Financial independence is to try to own the five major assets on the premise of achieving financial security, so that you can have passive income, make your finances more diversified, and let yourself take control of your active life. So what are the differences in income patterns between rich and poor people? The rich have various ways of income, such as: salary income, investment portfolio income, passive income, etc.; while the poor have a relatively simple way of income. They only have income from work. If you work, you will have income. If you don't work, you will have no income.
As long as people live, they need to use money. To a certain extent, having money does not necessarily lead to happiness, but happy people will definitely not be short of money. Because when someone starts to be short of money, it will affect the person's emotions and cause anxiety and fear about money. So how to fundamentally solve the money problems in life? Continuously improving your thinking as a wealthy person, through financial knowledge and practical experience, having a large amount of assets is the long-term strategy to solve the problem.
What assets do we humans have? Human beings have five major assets: first, real estate and real estate; second, businesses that are profitable and operate automatically; third, securities such as stocks, funds, bonds, etc.; fourth, patents and copyrights; fifth, tradable, Items that maintain and increase value.
The five major assets belong to five different areas of asset types. What are the characteristics and sources of income of the five major assets?
1. Real estate, real estate
Due to its own characteristics, namely the fixed location and immovable nature, real estate is also called real estate in economics.
How to obtain income sources from real estate and real estate? Including the transfer, leasing, mortgage of land use rights and the sale, lease, mortgage and other activities of houses; real estate intermediary services, including real estate product consultation, valuation and brokerage agency, property management.
2. Enterprises that can be profitable and operate automatically
A system composed of employees, experts, managers and investors can realize automated operations and generate continuous profits. For example, new automated companies such as unmanned supermarkets, online courses, and unmanned automatic claw machines; how do companies obtain income? As a business owner, you can receive salary income, share dividends from corporate profits, and even equity premium income if your company goes public.
3. Securities (stocks, funds, bonds)
Funds, stocks, and bonds are all securities, and investments in them are securities investments.
Generally speaking, the risk of stocks is greater than that of funds and bonds, while the returns of funds and stocks are uncertain, while the returns of bonds are certain, and the returns of funds are higher than those of bonds. Securities are highly liquid and can be traded in the securities market at any time. What are the income from securities? Trade directly in the securities market to obtain capital gains or dividends from marketable securities.
3. Patent rights and copyrights
Copyright protects literary, artistic, and scientific works; patent rights protect invention patents, utility model patents, and design patents. The subject matter of copyright is much broader than that of patent rights. How to obtain passive income from patent rights and copyrights? You can charge royalties by licensing patent rights and copyrights to others, and you can also transfer patent rights and copyrights.
5. Items that can maintain, appreciate and circulate (gold, antiques, calligraphy and paintings)
Antiques in prosperous times are gold in troubled times. In the peaceful and prosperous times, antiques were deeply loved by people as valuable items that can maintain and increase their value. If there is demand, they will have value. However, the market is chaotic and it is difficult to distinguish the authenticity from the fake. Therefore, if you want to collect good antiques, calligraphy and painting, and have deep antiques, gold, calligraphy and painting. Knowledge and experience are essential. So how to earn income through gold, antiques, calligraphy and painting? Selling low and buying high directly obtains the price difference, and there is also indirect income obtained through options.
As long as a person owns assets, he or she can have passive income, which is a completely different form of income from active income.
Active salary income brings a passive life, where others decide your life, and it is difficult to gain freedom; passive income means you can have an active life, control your own life, achieve financial independence, and gain freedom in life. .