Chapter Five: Lesson 5
I have said it before, but it’s worth repeating. Financial intelligence
is made up of these four main technical skills:- Accounting
Accounting is financial literacy, or the ability to read
numbers. This is a vital skill if you want to build
businesses or investments. - Investing
Investing is the science of money making money. - Understanding markets
Understanding markets is the science of supply and
demand Alexander Graham Bell gave the market what it
wanted. So did Bill Gates. A $75,000 house offered for
$60,000 that cost $20,000 was also the result of seizing
an opportunity created by the market. Somebody was
buying, and someone was selling. - The law
The law is the awareness of accounting corporate, state and
federal regulations. I recommend playing by the rules.
It is this basic foundation, or the combination of these skills,
that is needed to be successful in the pursuit of wealth, whether it be
through the buying of small homes, apartment buildings, companies,
stocks, bonds, precious metals, baseball cards, or the like.
A few years later, the real estate market rebounded and everyone
else was getting in. The stock market was booming, and everyone
was getting in. The U.S. economy was getting back on its feet. I
began selling and was now traveling to Peru, Norway, Malaysia, and
the Philippines. The investment landscape had changed. We were no
longer buying real estate. Now I just watch the values climb inside
the asset column and will probably begin selling. I suspect that some
of those six little house deals will sell and the $40,000 note will be