I think there is also a big difference between old and new money and how the wealth was generated to begin with. I think the key to becoming wealthy is via a business. Investing in mutual funds and pensions is to make sure you continue to stay wealthy. Curious about the people at the bottom. If tomorrow I bought a house most of it would still be owned by the bank. How would I rank?
Time is the biggest asset that most people squander. You really only have 5 chances from age 25 to embark upon a low risk 30 year investment journey towards financial independence. After that, it's certainly possible but gets harder the longer you leave it
Dave Ramsey did the largest study of millionaires in America. They play it smart and play it safe. Most millionaires have a paid for home and a healthy retirement fund.
Definitely not a scientific study. I looked at that book and any description of the methodology was lacking. I don’t doubt that the majority of millionaires achieved it from normal savings rather than entrepreneurial success or wild speculative investments. Probably those with enormous wealth skew toward that latter group though- business success
Mortgages were wildly different back when the Millionaire Next Door, or even Total Money Makeover were published. Millionaire next door was published in '96, meaning that those millionaires took out their mortgages the 70s, when the average mortgage interest rate hovered around 10%. This lasted through the 80s and into the 90s, when Dave was writing Total Money Makeover. With such high interest rates, paying off mortgages is the obvious and smart financial choice - that is not the case when the interest rate is literally lower than inflation as was seen in the 2000s/2010s. Different situations require different solutions. Not to mention that they state the average millionaire is over 50 - ofcourse they would have their mortgages paid off, they had an upper middle class income (yes, 80-90k was their average salary but 30 years ago that was worth more than it is today). A 30-odd year old should not be breaking their back to pay off a house just because people who had much higher interest loans did the same 50 years ago. Dave Ramsey is great, but times have changed and not everything he says is applicable today. Most of the time, those who invest money before paying off low interest debt will fare better.
Millionaires, sure. Play it smart, sure. But play it safe is not gonna get you “rich”. Rich is a relative term. If everyone gets rich by investing in an index fund, then their just equally “poor”. Taking risk is necessary to become rich.
What people usually forget here is that many rich people already had high-paying jobs & high cash-flow before they started investing. The **smart** rich people simply decided not to blow all their money, and they instead invested it. It's the smart investing that multiplied their already-big earnings even further. It's very rare that someone just goes from $22,000 a year to $1million a year **just** from stock-investing alone. Anyone who says otherwise is probably just trying to sell you some fake guru course
If you are using Vanguard as an example, then you cant actually buy individual stocks like Tesla, so of course they are going to be invested in the Vanguard portfolios, because they are the only options. You should have used HL or similar as an example where investing large sums in individual stocks is actually possible.
The would be correct in the UK but in the US from this study remember that the Vanguard US platform you can buy whatever you want 👍. It’s only the UK vanguard platform that only has a limited section.
I would just like to confirm that here in the USA one can own individual stocks with Vanguard and the trading fees are very low or free depending upon the size of one's account.
I’m a British citizen with a net worth of around £4.2m I’m invested in the following 1. Residential property 2. Commercial property 3. VWRL and VUSA 4. I own a company.
Amazing! Regarding, commercial property do you see a downturn with people increasingly working remotely? Would you pull money from that and put it elsewhere?
@@gb1174 Touch wood all my commercial are fully rented. They’re all retain in prime locations, but there is always a possibility that they could become empty, which is why location and the quality of the tenants are crucial
Very good breakdown of how people at different levels of wealth invest and parse their assets. It is also encouraging that those of us who start early and have a realistic plan will wind up comfortable and maybe even rich by steady investing in broad index funds. Excellent advice.
There's one aspect of this that isn't captured by some these charts and that's the journey. The charts only show the snapshot of say that top 10% in the UK that had a lot of assets in safe investments. While at first glance that might be surprising how many of that top 10% in the UK, and as noted that doesn't need as much as some might think, got there either by working in high paid jobs and are now retired or owned and then sold out of a smallish business. They would still appear in the top 10% line but now they are no longer building their wealth but instead might take a "I was the adventurous entrepreneur before but now I've reached the finish line and want to protect my hard fought for gains". Probably a near-impossible data collection exercise but what would be interesting would be to look at all those people in the top 10% and look at their asset allocations not only now but also 10, 20 and 30 years ago to see how they changed as they travelled their individual roads to riches.
