This blog is dedicated to investing, the answer to how can effectively use our financial resources to cover our needs, better our lives, and plan for the future.
This article, hopefully, will help us think of different ways in which we can start from zero and put fuel into our investments. We will start with a tabula rasa and think of ways to work our way up. Everyone has “assets”. Something of value that can trade for financial resources, which will later be used to fuel investments.
1. The asset of time.
This asset is the one that every one of us has in common. According to where in the world we born, we carry a statistical probability of achieving a certain age. Some lists that include these numbers are the following..
- List of countries by life expectancy,
- List of countries by Human Development Index,
- List of countries by GNI (PPP) per capita,
In this time given to us, we can produce and contribute to the economy in all sorts of ways, and thus convert our time into some sort of a fiscal resource, like paper money. The principle here is that when we educate ourselves we make us more “productive” inside the economy. With knowledge and skills, we solve problems and cover needs.
The spooky death clock.
This website is a (kind of) fun way to look at the date that each one of us is going to die. Taking into account our birthday, gender, and body mass index, it produces a possible “date of death”.
Of course, there is no way of predicting the future and that's just a funny gimmick, but when we live our everyday lives we do not think that there is a certain threshold after which we will no longer be on this planet. It put things into perspective.
The 10.000 hours principle
Malcolm Gladwell, journalist, author, and public speaker, in his book “Outliers”, is proposing that we can achieve a certain level of mastery in every subject when we spend at least 10.000 hours practicing our craft.
When we achieve that threshold then we can consider ourselves “master” of this particular craft. After that, we are ready to trade the knowledge we’ve acquired to solve problems in the economy and trade the time spend for fiscal resources.
Books like “The 4-Hour Chef by Tim Ferriss”, and “The First 20 Hours by Josh Kaufman” can help you develop your personal learning process.
Software applications like Obsidian, from https://obsidian.md/, can help you manage your knowledge.
Of course, anybody can, will, and must not follow this path. These are suggestions and templates to create perspective in our life. Think of it as a brainstorm.
Lessons from these books..
- Anyone can achieve mastery in a skill if he or she dedicates 10.000 hours to that subject.
- This mastery can be later traded for fiscal resources.
- Knowledge and skills as resources.
- Life optimization.
2. The asset of intellect.
Intelligence quotient, or IQ for short, is a score derived from a particular number of tests, designed to assess human intelligence. This score is not static. If we give our brains a workout each day then our score can be increased. By increasing our brain capacity we can utilize more information from our environment and better everybody's lives.
We can use these experiences, mastery, and knowledge and capitalize upon them. We can create patents, copyrighted assets, and other intellectual property, which could later be licensed and could be traded for fiscal assets with a help of a legal expert.
- Our intellect can be used to create intellectual property.
Of course, I am not a physician nor my studies have anything to do with human anatomy and brain mechanics. These are my personal learnings deriving from my personal interest and curiosity.
3. The asset of attention.
In order to write this part of the article, I went through all five books from Gary Vaynerchuk, since he is the one that popularized the idea.
Gary has a common theme in all of his books, how and why everybody needs to turn his or her passion into a career. It is important for the economy when it’s participants giving their time-resource on their passion. That way we will get more Edisons, Musks, Gates, Picassos, etc. This is one of the biggest themes of this book. Gary says that everyone needs to follow their DNA. Every single one of us needs to leave doing what they hate as a job or gig and start doing what we love.
By communicating these ideas we help other businesses that want to advertise their products. Advertisers will always look for opportunities to market their products, so we are doing them a favor when we create content. Plus you are getting paid to talk about what you love.
The author also mentions that it is a must to develop our own brand as a product or service provider, self-employed, or employee. This is when we want to stay relevant and competitive. A personal brand can help even the job seekers and the people that would never think that would work as a freelancer. A single tweet and everybody will know if you are up to for a new job, and since they trust your online brand, they will be more than happy to give you a call.
“There are enough people in the world to be interested in the stuff you love and you dedicate time in.”
Living our passion is the goal, the hustle is the way to reach our dream life, storytelling is our tool, and authenticity, honesty, and patience must be our attributes. If there is a phrase we can keep from his books, this is (in my opinion at least) the one.
Lessons from his books..
- Hustle, hustle, and hustle
- Culture and Passion expressed according to DNA
- Authenticity and Honesty
- Legacy over Currency
- Brand Equity
- Digital Goods, Courses, eBooks, etc.
- Online Service Businesses
4. The asset of land.
A classical asset that can be converted into a fiscal resource is land. There are not much that can be said about this asset category that hasn’t already been said.
Purchasing land and building real estate properties, putting solar collectors on it and sell electrical power, or using it for agricultural purposes, will do the trick. Just have in mind that land is an asset and can be used in a thousand ways to produce fiscal resources.
- Do not underestimate land as an asset.
- Energy producing parks
- .. and so many more!
5. The asset of financial power.
Similar to land assets, there is not much to be said that hasn’t been already said in this category. I certainly do not try to reinvent the wheel.
All the above assets in our lives can be converted into fiscal resources, and those can be used to fuel our investment capabilities.
- This blog is dedicated to the effective use of our fiscal resources. You can check more on that in my article “Posts on Finance and Trading the Markets Index.”
- Cash / Savings
- Financial instruments / Portfolio
- Crushing It! by Gary Vaynerchuk
- #AskGaryVee by Gary Vaynerchuk
- Jab, Jab, Jab Right Hook by Gary Vaynerchuk
- The Thank You Economy by Gary Vaynerchuk
- Crush It! by Gary Vaynerchuk
- Outliers by Malcolm Gladwell
- Mastery by Robert Greene
- The 4-Hour Chef by Tim Ferriss
- The First 20 Hours by Josh Kaufman