What is real wealth?

Wealth as a concept is often misunderstood. People misunderstand the availability of money as being wealthy, but there is a thin line between being rich and being wealthy. Richness is temporary, whereas wealth is permanent. Wealth is having sustainable ownership of assets whereas richness may remain for only sometime. The best way to create wealth may not be same as the one which would make you rich soon because richness in quantitative terms whereas wealth is qualitative in nature.

Wealth stays on for generations, but richness cannot even guarantee financial freedom for a lifetime.

The path to create wealth

Wealth creation is one of the trickiest phenomena, yet it can easily be tamable. The people who perceive wealth creation as a technique to get rich quick do not succeed, but the ones who observe, evaluate and wait and invest systematically are the ones who win the race on the path of wealth creation. Wealth creation phenomenon seems so simple through investing and people generally believe that wealth can easily be amassed by investing in equities offering the highest returns. People look for patterns, compare returns and try to time their investment, but the ones who succeed are the ones who plan and invest long term and continue to invest during the dips and rises of the market.

Wealth can never be timed, it can be attracted by systematic planning and continued investment without the fear and greed that run the markets.

Time – biggest factor in wealth creation

The best plan that work in the path of wealth creation stands on the simple concept of investing regularly and letting the money work in the favor of wealth creation. By regular investments for a longer time period one is sure to amass greater wealth as it is easier for money to guide itself on the path of wealth creation. Invest and forget what was invested, then start a fresh cycle of investment. This is the golden mantra that would help your money sail the test of financial markets and wealth creation and this is how winners plan their financial independence.

Let the money work when you cannot, for it knows wealth more closely than you think

The journey towards wealth creation

  • Plan your finances
  • Start saving
  • Invest before spending
  • Continue to invest systematically
  • Have a long term horizon towards wealth creation
  • Repeat!!

The essence of wealth creation is in persistence and consistency and not just in following the trail.