Of all the different things millionaires love to spend there money on, there are a few things out there that they would NEVER touch, even though they could afford to.
If you want to be on the right track to becoming a millionaire yourself, avoid putting money into these things.
Can you become a millionaire by investing in trendy things like tech stocks or popular startups?
But this isn’t a reliable way of making money, if you only invest in trendy stocks, there’s a good chance you won’t make much money and if you do then you won’t be able to maintain your wealth.
The reason for this is, if you’re hearing about hot stocks or getting investment tips from cable networks, then it’s already too late to get in on buying it early.
If you bought the stock early before all this hype surrounded it, you’d have made a return in the hundred percents, but most people don’t know enough about emerging markets and companies to make that purchase.
So if you buy during all the hype, the hype will eventually die down and you’re stuck holding a stock you bought at an inflated price that it will never rise to again.
Instead invest in blue chip stocks, stocks with a history of being reliable money makers.
No your returns won’t be as grand as they’d be if you’re gambling on tech start-ups.
But they’d be steady, and they’d grow over time which is something that doesn’t happen when you invest in trends.
Are there millionaires out there that do this?
Yes. But they’re are an exception and not the rule.
The reason gambling is so bad is that the odds are never in your favor, so over time you are guaranteed a loss.
Think of it this way, if you roll a dice, and you win a hundred dollars every time you roll a six, but you lose fifty dollars when you roll any other number then you are always going to come out negative because you only have a 1 in 6 chance of winning.
You will be losing more often than you win so don’t take this bet.
It’s the same idea in a casino, the odds are always stacked against you, but winning streaks will fool you into thinking you can strike it rich.
My advice is if you must gamble, then do it with a small amount of money so if you lose, then no harm done. If you have a winning streak, then just get out as soon as you can because you’re bound to lose it all sooner or later.
Real millionaires don’t gamble, they own the casino.
Know that this isn’t common, in fact you are more likely to lose money from bitcoin because the only value bitcoin has is all speculative.
When a person buys a bitcoin, they are doing it in the hopes that a second person will come along and buy it off of them for more money.
Bitcoin isn’t like investing in a stock because a stock is attached to a company that is increasing it’s value through doing business.
Eventually people will stop the cycle of buying bitcoin low and selling it high because it’ll reach a point where buyers will say “it’s not worth that much,” and the whole bubble pops.
If you invest in something, make sure it’s something that can last your whole lifetime.
This creates reliability. Your money will grow in a stable environment and you won’t need to move it around so much (the act of which carries it’s own risks).
Don’t invest in things with no proven value besides hype.
Don’t invest in things where the odds are against you.
Follow these rules and you’ll be a millionaire eventually.