Success Without a Strategy is an Accident
Master the World of Wealth
富 不过三代
Fù bùguò sāndài
“Wealth lasts not three generations”
This well-known Chinese proverb accurately describes the dynamics of financial wealth. Interestingly, it also accurately describes the rise and fall in power, influence and fortune and, in Chinese thought, can apply to families, as well as monarchs and dynasties.
This same proverb has been expressed in the West as: “Rags to rags (or shirtsleeves to shirtsleeves) in three generations”.
Basically, the wisdom of the proverb is that:
The first generation has the vision to create a productive enterprise – rather than a desire to accumulate wealth – and builds the enterprise through hard work and learning such principles as the power of leverage. Wealth is the outcome, not the aim.
The second generation has the aim of maintaining the wealth – or rather, the lifestyle that they have become accustomed to. The problem is that the second generation is used to a lifestyle based on business revenues – which are much greater than the earnings on passive investments. As a result, this generation learns to draw down on capital to subsidise their lifestyle rather than generate more earnings through effort and enterprise.
The third generation hasn’t experienced the vision and effort required to create a productive enterprise. Rather they have learned the second generation’s practice of using capital to subsidise their lifestyle and end up frittering away the wealth as they try and keep up with their wealthier friends.
There is no secret to making money. The secret is in keeping it.
Effective Wealth Creation Requires An Effective Strategy
Create wealth with confidence using a MIDAS Financial Strategy.
Our aim is for you to take control of your financial affairs. Taking control requires having an effective strategy.
A Strategy to Grow Wealth
Your wealth is important. Whether you created it, inherited it or manage it on behalf of your family, people trust you to make the most of it. So, it is no wonder that you have high expectations. You want to preserve your wealth, to make it grow and use it to the benefit of those you care for. This then is your challenge – and your objective, so you can make the right decisions for the people you protect and nurture, as their future is your responsibility. So, as you would expect, a MIDAS Wealth Strategy begins with the values and ethical principles that guide your life.
The strategy establishes your current financial position, measures your financial capacity, determines your objectives, designs models and compares the strategic options that are available to you. A MIDAS Wealth Strategy also identifies and addresses the impact of taxation and other risks to your wealth.
MIDAS combines a knowledge of investor ethics and behaviour with the rational and sound principles of modern finance and economics to create a financial strategy that best meets your personal needs and requirements.
Why have a financial strategy
When it comes to managing money, MIDAS makes sense. After all, ethical or “socially responsible” investing is NOT an option! Many investors, advisers and fund managers are treating ethical or socially responsible investing (SRI) as another investment option or category. We do things differently.
Strategies That Work
At MIDAS Financial, we believe that an investment methodology should always incorporate the values and ethics of the investor and that it makes no sense to mix approaches. The MIDAS Ethical methodology combines ethical and SRI insights with a detailed picture of a business’s value drivers in order to determine how the business will perform financially over the longer term.
Ethical investing
Preparing an ethical investment philosophy is an exploration of one’s own ethics and values and how to implement them. The MIDAS Financial Ethical Investment Selection tools can assist you to create a financial strategy based on your personal ethics and values.
Resources
Integration of ethical and SRI factors into core investment processes is one of the best predictors of a company’s long-term success.
Optimise Your Financial Situation
- Explore the key issues for developing an effective financial strategy.
- Learn the key principles of effective wealth accumulation.
- Read our guides that have been developed by industry specialists to explain the complex world of wealth creation.
- Use our easy-to-use tools to create an effective financial strategy.
Key Wealth Strategy Questions
A MIDAS Wealth Strategy considers the following questions:
- What are your goals?
- When do you need to reach those goals?
- How much do you have to invest now or incrementally, as time goes by?
- Do you have concerns about taxes, or assets you already own?
Our Financial Strategy Tool is an online resource that helps you to create your own personal financial strategy. The tool is a guided questionnaire that captures relevant information and data regarding your needs, priorities and current financial position, applying sophisticated mathematical equations to generate an effective strategy tailored to you.
Build your knowledge and keep your head up amidst the noise and confusion. Our extensive library of articles from specialists across the industry will help you understand the complex world of wealth creation and finance.
If you are looking for peace of mind that your strategy meets all your requirements, we can connect you with an experienced and knowledgeable professional for an obligation free discussion.