Football Formation Asset Allocation

Any world-class football team has great individual players.

It’s the team and the combination of the individual players that make teams so great, the right balance of defenders, attackers and a goalkeeper.

If your team was made up of just goalkeepers, you wouldn’t score many goals. The most important investment decision you make is the long-term mix of assets you hold.

These assets also need great individual performers that work together as a team.

Combining the talents of each asset will mean together collectively you will have a world-class performing portfolio.

When an asset increases it’s like scoring a goal and when a liability increases it’s like conceding a goal.

Think of Investing like planning a road trip, it’s a long-term process rather than one single event. You first need to know your final destination, have a plan for the best route to get you there in the time you have with the amount of risk you are comfortable with and then pick a vehicle for the trip.

Living without clear goals is like driving in thick fog. No matter how powerful or well-engineered your vehicle, you drive slower, making little progress. Having set goals will clear the fog immediately. Clearly defined, written goals enable you to put your foot on the accelerator.

Desire alone won’t make you rich. What’s far more important is design. The Ferrari goes fast because of the design of the engineering; it won’t go faster by someone reading motivational quotes from the passenger seat. Successful investing succeeds because it was designed to succeed.

We are living busier more complex lives than we have ever done before. Like Dorothy entering a different world after the tornado. Today things are very different than the world before the financial crisis. There is a path you can follow to get you home. You will need to have three companions with you on your journey, the scarecrow (land) the Tinman (business) and a Lion (reserves of cash and bonds). The scarecrow needs a brain, the tinman needs a heart and the lion needs courage

Money Mindset

Everything in life is created twice. First in the mind and then in reality. Think of a house, an architect draws a plan before the first brick is laid. Before a tree has grown, it is a seed. Fast forward to the day you stop working. What do you want to be doing? How do you want to be living? Start with the end in mind.

You may think money is scarce (there’s not enough) or you may think money is abundant ( there will always be enough). How you think and feel about money is important to your long term wealth. What is your relationship with money? Treat it well and look after it and it will look after you. Once you realise that money is abundant and it’s only your time that is scarce then you understand how to build wealth. A trees roots system is mostly underground and unseen. This is your money mindset. If you want the fruits you need the roots. Let’s grow a money tree.

It all begins with an idea. Maybe you want to launch a business. Maybe you want to turn a hobby into something more. Or maybe you have a creative project to share with the world. Whatever it is, the way you tell your story online can make all the difference.

It all begins with an idea. Maybe you want to launch a business. Maybe you want to turn a hobby into something more. Or maybe you have a creative project to share with the world. Whatever it is, the way you tell your story online can make all the difference.