Investing in the stock market.
It's been romanticized, revered and referred to as the best way to build a brighter future for you and your family. Heck, Warren Buffett made billions doing it.
Yes, the stock market has officially been integrated into the American Dream.
It's no wonder, then, that one out of every two people you meet on the street is likely invested in the stock market, according to Gallup. What is surprising is that so many people are putting so many of their nest eggs into a basket that is so restrictive and susceptible to the whims of federal agencies, politicians, financial advisors (who may or may not have your best interest in mind) and even natural disasters.
That's right: Mother Nature can take down the stock market, and yet more than half of all Americans are counting on it (most via their 401(k)s) for their future.
It seems like there should be a better way to build wealth, and there is. It's called prosperity economics, and it goes well beyond mutual funds and the stock market to help you build sustainable wealth.
Here's a look at how you can get wealthy without relying on Wall Street:
Change the way you think about prosperity
If every thought you have comes from a prosperous mindset, your decisions and actions will be more likely to lead you to prosperity.
When you're practicing prosperity economics, you are grateful for what you have, always on the lookout for opportunities and creative about how you leverage them to build even more wealth.
Stay focused on the big picture
Benjamin Franklin once famously quipped that nothing should be put off until tomorrow that you can do today. That's incredibly bad advice when it comes to using prosperity economics to build wealth.
Prosperity economics is about making smart financial decisions on a daily basis that will allow you to achieve your long-term goals. It's not about seizing the moment or living for the day. It's about seeing the big picture and then staying focused on it.
Make sure you measure everything
For every action, there is an equal and opposite reaction. Unless credit cards are involved, the reaction is much, much worse.
When you measure every financial reaction to your actions and decisions, you have a better understanding of the opportunity cost (the loss or gain from potential opportunities, actions or decisions). When you understand the opportunity cost, you are better positioned to make smart decisions.
Focus on cash flow
Contrary to popular belief, it's cash flow, not net worth, that keeps you flourishing. And the sooner you can create cash flow, the sooner you can leverage it to build an even bigger flow.
So focus on cash flow.
Keep control of your assets
One of the biggest problems with investing in the stock market is that you essentially lose all control of your money.
Your advisor makes decisions. Your 401(k) keeps your money. The government takes a large portion of it if you need it for anything.
Prosperity economics allows you to keep control of your assets by leveraging alternative investment opportunities, such as whole life insurance.
Keep it moving
If you really want to build wealth, you will keep your money moving from one investment opportunity to another. Of course, you'll need to be in control of your money and have easy access to it in order to keep it moving.
The goal is to build sustainable wealth. The easiest way to do that is to multiply your money--and that can only happen if you control it and keep it moving.