Posted on: May 1st, 2020
A growing number of executive coaches, life coaches and others are offering personal wealth creation programs that are advertised as ways to significantly increase the affluence of participants by incorporating the insights and intelligence of millionaires and billionaires.
Should you join them?
Demand for such experts, gurus and consultants has been climbing in recent years, as evidenced by the number of affluence-building programs—from get-rich-quick schemes pitched in infomercials to “exclusive” investment opportunities to an array of experts willing to share (for a price) their wisdom on how to become wealthy.
For the most part, these wealth creation authorities are focused on how you need to think (i.e., your mindset) and what you need to do (i.e., your skill set) in order to amass great personal wealth.
Their offerings vary, of course—the personal styles and approach of the respective experts as well as the way the information is packaged and taught are key differentiators.
But when it comes to strategies and methodologies, these programs tend to share many similar traits. For example, most of them focus on three main aspects of building great wealth:
While most people may want to be much wealthier, not everyone who desires greater affluence is a good candidate for personal wealth creation programs. We find that the best candidates tend to have five core characteristics:
Important: The last characteristic—a willingness to listen and try—cannot be overemphasized. In our experience, there is often a small but meaningful percentage of successful people who are not willing to take advice. For personal wealth creation programs to work, you need to listen and give the recommendations a try. If you’re unwilling to do so, the best course of action is to try something else.
There are three main scenarios for customized personal wealth creation programs (see Exhibit 2).
How much is enough? For some people, the sky is not the limit. Some members of the Super Rich (those with a net worth of $500 million or more) desire to be even wealthier. Becoming meaningfully richer makes them happy.
Example: A man worth $500 million is looking to become a billionaire and wants, essentially, a track to run on. His personal wealth creation program may be strongly predicated on leveraging his key relationships and his business acumen.
Example: A woman is worth close to $200 million after selling a company she helped found. She knows she mishandled the transaction with her partners as well as with the buyer, which ended up causing her to “leave money on the table.” Now she wants to double her net worth by financing new firms and start-ups—but this time, her interest is squarely on how she will fully benefit.
There are people who were once extremely wealthy but lost a substantial portion (maybe even all) of their fortunes for various reasons. They want to regain their wealth and get back to where they were—or beyond.
Example: A musician/entrepreneur let the high-living celebrity lifestyle distract him to the tune of a $50 million loss, while racking up debts twice as high. First, it may be necessary to restructure his debt and control expenses. Then the aim may be to take a highly proactive approach to rebuilding his business in a very different musical environment than the one in which he created his fortune.
Example: An artist who rode the boom but is now about to declare personal bankruptcy. After rebranding him, the goal might be to maximize his professional relationships to develop new business—as well as garner licensing deals. All this could require a very different approach to doing business than he is presently comfortable with.
These are usually people who have amassed some personal wealth and want to create truly substantial wealth, but have in some way hit a glass ceiling. Often these are millionaires who badly want to fast-track to extreme wealth and need some guidance and support to get there.
Example: A highly successful business owner worth around $25 million desires to cultivate a “great fortune” so he can underwrite research seeking a cure for pancreatic cancer (which caused the death of his son). However, his altruistic nature is working against him—especially in negotiation situations. His program might aim to strengthen his bargaining skills significantly.
Example: The managing director of a boutique investment bank sees that he has only about a decade left to hit it really, really big. His first need may be to realign himself in the line of money. Then he may choose to concentrate his efforts on what he does exceptionally well, as opposed to diversifying among some very good opportunities to which he cannot really add value.
If you’re seeking guidance and advice on becoming extremely wealthy, or even moderately wealthy, remember: Caveat emptor, or “buyer beware.”
As previously noted, there are a multitude of “professionals” who are willing to share with you the way to create a fortune. Some are clearly charlatans and fabulists. Many, if not most, are well meaning: Their intent is to provide you with worthwhile directions that they believe will help you attain a meaningfully greater net worth. That said, good intentions are worthless without solid methodologies, systems and processes. Such professionals must above all be capable and their methodology must be valid.
The upshot: If you choose to seek out a program for becoming seriously rich, carefully and hypercritically evaluate the professional to whom you turn. The right well-qualified professional can prove very supportive and provide you with a tremendous education, as well as a collection of processes and techniques that can be invaluable in helping you create a considerable personal fortune.
This report was prepared by, and is reprinted with permission from, VFO Inner Circle. AES Nation, LLC is the creator and publisher of VFO Inner Circle reports.
Disclosure: The opinions expressed in this commentary are those of the author and may not necessarily reflect those held by Kestra IS or Kestra AS. The material is for informational purposes only. It represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. It is not guaranteed by Kestra IS or Kestra AS for accuracy, does not purport to be complete and is not intended to be used as a primary basis for investment decisions. It should also not be construed as advice meeting the particular investment needs of any investor. Neither the information presented nor any opinion expressed constitutes a solicitation for the purchase or sale of any security. Securities offered through Kestra Investment Services, LLC (Kestra IS), member FINRA/SIPC. Investment advisory services offered through Kestra Advisory Services, LLC (Kestra AS), an affiliate of Kestra IS.
Fusion Wealth Management is not affiliated with Kestra IS or Kestra AS. https://www.kestrafinancial.com/disclosures
VFO Inner Circle Special Report
By Russ Alan Prince and John J. Bowen Jr.
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