The paradigm of working to providing money for the family or time

In work you get paid more and given more responsibility based on your experience level/years of service.  With the average length of duty at any one company being much less than 10-15 years it certainly logical to agree with the saying "learn in your twenties and earn in your thirties".  There is a disparity and disconnect in this traditional career path.  In your twenties you are paid the least and in essence you put in the most effort.  (Related reading: The Crossover Point)  In your thirties you tend to get married/have kids and your level of effort dips at work.  I ask the question why is there a dis-correlation between pay and effort?

There is a paradigm shift where they must ask the question now that I have hit my stride in my career... do I pull pack and re-configure my efforts to providing more money for my family or provide more time with my family (less time at work). 

Perhaps because many people take the "path of more time with my family" that those who chose to take the career orientated route are rewarded with higher career paths due to less competition.

Money Flow Theory

Money is not distributed into the economy evenly, instead it is distributed in concentrated areas and distribues out from there.  A good pictoral of is is cones where money flow is injected at a point and them trails out from that point.  The key takeaway is to position yourself as close to these epicenters as possible.

It seems simple but it requires awareness and mobility if not luck.

For further reading check out:
http://www.chaostan.com/feddisaster.html

The Mom and Pop Investor Boom

Follow the money and you follow the trend...

1) Back in 2011-2013 hedge funds (google "Blackstone") took their money away from the stock market and started to invest in rentals (low hanging fruit).  A lot of the up tick in home prices in 2013-2014 have been caused by these hedge funds and international investors buying a buttload of homes with cash as evidence by non mortgaged properties statistics. 

2) 2008 recession happens and people lose 40% of their portfolio.  Baby boomers on the verge of retirement are forced to stick around at their jobs an extra 5 years to make up for their loss or let the market correct.  Investor vigor is damaged and an attitude of "anxious money" syndrome takes over where people are investing in less volatile investments or bonds.  Currently there are a lot of wealthy California's purchasing rentals in out of state locations.  Turn key rental companies work for these Cali investors to find properties, do the rehab, find tenants, and the do the property management.  Pretty slick operation and however there is a heavy cut that the turnkey company takes.

3) Fast forward to 2014 and we are seeing the first signs of the hedge funds moving out of buying properties (since they are over-valued) and into the lending world.  See article: http://theinvestorinsights.com/blackstone-landlord-lender/

The future prediction
- New wave of stock market refugees taking money from their 401k/ira/savings and buying rentals with  easier investor lending.
-higher property prices, lower rents, leading to the next bubble *2018-2020

The Two Sides of Opportunity

The false form of opportunity...

In the corporate word opportunity is a buzz word that is the "carrot dangling on a stick" to get you become vested into your company.  Ask yourself "will the next job/promotion I desire be bestowed to me as an opportunity or as an result of simple arbitration due to someone leaving/fired/retire?". Compare it with the following...

The true form of opportunity is taking a risk or investment.

Luck = Preparation + Opportunity

Les Brown said...
"Its better to be prepared and not have an opportunity, than to have an opportunity and not be prepared." In terms of investing when you have cash, opportunity will find you.

Slow Poke Generation

Gen X = Children of the 80-90s, Hardworking, first to intergrate technology
Gen Y = Blend of hardworking and family values
Millennial = In search of meaningful work
Gen 911 = Shared shitless
Boomerage Generation = Move home to live with mom and dad
Slow Poke Generation = Take forever to grow up (34 year old has equivelent maturity of a 22 year old) & They are just slow cause they are too fat.

Credit: http://www.startribune.com/lifestyle/health/232514331.html

Passion Don't Follow It: Yes you heard that right!

I take it all back about dreams and passion... don't follow it.  Get good at something that has value: Steve jobs did not have  passion for computers but he was good at it. Don't make the jump until you have the skills to leverage.  Going after your dreams day one after graduation is like being a consultant from day one or being a total professions from day one... not going to f-ing happen and setting yourself up for failure.  The whole "follow your passions" has been out since the mid 1900s and every since then job satisfaction and happiness has been decreasing.

Please refer this video for additional information from Cal Newport, 40 minutes but totally worth it.

2013 a new year get out and don't follow you passion and get good at something.

The Crossover Point 2.0

The crossover point is the point at which your investments begin to earn more money than the cost of your living expenses.  At this point one has the freedom to leave their full time job for other meaningful ventures.  I would like to introduce to you the 2.0 version which includes two new factors: 1) Decreasing motivation (a negative exponential equation contingent to an increasing investment return) and 2) Constantly increasing expectations or also know as the "the boss be getting on my nerves" (a linear climb).  

The Crossover Point 2.0