metals, industrial metals like copper, oil and natural gas, coffee, corn, pork bellies and soy beans – are popular types of commodities held and traded by billionaires or their agents.

3. Foreign Currencies

Holding foreign currencies offers billionaires the potential to capitalize on fluctuations of value in various currencies. It is simply a form of diversification: Rather than have all their assets denominated in one currency, they spread some of their wealth to assets denominated in other currencies. That offers protection against one currency falling and capital appreciation if another currency in which they have assets gains value.

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/8-places-billionaires-keep-money-130030395.html

Some Clear Thinking About Stagflation

Some Clear Thinking About Stagflation

Notes From The Field By Simon Black August 29, 2022

Let’s not mince words: stagflation is here. Let’s also not overreact: the world is not coming to an end. And, like all things, there are both risks and rewards that will arise.

First, what do we know?

Historically high inflation is obvious. Plus many major economies around the world are already sputtering.

Germany’s economy stagnated with 0% growth last quarter. China’s economy practically ground to a halt. Economies in the UK and Hong Kong contracted slightly. And the US economy has already contracted for two consecutive quarters.

Now, in nearly every other country on the planet, when your economy shrinks for two consecutive quarters, they call that a recession.

But not in the Land of the Free.

In America, a recession is defined as whatever a special government committee within the National Bureau of Economic Research wants it to be.

I’m serious. The agency’s own website states that “the designation of a recession is the province of a committee of experts.”

Wonderful. More ‘experts’ who don’t have an iota of common sense among them. And this is why, at least in the United States, the government has thus far refused to call this a recession. In fact they insist we are NOT in a recession.

Definitions and “province” aside, however, a recession is more like what US Supreme Court Justice Potter Stewart said of obscenity in a famous 1964 case: “I know it when I see it.”

And normal people know recession when they see it. Recession is when people and businesses feel less prosperous. We start cutting back and stressing more about money. We dream less about the future and worry more about the present.

But even if the economy isn’t in recession yet, it seems fairly clear that one is coming. There’s already a mountain of evidence from corporate earnings reports showing steep declines in both consumer spending and business investment.

Those wonderfully infallible “experts” have certainly done a bang-up job steering us into this slowdown.

The Federal Reserve in particular slashed interest rates to zero and held them there for most of the last 14 years. They conjured trillions of dollars out of thin air, they grew their own balance sheet by a factor of TEN… and then kept insisting that there would never be any consequences EVER from such an absurd course of action.

Then, when inflation finally did take hold, they denied it at first. Then they called it transitory. Then they finally promised they would ‘do something’ about inflation… eventually.

Later on they even admitted to being totally ignorant, saying “we now understand better how little we understand about inflation.” (It seems like the first nine words should apply to all government experts.)

Now, at last, the Fed gave us the courtesy of speaking plainly and bluntly on Friday morning when the Chairman gave a terse warning about the US economy.

He stated that “the US economy is clearly slowing down” and that fixing inflation would likely “require a sustained period of below-trend growth” and “softening of labor market conditions.”

In other words, that means the economy will be sluggish, and a lot of people will lose their jobs. Sounds like a recession to me, even if the bureaucrats don’t want to admit it.

The real conundrum, however, is that inducing this economic pain won’t necessarily fix the inflation problem.

Any high school economics student knows about the Law of Supply and Demand. And it very easily explains why the world has so much inflation.

Policymakers artificially created soaring demand during the COVID pandemic when they conjured trillions of dollars out of thin air and gave everybody free money.

All the unemployment benefits, being paid to stay home, the PPP ‘loans’, etc. flooded the economy with cash. People have been spending it. And that created a surge in demand for goods and services-- everything from microchips to rentals on Airbnb.

Big increases in demand are fine, and don’t necessarily cause price increases… as long as the supply of goods and services is able to keep up.

But it didn’t. Supply collapsed-- again, primarily because of governments’ COVID response. With everyone being forced to stay at home, there were obviously far fewer goods and services being produced.

And those effects have lingered. Businesses everywhere are struggling to find enough workers. And labor shortages in critical vocations like trade and transportation have caused major supply chain bottlenecks.

(Obviously none of these issues existed prior to the public health dictators’ takeover of the global economy.)