Interesting video. I did a spreadsheet some time ago to see what assets and liabilities my wife and I have. It did not include her pension, our house represented 60% Investments 20% I often wonder how some, likely not to be in as strong financial situation afford the nice cars etc I do believe it is debt. So for that reason it does not impress me that they have a nice car but the nice car will impress, if that makes sense? Most of my clothes come from a supermarket. Liking expensive stuff can make you poor very quicky especially if funded on credit cards. I am happy on the capital side of my money but I still think I am low on income hence dividend investing.
Well I think if you can afford a few luxury items, nice car, quality watch etc, that genuinely make you happy then you should. Life is for living and a Porsche 911 when you're 40 is far nicer than when you're 70
Thanks Tony. Very useful. Not interested to become rich/super rich etc. I’m just keen to be financially comfortable, support my family, get my kids on the property ladder and enjoy my retirement when it arrives. I guess, the good old consistent diversified investment is way forward. Cheers
i am retired at the moment ,managed to get down the escape tunnel a few years early, had funds to get me to my state pension , which starts soon, i started investing for dividends just to cover my basic living expenses , even more so now because of the utilities going up, remember my first div payment of 10p :} i enjoy the small amounts coming in, every little helps as they say :} good luck to you Sam
I actually thought a lot more people have negative net worths. I'm in the Army and a lot of the lads don't own property, have credit cards, cars on finance, student loans, pay day loans etc.
It's a sobering thought that those in public service are least likely to be in a position to accumulate assets. Having children also severely impacts net worth. In the UK, having a child is equivalent to taking out a lifetime loan of something like £120,000
Interesting video and interesting comments too! I’d have guessed the super rich would’ve had more in bonds than in equities; logic being that 3% of 10 million is 300k - plenty of money to fund a lavish lifestyle but 3% of 100k is only 3000!
I believe that the more money one has the more risk one can afford to assume. Of course this really comes down to the temperament of the individual investor.
Thank You very much for this excellent educational video. By the way, what is your trading set up that I see in the background of your video? (CPU configuration).
Thank you for the video. The interpretion of the picture at 7:56 may be misleading, though. If you only have $10K, but you need a car, even the cheapest car will take a big part of your budget. When you have $1B, even several very costly cars are only a narrow line in the diagramm. It is even worse... many of the billionaires do not own any cars, but get them as a service from some of the businesses they own. But, even for the $10K people, the question is how you can spare and invest at least 20% of your income.
Surely these data don't indicate that rich investors didn't get rich from risky investments, it just indicates that they don't currently hold many risky investments. Once they get rich there's no need to hold risky investments because the goal then is just to maintain wealth and maybe grow it just a little bit (so they can live off the growth). It would make no sense for a multi millionaire to hold risky investments. Also, those that did get rich off fairly risky investments will have had a fair bit of luck. Plenty of other people will have picked the wrong risky investments and done poorly. So, the idea of investing should be to gradually reduce your risk over time.
How does the report handle businesses that contain real estate or stocks? I assume wealthy people will shelter assets in LLC or businesses to reduce their taxable income.
Great video but quick question! Where to wealthy people keep cash in the bank to ensure large amounts of it are protected if the banks collapse? I assume they Dont have about 10 different bank accounts all protecting £85k under the FSCS? I’m assuming millionaires who hold cash still Dont want hundreds of thousands of pounds exposed if the banks collapse, even if the rest of their wealth is tied up in investments etc?
You’ve answered some of it here. Firstly they don’t hold loads of cash, cash is a terrible asset as it loses value. Secondly, yes you might want to have it in separate accounts, thirdly you can hold it in other kinds of assets like bonds, money market or other fixed income products. There’s always some risk but the risk of a major bank going bust these days is extremely limited as this is not 2008 anymore 👍
The orange bar for the vehicles didn't surprise me but it's still shocking to see it graphically. That's how you get a $1.5 trillion auto loan debt balance!
I keep getting suggested adverts about whiskey cask investing, it'll say something like 5000 - a mil in 30 years, is that trustworthy? It sounds too good to be true
If it sounds too good to be true...I don't know enough about industries like whiskey, fine art, cars etc but at the end of the day its only worth what someone else wants to pay for it and there is no way to value cash flows reliably so i'd only invest money here purely speculatively or not at all.
