Building wealth requires understanding what matters and, at the same time, recognizing what you can control. The intersection of and distinctions between these two concepts are important to identify when making financial decisions.
Watch this short video as Christopher Tan, CEO of Providend, introduces you to the Personal Wealth Equation and how it can help you in becoming and staying rich.
Hello everybody. Today, I’m going to talk about how you can be financially successful.
You see, many a time, I hear people telling me that you do not become rich by working for the money. You become rich by making money work for you. Is that true? Now, today, I’m going to show you a different perspective by the use of what I call the Personal Wealth Equation.
The Personal Wealth Equation starts with earning an income. We all earn an income. Now, after taking away the expenses, we are left with a surplus, hopefully. And with the surplus, we invest it. And with the returns that we get from our investments, compounded over time, we will reach our goals.
So, there are two sides to the Personal Wealth Equation, the left side and the right side.
It is the left side that helps you create wealth. Many people do not realise that you are the wealth creation machine. This is the part whereby it helps you become rich. Because as you focus on earning a higher income over time, by increasing your skills, by increasing your knowledge, by fine-tuning your craft, your income goes up. And if your income goes up and you manage your expenses correctly then you are left with a huge surplus. It is this part that helps you become rich.
This is also the part whereby you have more control. Because you know your job best. You know how to improve your skills. You know how to improve your craft. So, you have more control.
This is also the side whereby you are responsible for and I call it your job. On the right side, the investment side. This is the side, it doesn’t help you be rich. It doesn’t help you become rich. It helps you stay rich by making sure that through investing, you beat inflation and more. This is also the side whereby you have lesser control because we all have lesser control over the market. And this is also the side whereby you might not have the expertise.
And this is the side whereby you outsource to us. It is our job. It is Providend’s job. And therefore, perhaps, the better way to be successful financially is not just to focus on the right side. It’s not to focus on the right side but rather focus on the left side which is you. You are the wealth creation machine. Leave the right side to us. It is our job at Providend to help you stay rich.
Now, if you want to find out more about how we can do that for you, please find out more through our website. Thank you very much.
Interested to get a second opinion on your financial plan or a review for your investment portfolio? Contact us at https://www.providend.com/service-enquiry/ or at 6309 2488 for an exploratory session today.