On top of the pandemic-related supply challenges, however, businesses and workers have also had to contend with an avalanche of new rules and regulations that make it more difficult to produce.

Many of these debilitating rules single out oil and gas producers, which contributes to an ongoing energy crisis. And higher energy prices also make it more difficult to produce goods and services. So it’s quite a vicious circle.

All of this is to say that the Federal Reserve can raise interest rates and cause a recession to cool off demand.

But a decrease in demand isn’t enough. Inflation can only be tamed if there is a substantial increase in the supply of goods and services. And the Fed can’t really influence that.

Yet unless this happens, i.e. workers and businesses are once again free to produce, all we’ll be left with is stagflation: a recession combined with stubborn inflation that won’t go back to normal.

Now let’s go back to the beginning: do not overreact. The world is not coming to an end. ‘Stagflation’ doesn’t mean 20% inflation and 20% unemployment.

In fact it’s much more likely that inflation falls to 5%, unemployment rises to 8%… and the Fed will consider that a job well done.

It’s also temporary.

The constraints on supply being caused by political stupidity and geopolitical tension are, to borrow from the Fed, “transitory”.

While I generally place little hope in politicians, historically speaking, opposition candidates tend to win elections during economic stagnation. And that pattern should lead to more responsible, pro-business governments.

Then there’s the matter of our burgeoning energy crisis, which is also holding back supply.

This, too, is temporary. In fact the world is on the cusp on a new energy Renaissance that has the potential to fuel growth and prosperity for decades to come.

This is a really important (and uplifting) trend to understand, and we’ll discuss it very soon.

Last, rising interest rates and stagflation will likely have an adverse impact on both housing and the stock market.

Interest rates are a major factor in these asset prices; and higher rates mean that housing and stock prices will fall.

During the stagflation of the 1970s, home prices were relatively flat after adjusting for inflation. And stocks lost about 50%. But that was the average performance for all assets.

With housing, specific locations did extremely well. Home prices in Houston and California, for example, boomed during the 1970s, vastly outpacing inflation.

There were also plenty of companies that did extremely well. John Deere stock more than doubled in price between 1972 and 1979 after adjusting for inflation, and it paid a solid dividend at the same time.

Commodities performed strongly during the 1970s. Agriculture and farmland did extremely well. Gold was the best performing asset of the decade.

And there were plenty of startups, including Apple and Microsoft, that got their start during the stagflation of the 1970s.

The bottom line here is that there’s no reason to panic, and plenty of reason to be fairly optimistic about the future (once you understand long-term energy trends).

But it’s more important than ever to be extremely rational… even surgical… in your thinking.

To your freedom,  Simon Black, Founder, SovereignMan.com

https://www.sovereignman.com/trends/some-clear-thinking-about-stagflation-36940/

6 Causes of Financial Problems and How You Can Solve Them

6 Causes of Financial Problems and How You Can Solve Them

Nicole Spector   Thu, August 25, 2022

So many Americans are trapped in debt and underfunded for retirement that one has to ask, “What is going on? Why are so many of us in such financial trouble?”

A lot of it isn’t our fault and is beyond our control, but we do need to get to the root of the money problems that we can control. So, it’s important to understand the causes of financial problems. What are they and how do they manifest? More importantly, how can we solve them?

Let’s figure it out.

Financial Illiteracy

Financial literacy is gravely lacking in our society, and it’s causing big trouble in our financial lives.

“Remaining in the dark about certain financial factors will eventually lead you to be more exposed to countless financial problems,” said Clint Proctor, editor-in-chief of Investor Junkie.

It may not be your fault that you lack financial literacy, but it is your responsibility to resolve it. You might want to hire a financial advisor for intensive one-on-one help, but you can also check out a growing list of books and podcasts to learn more.

Having a Negative Mindset

Seeing the world through rose-colored glasses won’t solely guide you to financial success, but the reverse mindset can outright hurt you.

“Behind a lot of common financial issues is a disabling money mindset,” said Kelley Holland, a financial empowerment coach. “This can manifest as negative self-talk, like, ‘I’m hopeless with money’ or ‘I’ll never be able to retire.’ It can also show up as avoidance: Not opening bills that arrive, failing to track spending, or missing payment deadlines.”