BTL Lewis, you borrow to buy an asset that increases with inflation, over time, and you don't need to pay off the loan as the tenants do that for you. Be a good landlord and (like me) say yes to just about everything the tenant requests Worse case scenario, if it all goes t*ts up, you'll have a place to live And use any spare rental income to put in a S&S ISA
@@sassysam6998 hi Sam, I had 4 but sold one in 2021. So 3 now but they're all with letting agents at 9% a month I really don't want to liaise with tenants or handle the references deposits etc In 10 years I've never had a vacant period
There is a huge difference between investing to get rich and investing to stay rich, if I had half a mil to invest it would be very conservative in a lot of dividend stocks and bonds, instead I need to turn my £5k into half a mil so have to go higher risk
Great video Toby, for me property and personal pension did the trick. I believe Buy-to-Let is tops because you receive all the capital growth PLUS a very index linked rental income, which is a WIN WIN. That said, you need plenty of luck not to have a bad tenant, which will wipe out a serious chunk of your investment. In fact there's a lot of luck involved, the need for which diminishes as your property portfolio expands.
FOMO. good content. I am a sh1t driver. I am also a very confident person BUT i like to live with 'balance' and 'risk assess' stuff. I long term invest in the market. i assume i will hold my stocks/etfs for 10 to 15 years minimum. i check my portfolio almost every day but never let it bother me if it drops - i just look for the opportunity that the drop might present.
It is hard to compare when people with average jobs could pay off house in 10 years or less 20-30 years ago and now they would need 200 years to do the same.
Stopped the video at 3:22. My guess is: They are owning a lot of money, so i guess their risk tolerance is not so high, gaining 1% of a billion is a lot. So I guess they are not hunting for 10timers and so on.
Toby, do you have any videos covering the correlation (or apparent lack of it) between top 10% “wealthiest” (ie. net worth) and the top 10% highest earners?
The tax efficient way to invest in "risky" plays is a key benefit for those that have more and can take risk. Also pension wealth increases if you have more disposable income as again it's tax efficient to do so. Get 40% or more relief and a modest 6% long term growth rate and you are laughing in years to come.
Pension are brilliant. Every April I max out my pension and ISA . £8000 Tax relief towards my pension Tax free on my ISA . Shame corporation tax is going up in April, cant win everything 🙈🙊🙉
Well I'm in the bottom 40% at 28 years old hurray. Half way through my working life and not even better than average. So you saying the top 10% are worth over a 1.5 mill. Im guessing that number is being adjusted due to a minority of super rich individuals. No way 1 in 10 people are worth over 1.5 mill. Maybe 1 in 100 if we are not including debt.
The rich own the means of production - no kidding - Marx would have chuckled - the top 1 % own businesses and have multiple sources of passive income all of which are generating wealth tax efficiently thereby compounding their accumulation of wealth and more income generating assets - tax systems facilitate this - most people earn a modest salary and pay tax on that modest earned income so have no cash left to invest or only small amounts of cash that will fund a modest retirement income by investing consistently over decades in a combination of mutual funds, bonds or bank deposits, managed pension funds and if accessible property
And the poor people struggle as house prices go up so inheritance most families end up having to sell the house. My mum and uncle had that problem due to inheritance tax. Couldn't keep the house due to the tax owed and didnt have the money to pay it themselves. That house had been in my family like 100 years too.
Interesting video, but I thin you'll find this will get turned on it's head in a few years. The era of gold-plated pensions is over, and more wealth will be concentrated in equities and property in the future generations.
I enjoyed your video, and I want to share a good quote that; encourage me to be positive, [stay away from those people who try to disparage your ambitions. small minds will always do that, but great minds will give you a feeling that you can become great too]\Mark Twain...
Add up the wealth of your ten best friends and divide by 10 and you have your wealth figure. It seems to work so it's who you hang out with that determines your wealth!
The rich are all around us but you'd never know it. They tend to live very frugally, which is why they got rich in the first place. My cousin is worth 3 million. She lives in an ordinary house and drives an ordinary car and wears ordinary clothes and eats ordinary food. Everything is ordinary! You'd never know she's loaded! The people looking rich are often up to their necks in debt and have no real wealth, just fancy things that depreciate in value. Everything is not as it seems!
Of course if you only have $10,000 in assets and you own a car that is like all of your assets! And then if you’re a billionaire if you have like 100 cars it’s not even gonna make up 1% of your wealth
My gut feeling in the modern world for ordinary folks to make serious money you have to start off illegal or ruthless with other people and then as you emerge from the mud start washing yourself into a sparkly philanthropist.
Amazing video and thank you for breaking it down!! Despite the economic downturn, I'm so happy have been earning $ 60,000 returns from my $7,000 investment every 10days..
I think there is also a big difference between old and new money and how the wealth was generated to begin with.
I think the key to becoming wealthy is via a business. Investing in mutual funds and pensions is to make sure you continue to stay wealthy.
