How can ordinary people make 10 million?
Today I saw a topic about how ordinary people can make 100 million. How should I put it? If there are fool-proof steps to achieve this and it can be published on the Internet, then it must be false, because everyone has achieved it, where does the money come from?
Let's be more realistic and talk about how ordinary people can make 10 million. For this number, ordinary people have a certain possibility of reaching it if they jump.
Note that I am talking about ordinary people, so we cannot assume that this person has any particularly amazing skills or is particularly smart, and must be one of the thousands of people. Then the conclusion is that this person must not be able to get this number from work, because even if you earn a million yuan a year, you can't make your net worth more than 10 million yuan by working in this life, because your work will decline, change, and your expenses will increase. You can't have a net worth of 10 million yuan by saving about 400,000 yuan a year - and this prerequisite of earning a million yuan a year is no longer something that "ordinary people" can achieve through ordinary efforts.
So we have made it clear that ordinary people can't rely on work.
Then why did some people look down on "10 million" on the Internet in the past few years? Because in recent years there is a shortcut, which is to achieve it by buying a house in a first-tier city. That is, leverage is added to the house, and then if the house increases by 1 yuan, the net worth will increase by 3 yuan, and if the house increases by 5 times, the net worth will increase by 15 times. Doesn't it seem easier to get 10 million yuan?
Now, even in first-tier cities, the number of houses worth more than 10 million yuan will not exceed 5%, and the actual transaction ratio may be even lower. On this basis, many people have huge mortgages and have to share their property with their spouses. Therefore, there are very few people in China whose net assets actually exceed 10 million yuan.
The reason why it seemed so much before was because of the asset bubble.
What does it mean? If the liquidity of something is poor and the transaction ratio is low, it seems that the holders can increase their wealth because of this thing, but in fact it is all fake. I can give everyone in the country a coin and say that as long as no one sells it, it will be fine. I will trade one coin with myself, 10 million yuan per coin. In this way, will everyone in the country exceed 10 million yuan?
This is self-deception - the "tens of millions of assets" caused by real estate in those years are all self-deception, that is, no one sells, and many people seem to have more than 10 million, but what if everyone wants to cash in their assets? Once they are trampled, their assets will be halved, and then they will be halved again, from assets of tens of millions to insolvency. Those who sold at the beginning really cashed in their assets, and whose money did they make? The money of those who sold late.
The real number of people with tens of millions of assets in China will always be consistent with the overall wealth of China as a country. If it seems to be much more than the actual number, it means that everyone must be holding something with a huge bubble, but it has not burst yet. You can find the common characteristics of those who have more than 10 million and you will know what this thing is.
Just like in 2017, around 2021, what kind of people are the most in Singapore's immigration applications? People in the cryptocurrency circle, who don't blink at the threshold of tens of millions, what does that mean? Can the cryptocurrency circle carry so many millionaires who have become millionaires from losers who know nothing at once? No, so it's just that the bubble assets have not been cashed in. In the end, whose money did those who cashed out earn? For those who didn't cash out, it's that simple.
Back to our topic, how do ordinary people make 10 million? It must be through asset appreciation.
The asset bubble in this world is always cyclical. It is determined by people's hearts and the market. It is unchangeable, and no one can ever eliminate the asset bubble. Therefore, the path for ordinary people to achieve a net worth of 10 million must be to buy certain assets during the undervaluation period, and then be able to get ashore and leave in advance in the late stage of the bubble - those with a slightly larger principal, such as 7 digits, may be achieved in one cycle; those with a small principal, such as only 5 digits, need to master some methodology and grasp a few cycles to achieve it.
Then the question is, if everyone does this, who will get ashore? Who can buy good things and leave earlier than others? So it must not be possible for it to have a simple rule that causes everyone to follow it. This is just like making 100 million, which is logically not feasible.
But I can still give you a few principles:
1. Find assets that are unlikely to die. Don’t envy those who can get a hundred times or a thousand times. First of all, those who can get a hundred times must have a small capital. It is impossible for a person to get a hundred times from a heavily invested thing. At most, it can be a few times, or ten times. That’s it. It’s definitely gone, I said.Secondly, the probability of death of things that are expected to be a hundred times or a thousand times is much greater than that of a hundred times or a thousand times, so those who get it must have paved the way with countless zeros, and they may not make much money in the end.
2. Find the most elastic assets among the assets that are unlikely to die. What is the most elastic? The elasticity of gold is very small. If you want to get rich, buying gold is a disaster, because it can't rise much. We need to buy those things that will not die but will rise and fall sharply - understand? First of all, they will not die, and then they will rise and fall sharply, because in the rise and fall, you are qualified to master the buying and selling points. You can say that you may not have mastered it well enough and finally failed to run at the high point, but it cannot be an asset that rises and falls sharply - one is promising to succeed, and the other is that there is no chance.
3. Super heavy positions in things with a clear bubble cycle. You are an ordinary person who doesn't have a few dollars. It's a foolish dream to want to achieve 10 million through "financial management". The pursuit of "reasonable" asset returns is for people with average desires. If you have great desires, don't take this route. At worst, you will be stuck. Since there is a clear cycle, why not wait a few years?
4. When everyone around you says it is not possible, slowly continue to buy. It is better if there is a buying threshold for this thing. The reason why the asset is undervalued is that everyone says it is not good, otherwise how can it be undervalued? But not everything that everyone says is not good is good, you have to know better than them.
5. If you don’t know when to sell, then give yourself a reasonable goal and leave when it reaches it. For example, if you have a total of 100,000 yuan, give yourself a goal of 500,000/1 million, sell it when you achieve it, keep a little asset bottom warehouse, and lock up the rest after cashing out. You must lock it up and cannot use it, and you cannot improve your quality of life, because that is after you reach 10 million net assets.