There are a few ways to tackle a negative money mindset including to challenge your beliefs and recognize your own strengths and past achievements.

“Consider whether your belief is accurate — or whether you really have strengths or experiences you can draw on to take charge of your finances,” Holland said. “For example, if you have had success adopting a fitness regimen, you can think about the reminders and motivators you drew on to make that happen.”

Getting Bad Advice From So-Called ‘Experts’

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/6-causes-financial-problems-solve-200052276.html

What Happens to Your Mortgage When You Die?

What Happens to Your Mortgage When You Die?

Mark Henricks April 18, 2022

If you die owing money on a mortgage, the mortgage remains in force. If you have a co-signer, the co-signer may still be obligated to pay back the loan. A spouse or other family member who inherits a house generally has the right to take over the payments and keep the home. Alternatively, terms of a will may direct that the estate’s assets be used to pay off the mortgage, and sometimes a life insurance policy will pay off the mortgage if the original borrower dies.

If no one will assume the mortgage and there is no provision to pay it off, the lender may foreclose on the property and sell it. A financial advisor can help you deal with mortgage challenges during the estate planning process.

Mortgages, unlike most other debts, don’t usually have to be paid back from the estate of a deceased person. With credit cards, car loans and similar debts, family members generally aren’t directly responsible. Instead, debts will be settled with funds from or generated by sales of assets in the estate before anything is distributed to heirs.

When the deceased person was married, the situation is different in community property states. Community property states include Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin. In these states, surviving spouses may be responsible for paying back mortgages as well as other debts assumed by a deceased spouse during the course of the marriage. Note that debts assumed before the start of the marriage are normally not the responsibility of the surviving spouse. The specifics vary significantly from state to state, however.

With a mortgage, only the specific property that secures the loan is affected. Unless the will specifies otherwise, the other assets in the estate can be distributed to beneficiaries through probate rather than being applied to the mortgage.

While the mortgage debt survives the deceased person, the responsibility for paying it back doesn’t automatically transfer to anyone other than a surviving spouse in a community property state, again unless there is a co-signer. If there is a co-signer, that person remains responsible for the mortgage debt after the death of the other co-borrower.

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/happens-mortgage-die-150414432.html

What Is 5 by 5 Power?

What Is 5 by 5 Power?

By Barclay Palmer Updated June 18, 2022

Reviewed By Pamela Rodriguez  Fact Checked By Michael Logan

A 5 by 5 power clause in a trust document gives the beneficiary the right to withdraw either $5,000 or 5% of the fair market value of the trust account per year, whichever is greater. This is in addition to the regular income payout benefit of the trust.

The clause is intended to guarantee the beneficiary a minimum dollar distribution in years in which the assets invested for the trust decline.  A trust is established in a will in order to provide a regular annual income to one or more beneficiaries from the assets of the estate.

A 5 by 5 power clause in a trust allows the beneficiaries access to an additional amount each year if needed. The amount is the greater of $5,000 or 5% of the estate assets. One of the greatest powers of the 5 by 5 is that distributions taken by the beneficiary can be written off as deductible.

Understanding 5 by 5 Power in a Trust

A trust is an alternative to a lump-sum inheritance. Instead of willing a large amount of money with no strings attached, a wealthy individual may put the money in a trust. The money is then invested and the heirs are paid a predetermined amount of money annually, usually a percentage of the value of the trust.

The trust may be designed to protect the interests of minor children, infirm heirs, or offspring that the beneficiary, rightly or wrongly, doesn't consider capable of handling a fortune wisely. This allows the beneficiary to still financially benefit, but forces them to work within the budget of the clause.

The 5 by 5 clause may be included to give the heirs access to an additional amount of money yearly without giving them the ability to decimate the value of the estate. It is particularly useful if the annual payment falls short due to a decline in the investments held in the trust.

To continue reading, please go to the original article here:

https://www.investopedia.com/ask/answers/09/5by5power.asp?utm_campaign=quote-yahoo&utm_source=yahoo&utm_medium=referral

Which of the 3 Financial Phases Are You In?

Which of the 3 Financial Phases Are You In?

by: Kelli Kiemle, AIF®    April 11, 2022

Knowing which of the financial phases of life you are in can help you better plan to build, protect and enjoy your assets, no matter what your age.

