Why Invest in Money?


Why invest in money? Financial independence was our motivation to start Investing in Money.


Money can buy food, shelter, utilities, clothes and many other tangible necessities to live a comfortable life. The countless philanthropists, charities, non-profits, social services need money to fulfill their vision. The current COVID-19 pandemic sent millions of people and governments around the world searching for “money”. So we do need money in our lives.  It reminds me of quotes from President Roland Reagan and from Harvey Earl Wilson, an American Journalist.


Money can’t buy happiness, but it will certainly get you a better class of memories.

Ronald Reagan


Always remember, money isn’t everything – but also remember to make a lot of it before talking such fool nonsense.

Harvey Earl Wilson


Money gives you freedom to choose.


For example, after you acquired enough assets that generate income to pay for your living expenses for the rest of your life without having to be employed, you are more tempted to follow your dreams. It could be writing poetry or writing a novel or climbing mountains or learning music or learning a new language or travelling to new places or supporting your favorite charity. You have a freedom to choose. Acquiring enough money gives you options. How much is enough?

The 4% Rule


According to the most publicized and endorsed Trinity Study (“the 4% rule”), there is a 95% chance that a portfolio of 50% stock / 50% bond will survive for 30 years assuming 4% withdrawal rate. The rule originated from the study by Phillip Cooley, Carl Hubbard and Daniel Walz, three professors of finance at Trinity University. For example, if a retiree needs $40,000 from a portfolio for 30 years, he/she will need a $1 million dollar portfolio. This is just a starting point. The total amount will depend on lots of other factors such as duration of retirement, inflation, allocation of assets within the portfolio to name a few. 


What are the steps to acquire “enough” money and start building wealth? In the most simplest form, building wealth consists of living below your means, starting early, saving more, and investing consistently.


I encourage you to read our Wealth Building post to start your journey.


I must warn you that money is not everything. Money cannot buy health, love, respect, honor, family, friends, and many other intangibles that raises the level of happiness. This is where the mind comes in to play. Our mind is the most powerful tool we have. Besides raising the level of happiness, a focused mind is important in achieving financial stability and building wealth. Therefore, investing in mind is imperative.


Besides taking you to a wealth building journey, this blog will also take you on a journey to train our minds to reach our full potential.

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