Does it take luck to become a millionaire?

[JLP]

Although the S&P 500 is diverse, it isn't as diverse as the Total Market Index, which is composed of over 1600 stocks organized in the following ten sectors:

Basic Materials
Consumer, Cyclical
Consumer, Noncyclical
Energy
Financial
Healthcare
Industrial
Technology
Telecom
Utilities

JLP

[The Budget Man]

Originally Posted by akaivyleaf

The S& P is diverse. It is comprised of 500 stocks from different sectors. So investing in the S$P500 is picking 500 distinct stocks. What are sectors? Technology, pharmeceuticals, oil, etc.

It's interesting that people are talking about having a diversified investment strategy and then discussing the different types of shares on the share market.

As well as shares ther is property and savings.

Being diversified can also include investing in your own assets and having only managable debt levels.

For me, being able to survive if any section of my investments goes bad is a key.

Enjoy your money
The Budget Man

www.PersonalityBudgeting.com
For when you want the freedom of enjoying your money

[Snoopy2645]

Well any of my relatives or people I know who are actual millionarires didnt get thier by luck they got thier by lots of hard work!! They all own businesses of thier own & most built from the ground up. Most had some money not much though given to them somehow or someone gave them thier first break to get it going. So I think becoming a millionarire takes alot of work & scrimping & saving & its possible!!

[starving_student]

It takes time and hard work. I think anybody that doesn't screw up can be a millionaire even if they don't own a buisiness and do not have terrific investment.

[Ima saver]

I know that every young person that wants to, can become a millionaire. It is as simple as saving a few dollars away every day and never touching it until they retire. It is not that hard to save 2 or 3 dollars every day and letting compound interest do it's work.

[baselle]

Look..if you work full time at a job making at least $34,000/yr for 30 yrs, someone at your job will pay you a million dollars over the course of your career. At least a million dollars passes through your hands during your lifetime.

Of course you can't save all of it, but if you can save 10% of it, and put it in different places that will earn money for you. If you keep it in those places long enough so that you're getting interest on the interest or rents on the real estate or dividends on the stock reinvested from dividends, you'll get there. All of the charts that model the growth of the net worth of your portfolio are exponential...it means that most of your growth will happen in the last year or two.

So yes, if we're in a recession or a depression in those couple of years that's a risk. Does it mean that I'm not going to save and invest? Nope.

The big worry that is even worse is inflation - that a million dollars is not what it used to be.

[MarshallMiddle]

No it does not take luck to be a millionaire. It takes determination and consistency. If you save more than you spend and start a Roth IRA early enough, you will easily be able to amass a million.

[more freedom]

millionaires are not that rare.

In north america every 12min there will be a new millionaire.

The bottome line is if you work hard you will find yourself LUCKY.
HEHE

[Duchesse]

It takes self-control, self-discipline, self-determination, and last but not least, persistence.

[The Budget Man]

Our local paper featured the story of some people who are having their land resumed for a new dam. All of a sudden these people will have cash.

If I was a betting man, I'd bet that most of these people will fail to turn their compensation into a long term benefit. The precedent is less than 5% will use it wisely.

I think it is a combination of luck and hard work to make a million.

Enjoy Your Money
The Budget Man

www.PersonalityBudgeting.com
when a budget matters

[jmjj215]

I'm reminded of the quote "The harder I work, the luckier I get."

And I believe that holds true.

[Ima saver]

It does require a lot of hard work. Luck can't hurt, like staying healthy so you can work hard. But i don't every expect to get rich from luck alone, that is why I don't bother with the lottery or gambling.

[disneysteve]

Originally Posted by robby

Now you can only get 3% or less from a bank.

This statement got no response surprisingly. If you are earning 3% or less from your bank, you need to move your money. HSBC, Emigrant and numerous other online banks are paying 5% and a little above now. There is no reason to settle for sub-3% returns today.

Check this thread:
Online Savings Accounts & Current Rates

[jmjj215]

Originally Posted by disneysteve

This statement got no response surprisingly. If you are earning 3% or less from your bank, you need to move your money. HSBC, Emigrant and numerous other online banks are paying 5% and a little above now. There is no reason to settle for sub-3% returns today.

Check this thread:
Online Savings Accounts & Current Rates

Well, to Robby's credit, he did say that on the 30th of January 2005

This is a resurrected thread at its finest!

[disneysteve]

Originally Posted by jmjj215

Well, to Robby's credit, he did say that on the 30th of January 2005

This is a resurrected thread at its finest!

Thanks. I hadn't noticed that.

[Ima saver]

That is funny!! I have been getting over 4% for well over a year now and I will open up one of those 5% accounts as soon as this house sells.

[VJW]

Originally Posted by akaivyleaf

luck? I don't believe in luck. I don't think things happen without an underlying reason, maybe we can't comprehend the reason but there is still a reason.

The only interview that Warren Buffett and Bill & Melinda Gates gave after the announcement of Buffett’s gift was with Charlie Rose. During that interview, both Warren Buffett and Bill Gates said they got where they were now because of "luck".

#

[The Budget Man]

Originally Posted by VJW

The only interview that Warren Buffett and Bill & Melinda Gates gave after the announcement of Buffett’s gift was with Charlie Rose. During that interview, both Warren Buffett and Bill Gates said they got where they were now because of "luck".

#

Few people remember that Bill Gates did not invent the operating system that became windows. He was in the right place BUT he did have the ability to see the opportunity. Unfortunately the opportunity is often hidden under lots of work.

Bill didn't invent "Excel" either but he knew when to buy it.

The biggest challenge I find is knowing what is just hard work and what is work that will pay well.

Enjoy Your Money
The Budget Man

www.PersonalityBudgeting.com
for when a budget has to work

[VJW]

Originally Posted by The Budget Man

Few people remember that Bill Gates did not invent the operating system that became windows. He was in the right place BUT he did have the ability to see the opportunity. Unfortunately the opportunity is often hidden under lots of work.

Yes. He and Paul Allen bought QDOS and adapted it to work on IBMs new personal computer, which begat MSDOS, which begat Windows. The really interesting part of the story is that IBM originally went to purchase a competing OS from somebody else, but the guy was late for the meeting and the IBM execs got tired of waiting for him, so they then went to see Gates.

I really like that commercial that is currently airing that talks about the guy who invented sliced bread. They say that he didn’t invent bread, and he didn’t invent slicing, he just adapted an existing technology to a different product.

#

[jmjj215]

None of us have the proper perspective, or requisite infinite intelligence (even those we're talking about) to attribute any event in our lives to any one thing. There are way too many variables in this world that indirectly affect us, of which we had absolutely no idea. We go about blissfully thinking we're in control of everything, and have no idea what's really going on.