Step 6: Learn About Investments Copy

Congratulations for making it to step # 6 in “The 7 Step Wealth Program”! You are almost there. In this step you will learn the different investment buckets that you can focus on to create true financial freedom.

What Will We Cover?

1. The 5 Residual Investment Buckets
2. Master One Investment Before Moving On To The Next
3. Educate Yourself 

Step 6: Learn About Investments

We have made it to the 6th step of this wealth program! While our money is growing in our savings account, we should start learning about investments.  There are two types of investments; one gives you a return with a capital gain. The other gives you a return with cash flow. Cash flow is always the goal. Why? Because our goal is to create wealth.  We want a consistent flow of income. 

It is incredibly wise to start learning about investments so when you have enough saved up, you can be ready to invest. Learning can be boring and mundane, but if you want to reach financial freedom, it is important to stick to this process.

In this learning process, you will need to follow three simple steps:

1.  Learn the “5 Different Buckets of Residual Investments.”

2.  Pick one investment from one of the buckets.

3.  Educate yourself on that specific investment. 

By mastering these three learning steps, you will be able to wisely invest when the time is right. 

Step 1: Learning the 5 Buckets of Residual Investments

In this step, we will dive into the five different buckets of residual investments. The goal is to pick one item from a bucket and educate yourself on it by reading books, watching YouTube videos, and practicing on that topic. Ideally, we want to understand each investment at the mastery level in order to invest in it. 

Here is a list of the different investment buckets we can choose from. Each investment bucket will create cash flow or residual income for you.

Bucket # 1.  Real Estate: 

Tax Liens, Rental Properties, Multifamily Buildings, Commercial   Real Estate, Airbnb

Bucket # 2. Precious Metals:

 Gold, Silver, Etc.

Bucket #3. Trading Securities: 

Stocks and Bonds with Dividends, Forex Bots, Bitcoin

Bucket #4. Digital Real Estate: 

Ecommerce Automation, Affiliate links, YouTube

Bucket #5.  Royalty Deals: 

Books, Online Trainings, Music, Business Equity

WATCH THE VIDEO BELOW TO DIVE DEEPER INTO EACH BUCKET…

Step 2: Choose an Investment Type Within the Bucket

Which investment bucket interests you the most? Choose one that brings you the most curiosity and energy. Once you choose a bucket, then pick an investment type within the bucket. This will be the residual income investment that you will focus your learning on (which leads us to our next step). 

Watch the Video Below on How you can Educate Yourself…

Step 3: Educate Yourself

Once you have picked a residual income stream that you would like to dive deeper into, it is time to start educating yourself. This education process consists of three action items that will catapult your learning. 

Learning from at least two of the three actions below will lead you towards success as long as you stay consistent and keep learning every day. 

The 3 Learning Types: 

1. Consistently shop deals in the marketplace 
2. Learn the terminology of your specific investment by researching and reading books.
3. Mentors, Seminars, and Online Educational Videos.

The goal here is to dive into the one action that will challenge you the most. We want to make learning fun but challenging. 

Learning Type #1: Consistently Shop Deal

Start shopping for different deals on the market based on the residual investment that you have picked. It is important to consistently shop deals even if you do not have the money. For example, if you pick to learn about rental properties, you will search for homes to purchase in your area by going on Zillow and different online platforms to research properties for sale. Once you pick a couple of properties, you can dive into the numbers and market values, so you can learn to pick out the great deals from the bad deals.

Learning Type #2: Terminology & Read Books

The next learning type is learning the terminology of money and finance, as well as the terminology of the investment you have chosen. You do this through online research as well as reading books. Every time you are reading a book or watching a video and there is a term that you do not understand, take the action to look up the definition online.

Here are some examples of terms you should research. Ex. Different types of loans, different types of bankruptcies, investment terms, capital gain vs cash flow, real estate terms, financial terms like net income vs gross income, etc. It is important to understand that financial and investment terminology is something that will always be there, it is a continuing education process.

Another aspect of learning is through reading books. There are many financial and investment books available, depending on what you will be working on. Here are some books we recommend:

• The Richest Man in Babylon by George Clason
• The Secrets of the Millionaire Mind by Harv Eker
• The Millionaire Next Door by Thomas Stanley
• Think and Grow Rich by Napolean Hill
• Rich Dad Poor Dad by Robert Kiyosaki
• The Alchemist by Paulo Coelho
• Atomic Habits by James Clear
• The Shift by Wayne Dyer
• The Power of the Subconscious Mind by Joseph Murphy
• Real Estate Millionaire Investor by Gary Keller
• The Third Wave by Steve Case
• The Slight Edge by Jeff Olson
•  The Science of Getting Rich by Wallace Wattles
• The Big Leap by Gay Hendricks
• The Monk Who Sold His Ferrari by Robin Sharma
• Mindset By Carol Dweck
• Aftermath by James Rickards
• Change Your World by John Maxwell
• The Code of the Extraordinary Mind by Vishen Lakhiani

Start researching terms and reading books. Be a sponge.

 Learning Type #3: Mentors, Seminars, and Videos

The last learning type is learning through mentorship, seminars and/or online videos. There is a lot of free information out there as well as experienced investors looking to mentor a willing student. Start defining the mentor that you are searching for and you will begin attracting it. While in the process of finding your mentor, start looking for online mentors through videos and live or online seminars. These online mentors are people who have already succeeded in the field you want to learn about. Learn their strategies and techniques. There is a lot of free information online, we just need to find it. 

Step 6- Learn About Investments

 Action Items: 

Here are the action steps you need to take for this chapter before moving on to the next and final step.

1. Understand and learn the 5 different buckets of investments; Real Estate, Precious Metals, Trading Securities, Digital Real Estate, Royalty Deals. 
2. Choose one bucket that you would like to start on and pick an investment type within one of the five buckets. 
3. Learn and Master the investment type you choose. Do this by consistently shopping deals, reading books, and learning terminology. You can also learn from mentors, seminars, or videos.

Before moving on to the next step, we will pick an investment type, and start diving into the learning every single day. 

“You didn’t come this far to only come this far” -Jack Kerouac

You have completed this section. Take the quiz below to complete this step and continue to Step 7.