When we start getting into investing, a lot of us have an image in mind of where we'd like to see ourselves 'at the end' of this new journey we embark on. Some invest to get that yacht in Cape Town, and others aim for a fat gold chain that MC Hammer would be jealous of. But we're not here aiming for Hammer money, we're looking towards that Jay-Z kind of wealth. For many of us, it's not so much a snapshot or material items we'd like to see ourselves adorned in and surrounded by. It's not an experience or a single moment we're building towards. We're hustling for generational wealth.
Old Money and generational wealth
In case you're wondering what exactly is generational wealth, think of Old Money. This is wealth that has been passed down from generation to generation by established upper-class families. This concept has pivoted and re-shaped by millennials to highlight the move from 'New Money' to the establishment of Old Money. In the internet age, we're sharing ideas and ways of moving from the our inherited statuses to a new, hence the term - Generational Wealth.
Getting a start
The concept and its newfound popularity is cool to understand and recognise, but we all want to know the 'How.' Many before ourselves have made it possible through the illegal commerce to legitimate business, while others may use political connections, technological innovations and even luck. The part that makes wealth generational is the deliberate succession plans put in place to maintain your financial growth and standing.
Maintaining and keeping
Investing is a key component of all these stories. Maintaining a consistent course of investing in your finances (and even yourself) made sure that these first-generation wealth-smiths were able to pass down their wealth, money or assets to the next generation. From Joseph P. Kennedy Sr, to New York-based family, The Rockefellers, investing has played a key role in growing their estates and assets. The rule they aim for is this: the more you have to invest, the more you make.
Most new investors refer to popular and super wealthy investors like Robert Kiyosaki or Warren Buffett when formulating a strategy. Those are great starting points. But consider a new point of reference: you. Only you know what you need, and what is possible with your finances. It's YOUR budget to play with as you see fit.
It's also your future that you're building. You can wait to formulate the perfect strategy, or you can just start now.
Sure, it's easier said than done. While you can set up a Recurring Investment into your EasyEquities account and let your investments grow, it's more about cultivating the habit and routine of wealth-mindedness. Establishing up a consistent routine of saving and investing could help you establish a culture of deliberate wealth creation. Instead of waiting for your lotto numbers to show up on screen, or running a bootlegging operation, there are more straightforward ways available. In the creation of wealth, investing doesn't have an end-time or stop-date, it's more of a forever kind of gig.