Every year we see the same months, holidays and seasons – it’s all pretty predictable. While you may not know when a winter storm will hit, you can usually count on chillier weather come winter. The same can be said for financial phases. While not always easy to predict, you can find patterns if you look for them.

But how does knowing a financial phase pattern help? When it comes to financial planning, the answer is a lot.

What Are Financial Phases?

There is a natural ebb and flow to money habits throughout the year. For example, most of us tend to spend more around the holidays because of gifts and parties. When January hits, people take a look at their budget, set goals for the year and attempt a financial diet. The same can happen in the summer as people splash out on vacations or enjoy a plethora of activities with their families.

Patterns can also occur throughout, showing up in spending and savings habits. Recent college grads probably live on a tight budget with less savings, whereas an established professional might be more focused on long-term goals, such as buying a home or saving for retirement.

Is It The Same For Everyone?

While the year can offer similar periods of spending and saving, each individual has their own plans, priorities and habits that make them unique. If you enjoy saving, maybe you take vacations during shoulder seasons to take advantage of lower hotel and airfare prices or you sign up for a credit card (of course, paying it off every month) that supports your travel habit – think free rooms, reduced flights, etc. Or if you always go big on your birthday each year, you create a plan to automatically save money every month into a “birthday fund” so when the time comes each year you’re ready.

The same is true when looking at life patterns or saving and investing. If you land a well-paid job out of college, perhaps you spend more lavishly than the average early 20-something would. Or someone who joined the FIRE movement would contribute to their retirement and save differently since they have a different goal. It’s important to understand that each person has their own goals and priorities, and sometimes life gets in the way with unexpected obstacles.

How Does Knowing This Help?

https://www.kiplinger.com/personal-finance/604519/which-of-the-3-financial-phases-are-you-in

You’ve Worked a Lifetime to Build Your Wealth. Here’s How to Keep It!

You’ve Worked a Lifetime to Build Your Wealth. Here’s How to Keep It!

Michael Torney, CFP®, JD, LLM (Taxation), Senior Adviser  Sat, August 20, 2022

The first half of 2022 was one of the worst starts for the S&P 500 since 1970. Many investors saw their portfolios decline by 15% or more during the first six months.  On top of that, bonds – usually a safe haven for investors – also experienced a significant decline.

For investors nearing retirement, there is a good lesson here. The skills required to build wealth are different than those required to keep wealth. Just as you had a goal to build your wealth, now you need a goal and skill set to maintain it.

To accomplish this, everyone needs a plan to address the following:

Their goals for wealth in retirement.

A spending and investment plan.

Executing the plan and adapting to any changes.

The Why of Your Wealth

This first step is the most important one.  An individual or couple needs to determine their priorities, including how they will enjoy the wealth they have built.  Most people not only want to maintain their current living standard, but also spend money on new activities and exciting adventures while continuing to support their adult children and grandchildren.

Here are some of the common ways people choose to spend their wealth, which will allow us to develop a financial plan to meet them:

Additional travel and vacations.

Contributing to a grandchild’s 529 college education plan.

Donating more money to local charities.

Purchasing a second home.

Leaving a sizable inheritance for adult children and other family members.

Making a Budget, with Room to Spare

With your goals laid out, the second step is developing a plan to pay for these items while also protecting your portfolio. Unfortunately, the trap some wealthy retirees fall into is thinking their assets – even if they have millions of dollars – will sustain them no matter what.

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/ve-worked-lifetime-build-wealth-083005253.html

Future Historians May Call This The ‘Crisis Of The 21st Century’

Future Historians May Call This The ‘Crisis Of The 21st Century’

Notes From The Field By Simon Black  August 22, 2022

In the year 210 AD, after two decades of constant warfare, Roman Emperor Septimius Severus was finally satisfied: he had conquered nearly the entire known western world.

This was the year that the Roman Empire reached its maximum territory-- approximately 5 million square kilometers, stretching from Morocco to Georgia, from southern Scotland to western Iran.

Plus Rome controlled absolutely everything in and around the Mediterranean. They controlled the Black Sea. They controlled the Nile and Danube Rivers. They controlled the Silk Road.

