The Millionaire Booklet

Wow. I think Mr. Cardone out did himself on this one. This long pamphlet, The Millionaire Booklet, has the most useful information packed into 44 little pages that I have ever seen. Honestly best bang for your buck book in terms of reading length I have ever read. But let’s get to it, what is The Millionaire Booklet?

Mr. Cardone wrote this booklet after a charity dinner. The charity aimed to raised $2 million dollars and after everyone was all tapped out there was still $1 million to go. It took over 55 people to raise the first million, but the last million was donated by a single man with a single check. When all hope was loss, a single shining hero came in to save the day. Grant was inspired by this man and his generosity and created this booklet immediately after, and in two hours had it finished, so that one day others may be the shining hero for those less fortunate.

The booklet features the following:

Preface

Introduction

Chapter 1 – Getting Rich is Not a Fantasy, a chapter dedicated to changing your mindset

Chapter 2 – Where you get your advice, a chapter also dedicated to changing your mindset and who you listen to/surround yourself with.

Chapter 3 – The Millionaire Decision, a chapter dedicated to changing your perspective of becoming super rich.

Chapter 4 – Millionaire Math, a chapter dedicated to explaining the simple math needed to understand what it takes to achieve becoming a millionaire.

Chapter 5 – Increase Income, the foundation of becoming a millionaire is described here.

Chapter 6 – Who’s Got My Money? This chapter describes the alternative mindset needed to complete chapter 2’s who you surround yourself with message.

Chapter 7 – Stay Broke, the mantra that has propelled Mr. Cardone to his financial success, and how to “save” money.

Chapter 8 – Save to Invest, Don’t Save to Save – This further explains that quoted “save” in chapter 7.

Chapter 9 – Multiple Flows of Income, the critical tool to fortifying your fortune and prevent financial distress in cases of economic emergency or hardships within a company or industry.

Chapter 10 – Repeat, Reinforce and Hyperfocus, describes the rinse and repeat cycle to creating wealth.

That’s it! All that information is packed into these 10 chapters on how to get super rich. The book is simple and to the point and doesn’t contain the fluff that other books might have. Mr. Cardone does ask 3 things of the reader,

1) Keep this booklet in your possession until you become a millionaire.

2) Share it with a friend.

3) Once you get yours, help others do the same.

With all of that in mind, here is the link to the book on amazon: http://amzn.to/2DPZBgn

Let’s go get super rich! The message in this book inspiring, I highly recommend to anyone pursuing some degree of financial freedom or prosperity. The tools and knowledge are all here and only requires the reader to act. So, with that I’ll leave you to it, I’ve recorded the day I read it (1/30/2018), so who wants to race there?

Best of luck,

B^2

Modern Long Term Stock Market Investing Secrets-summary and review

I’ve been watching the Financial Education YouTube channel for a while now and I really like the content and the enthusiasm Jeremy brings to his audience. Those who pursue success and greatness can relate to him well. He is a very successful investor and admits his mistakes and his errors when they come up proving his honesty to his viewers.

Now onto the book, Modern Long Term Stock Market Investing Secrets!, Jeremy reveals how he went from $0 to $200,000 by age 25 using this stock market investing method. He first goes into how he started considering the stock market. Looking at CD’s, savings accounts, bonds etc. yielded very low returns and real estate investing was out of the question for him at 19 years old making $7.50 an hour at his job. This led him to the stock market and he started reading and learning about Warren Buffett. Jeremy credits most of his success in stock market investing to Warren Buffett and an accounting teacher he had in his schooling.

He then goes into how to buy a stock through a brokerage, and then thinking of the underlying company you are buying rather than the stock ticker. This is right out of Warren Buffett’s playbook by looking at the company fundamentals and longevity rather than the short-term outlook. However, as Jeremy further goes into his method we see the key difference between his method and the buy and hold method Mr. Buffett uses. That is the time frame, in modern long term investing Jeremy works within a 1-5 year span. This is due to the rapid change in technology and growth that we experience nowadays. With the evolution of technology at such a rapid pace, business fundamentals, and company outlooks can change just as fast.

Jeremy then goes into what he looks at to determine if the company fits his investment criteria. The first would be looking at the management team and he uses the hockey reference, a management team that skates to where the puck will be rather than skating where the puck is. This ensures that the company will be making sound decisions years down the line. The next criteria is the balance sheet. He primarily looks at financial security or the ability for the company to make it through a tough time and the company’s ability to grow or acquire other businesses. This involves looking at the debt and on hand cash a company has. Jeremy typically looks at companies with very low debt, lots of cash on hand, and a strong brand name in its industry. The balance sheet is one of the most critical portions to his method and he references that in the end of the balance sheet chapter (chapter 6).

The income statement is the next metric he looks at. Jeremy looks at net income and revenue growth primarily and likes to see them grow by at least 10% a year, and prefers net income to outgrow revenue showing increasing profitability. Along the same lines, Jeremy loves “to look at companies that have an expanding gross margin and a high profit business model!” Obviously making profits reflects in the net income line and high margins allows a company to cut them in tough times without a large effect. Both are key aspects in his modern long-term investing method.

Next item on the agenda is PE ratios, EPS, and quarterly results. Now in the grand scheme of things when investing between 1-5 years a bad quarter is a drop in the bucket when you’re talking about an investment expecting to make it through 10+ quarters. He goes in depth as to what range of PE ratios he looks at and pending those numbers what he looks at in his other criteria. He recognizes that constant struggle between growth and value which is shown in the PE ratio. Warren Buffett is primarily a value investor which is where Jeremy has gained most of his investment background. However, the days of buying and holding are over and greater gains can be achieved for the most part by growth companies over the short term. Growth companies are rarely undervalued though, leading to a challenging terrain of finding a growth company for an excellent value.

He goes into dividends, share buyback, acquisitions and mergers next. He notes the usefulness of dividends however he thinks they are the biggest waste of money since cash is coming out with no return on investment. Jeremy ranks the following from best to worse use of capital: Expanding the business, share buyback, dividends, and acquisitions/mergers being the worse use of capital. He wraps up the book with a chapter talking about thinking outside the box and acquiring all information on a business is critical and could lead to good insight. Followed by a recap chapter, then a FAQ chapter, and finally a definitions chapter.

This article was a brief summary of the book. The information in this book in addition to the Financial Education channel has helped my investments and personal finance immensely. I would recommend this book to any beginning/novice investor as it has lots of fundamental value to add to your personal investing. Below is a link to the book on amazon.

http://amzn.to/2E2fgor

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