When people talk about assets they tend to talk about cash, stocks, bonds, real estate and other investments. All these assets are important and are necessary when it comes to building wealth. However, one important asset is often forgotten and should be the basis in everyone's life.
What asset could that be? What could be better than having a strong portfolio of securities, ownership of multiple business' and real estate?
That asset ladies and gentlemen is freedom. Freedom is overlooked by the majority of western civilization and many are willingly signing away their freedom on a daily basis.
Everyday people are signing up for liabilities such as car loans, mortgages, credit cards and crippling student debt.
Once you sign up for these liabilities, you are obligated to pay them back which means that you now have to work a job in order to pay back the lender.
You are trapped on the debt hamster wheel and it will be difficult to jump off depending on the severity of the debt.
Without having these liabilities you now have freedom, which means you can travel on your own accord, live where you want to, be more selective in the jobs you want to have, take time to start businesses and even make investments to build up your net worth. Living by this principle will allow you to be on the road towards true wealth and prosperity.
Avoid liabilities as much as possible, aim to build your asset base and work towards freedom.
- Nigel Walker