In the previous chapters we discussed first three of seven plans to get financial freedom. In this chapter we will going to discuss the rest of the plan given in the book “money master the game” by Tony Robbins.
Asset allocation
It is also one of the most important decision of your financial life. Where you should put the money is one of the biggest question people have. Everyone has money irrespective of the amount. Where we are putting our money matter the most. Most people keep the money in home or bank. But you will never find a people who become very rich just by getting interest from bank.
The early you can enter the equity market will be good for you. It is easier to lose money when we are younger but the same game will tough when we get old. Our risk-taking capability and courage decrease drastically.
Create a lifetime income plan:
With the help of famous investor Ray Dalio, the author suggested a lifetime income plan which is very balanced and growth worthy. According to them 30 percent money should go in equity, 40 percent should go in long term bonds, 15 percent should go on short term bonds, 7.5 in gold and rest of 7.5 percent of money in commodities.
It is a very diversified portfolio. Irrespective of market fluctuation it will give consistently returns as most assets are covered in this portfolio except real estate.
Invest like the Top investor of earth
In this section author suggested to invest like 0.01 percent successful investors. He don’t tell us to copy them but to make an strategy like them. Most of the middle class people risk their everything just to get 4-8 percent returns where rich people take less risk to get more reward.
At the recent pandemic time when market crashes, where normal people sold their stocks and give line to get necessary commodities, rich people started to get undervalued stocks. When the market recovers, most profit are generated for the rich people.
Do it, enjoy it and share it
Tony Robbins who is not only a writer but also an successful investor. He write in this book money give you freedom to do the work you want, to travel in luxury destinations and to spend time with the people you loved. You also can contribute to the society by your money. You can do this lot of things with your money which can give you happiness. So we should not ignore the money and finance. We should work money for us and not become slave of them.
Final Thoughts
So this was the beautiful story of finance in the book “money master the game” by Tony Robbins. In the book not only discussed why we need financial plans to get actual freedom but also seven systematic plans to achieve those goals. If someone follow the path given by the author one can get higher lifestyle with their limited incomes that too with financial freedom which is still a dream to most of the people of our society.
Hope you learn some valuable lessons from the series of writing of the summary of the book.
The end.