Curious about the people at the bottom. If tomorrow I bought a house most of it would still be owned by the bank. How would I rank?
Time is the biggest asset that most people squander. You really only have 5 chances from age 25 to embark upon a low risk 30 year investment journey towards financial independence.
After that, it's certainly possible but gets harder the longer you leave it
Dave Ramsey did the largest study of millionaires in America. They play it smart and play it safe. Most millionaires have a paid for home and a healthy retirement fund.
Dave Ramsey did that study, from Dave Ramsey fans.
Definitely not a scientific study. I looked at that book and any description of the methodology was lacking.
I don’t doubt that the majority of millionaires achieved it from normal savings rather than entrepreneurial success or wild speculative investments. Probably those with enormous wealth skew toward that latter group though- business success
Mortgages were wildly different back when the Millionaire Next Door, or even Total Money Makeover were published. Millionaire next door was published in '96, meaning that those millionaires took out their mortgages the 70s, when the average mortgage interest rate hovered around 10%. This lasted through the 80s and into the 90s, when Dave was writing Total Money Makeover. With such high interest rates, paying off mortgages is the obvious and smart financial choice - that is not the case when the interest rate is literally lower than inflation as was seen in the 2000s/2010s. Different situations require different solutions.
Not to mention that they state the average millionaire is over 50 - ofcourse they would have their mortgages paid off, they had an upper middle class income (yes, 80-90k was their average salary but 30 years ago that was worth more than it is today). A 30-odd year old should not be breaking their back to pay off a house just because people who had much higher interest loans did the same 50 years ago.
Dave Ramsey is great, but times have changed and not everything he says is applicable today. Most of the time, those who invest money before paying off low interest debt will fare better.
Millionaires, sure. Play it smart, sure. But play it safe is not gonna get you “rich”. Rich is a relative term. If everyone gets rich by investing in an index fund, then their just equally “poor”. Taking risk is necessary to become rich.
What people usually forget here is that many rich people already had high-paying jobs & high cash-flow before they started investing. The **smart** rich people simply decided not to blow all their money, and they instead invested it. It's the smart investing that multiplied their already-big earnings even further.
It's very rare that someone just goes from $22,000 a year to $1million a year **just** from stock-investing alone. Anyone who says otherwise is probably just trying to sell you some fake guru course
Seriously, why is no one discussing '25 money secrets from Donald Trump'? This forbidden ebook is a goldmine of knowledge that can change your life.
If you are using Vanguard as an example, then you cant actually buy individual stocks like Tesla, so of course they are going to be invested in the Vanguard portfolios, because they are the only options. You should have used HL or similar as an example where investing large sums in individual stocks is actually possible.
The would be correct in the UK but in the US from this study remember that the Vanguard US platform you can buy whatever you want 👍. It’s only the UK vanguard platform that only has a limited section.
I would just like to confirm that here in the USA one can own individual stocks with Vanguard and the trading fees are very low or free depending upon the size of one's account.
@@ccrider8483 yes that’s right! Shame here in the UK their platform is pretty poor.
@@ccrider8483 Considering its a British company, its interesting they are not doing the same for British customers.
I’m a British citizen with a net worth of around £4.2m
I’m invested in the following
1. Residential property
2. Commercial property
3. VWRL and VUSA
4. I own a company.
Amazing! Regarding, commercial property do you see a downturn with people increasingly working remotely? Would you pull money from that and put it elsewhere?
@@gb1174 Touch wood all my commercial are fully rented. They’re all retain in prime locations, but there is always a possibility that they could become empty, which is why location and the quality of the tenants are crucial
How many residential properties do you own? Do you rent them?
@@aditi.t I have 3 flats and 5 retail shops I rent out. I use the rental income and invest the profits into the global market.
so a little cash big etf and a few individaul stocks even a slow on the uptake person should get that right
Very good breakdown of how people at different levels of wealth invest and parse their assets. It is also encouraging that those of us who start early and have a realistic plan will wind up comfortable and maybe even rich by steady investing in broad index funds. Excellent advice.
There's one aspect of this that isn't captured by some these charts and that's the journey. The charts only show the snapshot of say that top 10% in the UK that had a lot of assets in safe investments. While at first glance that might be surprising how many of that top 10% in the UK, and as noted that doesn't need as much as some might think, got there either by working in high paid jobs and are now retired or owned and then sold out of a smallish business. They would still appear in the top 10% line but now they are no longer building their wealth but instead might take a "I was the adventurous entrepreneur before but now I've reached the finish line and want to protect my hard fought for gains".