In short, Rome controlled virtually every known trade route in the world, and this gave them extraordinary economic power.

But it came at great cost: It’s expensive to wage war. It’s even more expensive to maintain a huge empire.

And in order to pay for it all, Septimius Severus resorted to heavily debasing the Roman currency. The purity of the denarius silver coin plunged from 83.5% down to just 55% during his rule.

Severus died the following year in 211, at which point his son Caracalla became emperor after murdering his own brother.

Caracalla was legendary for his cruelty, brutality, and poor decisions. He executed many of Rome’s most productive citizens, doubled tax rates, and debased the currency even further.

Caracalla was eventually slain by one of his own soldiers. But Rome’s string of bloodthirsty, maniacal emperors was just getting started.

By 218 AD, for example, the new Emperor Elagabalus completely ignored the duties of his office because he was so obsessed with his own sexuality.

Elagabalus reportedly offered to give away half of the Roman Empire as payment to any surgeon who could turn him into a woman, and he used to regularly prostitute himself at local brothels around Rome.

He too, was assassinated.

In fact political assassinations were becoming so commonplace in Rome that it was almost remarkable when an emperor died of natural causes.

In 238 AD, for example, Rome had SIX different emperors in a single year, with each plotting the murder of his predecessor.

Throughout the entire third century, in fact, Rome had a total of 35 different emperors. Only one is certain to have died of natural causes. Most were murdered by rivals.

By mid-century, Rome was in full-blown crisis. In fact historians today actually call this period the “Crisis of the Third Century”.

The political turmoil caused deep distrust in institutions; the Emperors themselves were typically corrupt, depraved, incompetent, or all of the above, and Romans lost all confidence in their government.

Moreover, the currency had been debased so severely that inflation was rampant across the empire.

The government was routinely failing to secure its borders, and various foreign tribes began flooding into Roman territory, causing severe disruptions to trade and agricultural production.

Rising powers in the region-- namely the Kingdom of Alemannia-- even began conducting raids in the Empire and directly engaging the Roman military. Rome suffered a number of embarrassing military defeats, shattering its reputation as a strong, invincible superpower.

Oh, and there was also a massive pandemic in the year 249. (Stop me when this all sounds familiar).

It was known as the Plague of Cyprian, and it caused even more widespread economic devastation.

In particular, the pandemic caused major labor shortages, and nearly every industry struggled to find enough workers.

So naturally the imperial government stepped in and started forcing people into government service. They needed more soldiers to enforce their ridiculous edicts, and more tax collectors to steal people’s money. And this made the labor shortages even worse.

Rome was essentially in a period of nasty stagflation. The currency was constantly losing value, prices were rising, and the economy was shrinking.

Trust was at an all-time low, social divisions were extreme, civil war was commonplace, corruption reigned, and people felt like the situation was hopeless.

It was around this time that the Empire literally began to split apart. By 270, in fact, what used to be known as the Roman Empire had actually divided into three distinct regional empires. And it appeared that the once-dominant superpower was no more.

But that’s also when a former soldier named Lucius Domitius Aurelianus became emperor of the new, smaller, regional Roman Empire.

He is known to history as Aurelian, and his top priority upon assuming power was reunifying the Empire.

His military victories were nothing short of astonishing; within just a few years, Aurelian had reconquered nearly all of the Roman territory that had been lost during the Crisis of the Third Century.

He also took steps to reform the currency, heal social divisions, eliminate corruption, and slash the government budget.

Aurelian only ruled for about five years (before he, too, was murdered by rivals). But his actions were so successful in helping to end the crisis that he was given the title Restitutor Orbis-- Restorer of the World.

Rome eventually did fall. But without Aurelian, it would have all probably ended in 270 AD. 

In just five years he managed to implement enough reforms to keep the western empire going for another two centuries.

Centuries from now, future historians may look back on this time as America’s “Crisis of the 21st century”.

When you think about it, so far this century the US has endured the 9/11 attacks, the War on Terror, the Global Financial Crisis, a complete breakdown of trust, extreme social divisions, chaos at the border, cancel culture, Big Tech censorship, the COVID-19 pandemic, the rise of China, humiliation in Afghanistan, war in Europe, record high debts and deficits, inflation, stagflation, and much more.

