Wednesday, 30 November 2011

Wealth management

Saw a program on the tv last night about wealth creation and wealth management. very interesting I think I will definitely be reading "rich dad, poor dad", have know asked for it for Christmas. Basically the premise being you re-invest your money into assets that then generate you additional income. You save in the early years re-investing again and again for the pay back to come later on with passive incoming. The examples they showed were mostly people who have done this through the property market through rentals. Pre -recession this was probably easier, get a mortgage buy a small property rent it out and use the rental to pay off the mortgage. Creating a property that becomes more owned by you as time goes on, plus hope for market value increase as well in order to sell off at some point and re-invest again. Harder in today's market to get buy-to-let mortgages, however rental rates have increased and more people need to rent due to increasing housing market, which is probably inflated due to people investing in property. May still be a way forward if you can afford it to start off with.

I suppose passive income doesn't have to be just property. Shares create dividends, interest on savings accounts, isa &  google adsense. Some effort involved in setting up google ads and something for them to appear like youtube or your own websites. They can generate income after the event. Isa and savings the same less risk, but also less incoming coming back. Shares more risky again, but better return in terms of dividends and possible share price increases. If an author or musician your previous works out on the market may continue to earn you income in the years to come as well. They could be seen as an asset in this sense. Has made me think about my income and what I do with it.

I have have been dabbling in other areas of passive income as well. Zopa a crowd sourcing money lending site. You can lend your money out and get a high rate of interest than savings with a bank etc. There is a risk involved and fees to pay hence why I am testing it out.

Also crowd cube a crowd source dragons den/investment angel web site. You get give funding to start up companies and get shares. Obviously a longer term investment and much risker again, but interesting to read the pitches and a chance to get in at the ground level of a new company. Again I am testing it out with to get an understanding.

Also little things you can do like cash back credit cards is a form of passive income. Reward points another way of earning a very small but passive income for very little effort.

Years ago I worked out if I never went out, no holidays, saved all my money and stayed in the same property, I could slowly amass a large amount of money that I generate interest from in savings accounts or re-invest. Instead I choose to have holidays, bought a motorbike, moved house twice (have made money on these, but it only on paper as won't downgrade) had two children (very costly). I haven't put aside lots of money to re-invest. However I could start now as have some world experience and knowledge and ideas on how this could be done. Building up a fund for Uni education I suppose long term, for my children or preparing for retirement as I don't trust pension funds.(in my mine they are encouraged so greedy bankers can use your money to gamble on the stock market). I am going to write out a financial strategy and stick to it for the next few years to see what I can generate.

Friday, 25 November 2011

More trouble at the RFU

England Attack coach Brian Smith has resigned. Feedback from some of the players was he had no ideas. He asked them for their opinions and wrote them up on a board.

Well a I would have though a good coach would canvas his players and get them involved in the decision making.
get them to take ownership of the way they play.
Get an understanding of what it is like on the front lines in the modern game against these teams.

Some England players said it lack imagination and was lackluster. However, I believe England was the top try scoring nation in the 6 nations over the last two years. Won the 6 nations last year. Not that bad then!!

Feedback is important and should be accepted for what it is and that is a opinion of that person based on their perspective. Its not right or wrong.
It should be accepted and those involved develop from it to communicate better or improve their skills. It could have been an explanation as to why he ask for peoples ideas would have helped those giving the bad feedback.

Thursday, 24 November 2011

RFU Leaked report. Who benefits??

You have to wonder who benefits from a leaked report.
The players!! No its bad news for them.
The coaches! no!
The RFU management, yes. The leaked report firmly blames the players and coaches for the lack of success.
The leak really helps Rob Andrew out as many people been asking what he does! Why isn't he to blame.
What did Rob Andrew ever achieve as the Newcastle manager. Not a lot!!

Players will always negotiate about pay. We haven't heard both sides of the story and unlikely to now.
Yes I am sure some players are at fault but this leak doesn't help.
Will the players want to take part in a review again and give honest feedback. NO not if the RFU management use it shift the blame.

The England team and the RFU is suppose to the pinnacle of English rugby. Where as the premiership clubs are professional organisation the RFU is still run by amateurs. This does make sense. RFU management wouldn't last 5 minutes in a premiership club or any big company.

Time for a change within the very structure of the RFU. I would like the premiership clubs to create a new RFU and England team even if meant a few years of being out in the wilderness. It would long term be better for the game as the RFU is a shambles.