It looks eerily similar to Rome’s Crisis of the Third Century. And I know for many people it seems hopeless. But it’s not.

The 1970s was another extremely dark period in the United States which included stagflation, crime, political corruption, energy crisis, hostages in Iran, and the constant threat of war with the Soviet Union.

It was a horrible time. But nothing unifies voters and focuses their minds on the right priorities like shared suffering.

And so in 1980, voters threw all the bums out and brought in a new government that, within a few years, tamed inflation, cut taxes, reduced the size of government, strengthened the military, and set much better conditions for economic prosperity.

(I’d actually encourage you to watch Ronald Reagan’s brief remarks during his very first press conference in 1981, summarizing his administration’s mission.)

If we’re being intellectually honest, government bears the bulk of the responsibility for most of the problems we’re facing today. So theoretically, a better, more responsible government has the power to arrest the decline and move things in the right direction once again.

And there is substantial historical precedent for this turnaround thesis; Aurelian is just one example.

But it would be a major affront to our basic human dignity to capitulate all responsibility for our lives to politicians. And frankly I think this is a huge problem.

Too often people believe that they don’t have control over their own lives, and that things will only start to improve once the ‘right’ people have been elected.

Sure, it’s possible that a better, reform-minded government may emerge from this Crisis of the 21st Century.

But the reality is that no one needs to wait for an election, or for some politician to ride to the rescue.

Most of us as individuals lack the authority or resources to fix national problems on a grand scale. But we absolutely have the power, and a multitude of tools at our disposal, to set ourselves up for success.

For example, we know Social Security’s major trust funds will run out of money in about 10 years, causing the program to make drastic cuts to its benefits.

But we also have a number of tools available to fix this problem for ourselves-- like setting up a robust retirement structure and channeling side-income into tax-advantaged investments.

We know taxes are on the rise and likely to rise more. But we also have completely legal ways to reduce them.

We may be facing certain domestic risks at home. But there are nearly 200 other countries in the world where we can set up our own personal safe havens.

We can certainly hope the Crisis of the 21st Century ends with voters coming together and electing a responsible government.

But in the meantime, there are countless steps that anyone can take to improve their own lives which don’t require any politician to save the day. Rather, all that’s needed is a little bit of education, and the will to take action. That’s what a Plan B is all about.

To your freedom, Simon Black,  Founder, SovereignMan.com

https://www.sovereignman.com/trends/future-historians-may-call-this-the-crisis-of-the-21st-century-36233/

8 Best Financial Lessons My Partner Taught Me

8 Best Financial Lessons My Partner Taught Me

GoBankingRates  Jennifer Taylor  Thu, August 18, 2022

Your special someone is an amazing person who has improved your life in more ways than one -- including financially. Maybe you were decent at managing money before you met them, but they helped you become even better or perhaps your finances were a mess until they stepped in.

No matter the situation, you received at least one valuable financial lesson from them that changed the way you view money. Now that you're a more responsible spender, less stingy or better at putting money aside for savings, you'd like to share your experience with others.

This is great, because your partner's savvy financial advice also can have a positive impact on plenty of other people. Hearing how their advice helped you can inspire others to make changes they've been putting off or didn't even realize they were capable of achieving.

Or, perhaps you're the one who imparted the financial wisdom that changed your partner's life. Regardless, sharing these tips with others -- and listening to money advice from other couples  -- is a great way to pay it forward, while also learning a few things yourself.

Ready to get inspired? GOBankingRates spoke with eight people about the financial lessons their partners taught them -- and vice versa. Here's what they had to say.

Investing Can Be Fun

When the pandemic made its debut in 2020, John McGowan, founder at Mandala Financial Advisors, had just launched his own registered investment company.

"The gravity of what was happening weighed on me, as I was investing my clients' hard-won assets," he said. "One day, I walked into my partner's office and discovered he was day-trading stocks that were essentially 'on sale' and whose prices were volatile as all heck."

McGowan said his partner was basing his trading decisions on instincts, instead of fundamentals -- investing small dollar amounts, as a precaution -- and having a great time doing so.

"He taught me there's a reason they call it 'playing' the stock market," he said. "Let's not forget it can be fun even in the most serious of times."

Buy Nice or Buy Twice

To continue reading, please go to the original article here:

https://news.yahoo.com/8-best-financial-lessons-partner-190001244.html

The New Global Digital Currency That Will Shock The Whole World

The New Global Digital Currency That Will Shock The Whole World

midmessfair  Mid Mess Fair  14th Aug 2022

There is a huge international market of both digital products and physical goods. It is very easy to create, print any paper or any digital number software that can called as “money”. The only problem is how can you persuade other to get them accept your idea and your new currency money.

Now let’s look at the current whole banking finance industry to find the loophole, weakness first before finding a real solution, method to defeat it.

Here is the list weakness of the banking industry:

– There is too much fee especially when using bank card for any kind of transactions.

– The international transactions often take 2 to 6% fees, which are too much.

– Lack of privacy, personal information protecting.

Is that possible to defeat all credit debit card company in the online internet world?

Yes, very doable !

In order to have a new global digital currency system that will get accept by the public people, then there are 3 major policies that must be fair and good enough:

1. How the digital money being printed, issued, distributed, managed.

2. How the entire new digital currency system running, operating.

3. How to have a fair exchange rate with the real fiat money.

Technology is not the issue, there are many different way to get the jobs done.

It is also not about centralize or decentralize or anonymous.

The number 1 issue is the currency exchange rate between the digital money with the real fiat money paper (the connection with daily life national government backed money).

The simple answer is have fixed exchange rate for both the seller and buyer, and that fixed exchange rate will have direct link to the national government fiat money rate.

How to use, take the fiat money rate?

You can use the top 3, 4 or 5 highest value currency on the market.

Or the most popular, stable currency on the market.

Example:

Top 3 highest value currencies: Kuwaiti Dinar, Bahraini Dinar, Omani Rial.

Top 5 most using currencies: US Dollar, Euro, GBP, CAD, Australia Dollar.

Then you can have the average value number of them.

As of this writing in August 2022:

To continue reading, please go to the original article here:

https://midmessfair.wordpress.com/2022/08/14/the-new-global-digital-currency-that-will-shock-the-whole-world/

Breaking Points

Breaking Points

Collaborative Fund Jul 31, 2022 by Ted Lamade

Guest post by Ted Lamade, Managing Director at The Carnegie Institution for Science

Two weeks ago, Mitt Romney wrote an opinion piece in The Atlantic titled, “America Is in Denial”. The piece highlights numerous potentially “cataclysmic events” facing the nation, namely droughts out west, inflation, rising debt levels, profligate government spending, melting ice caps, illegal immigration, and the events of January 6th. Interestingly though, Romney argues that the most significant threat is actually not the events themselves, but rather Americans’ refusal to address them.

The question is why?

Romney believes it is due to our “powerful impulse to believe what we hope to be the case — We don’t need to cut back on watering, because the drought is just part of a cycle that will reverse. With economic growth, the debt will take care of itself. January 6th was a false-flag operation.”

You may or may not agree with Romney’s causes for concern, but for the moment let’s assume that at least a few have merit. If so, why do people so rarely act before a crisis occurs? Why do we instead choose to bury our heads in the sand and hope for the best?

The answer is actually quite simple — no one knows when something will break. It could be imminent or many years away. No. One. Knows. As a result, people tend to push the throttle until it does.

History is full of examples. It’s why governments don’t reform until it’s too late, real estate developers believe there is always room for one more building….theirs, the Federal Reserve is almost always late to “pull the punchbowl away” during an economic expansion, and why so many investors rarely de-risk in the later stages of a bull market.

The trouble is that when things do eventually break, they tend to break more suddenly and quickly than anyone had imagined. It happened to the Soviet Union with the fall of the Berlin Wall in the late 1980’s, real estate developers in the early 1990’s, dot.com companies in the late 1990’s, banks and homeowners in the late 2000’s, energy companies in the mid 2010’s, and many investors over the past year, especially those focused on high growth tech, crypto, and ESG.

During these moments, confidence and clarity evaporates and is replaced by pessimism and doubt. People once viewed as oracles and geniuses morph into scapegoats and know-nothings. Endless opportunities filled with sky high potential become toxic. Hope turns to despair.

To continue reading, please go to the original article here:

https://www.collaborativefund.com/blog/breaking-points/