Probably a near-impossible data collection exercise but what would be interesting would be to look at all those people in the top 10% and look at their asset allocations not only now but also 10, 20 and 30 years ago to see how they changed as they travelled their individual roads to riches.
Yep great comment 👍
Interesting video. I did a spreadsheet some time ago to see what assets and liabilities my wife and I have. It did not include her pension, our house represented 60% Investments 20%
I often wonder how some, likely not to be in as strong financial situation afford the nice cars etc I do believe it is debt. So for that reason it does not impress me that they have a nice car but the nice car will impress, if that makes sense?
Most of my clothes come from a supermarket. Liking expensive stuff can make you poor very quicky especially if funded on credit cards.
I am happy on the capital side of my money but I still think I am low on income hence dividend investing.
Well I think if you can afford a few luxury items, nice car, quality watch etc, that genuinely make you happy then you should. Life is for living and a Porsche 911 when you're 40 is far nicer than when you're 70
Thanks Tony. Very useful. Not interested to become rich/super rich etc. I’m just keen to be financially comfortable, support my family, get my kids on the property ladder and enjoy my retirement when it arrives. I guess, the good old consistent diversified investment is way forward. Cheers
i am retired at the moment ,managed to get down the escape tunnel a few years early, had funds to get me to my state pension , which starts soon, i started investing for dividends just to cover my basic living expenses , even more so now because of the utilities going up, remember my first div payment of 10p :} i enjoy the small amounts coming in, every little helps as they say :} good luck to you Sam
Fantastic interesting video. Thank you for this concise breakdown 😊
You’re welcome! Thanks for watching
I actually thought a lot more people have negative net worths. I'm in the Army and a lot of the lads don't own property, have credit cards, cars on finance, student loans, pay day loans etc.
It's a sobering thought that those in public service are least likely to be in a position to accumulate assets.
Having children also severely impacts net worth. In the UK, having a child is equivalent to taking out a lifetime loan of something like £120,000
Interesting video and interesting comments too! I’d have guessed the super rich would’ve had more in bonds than in equities; logic being that 3% of 10 million is 300k - plenty of money to fund a lavish lifestyle but 3% of 100k is only 3000!
I believe that the more money one has the more risk one can afford to assume. Of course this really comes down to the temperament of the individual investor.
Another Banger Toby. Best personal finance channel on RUclips
Thanks Rohit, only possible with great support from people like you, Thanks again!
My guess is ETFs for the win. NASDAQ, S&P 500 and Dow Jones
Thank You very much for this excellent educational video. By the way, what is your trading set up that I see in the background of your video? (CPU configuration).
Thank you for the video.
The interpretion of the picture at 7:56 may be misleading, though. If you only have $10K, but you need a car, even the cheapest car will take a big part of your budget. When you have $1B, even several very costly cars are only a narrow line in the diagramm. It is even worse... many of the billionaires do not own any cars, but get them as a service from some of the businesses they own.
But, even for the $10K people, the question is how you can spare and invest at least 20% of your income.
Yes makes sense thanks Danis I realise that a car even a cheap one will make up more of your wealth.
Surely these data don't indicate that rich investors didn't get rich from risky investments, it just indicates that they don't currently hold many risky investments. Once they get rich there's no need to hold risky investments because the goal then is just to maintain wealth and maybe grow it just a little bit (so they can live off the growth). It would make no sense for a multi millionaire to hold risky investments.
Also, those that did get rich off fairly risky investments will have had a fair bit of luck. Plenty of other people will have picked the wrong risky investments and done poorly.
So, the idea of investing should be to gradually reduce your risk over time.
Which investing platform would you suggest for European residents?
maybe try Trading 212?
How does the report handle businesses that contain real estate or stocks? I assume wealthy people will shelter assets in LLC or businesses to reduce their taxable income.
Great video but quick question! Where to wealthy people keep cash in the bank to ensure large amounts of it are protected if the banks collapse? I assume they Dont have about 10 different bank accounts all protecting £85k under the FSCS? I’m assuming millionaires who hold cash still Dont want hundreds of thousands of pounds exposed if the banks collapse, even if the rest of their wealth is tied up in investments etc?
You’ve answered some of it here. Firstly they don’t hold loads of cash, cash is a terrible asset as it loses value. Secondly, yes you might want to have it in separate accounts, thirdly you can hold it in other kinds of assets like bonds, money market or other fixed income products. There’s always some risk but the risk of a major bank going bust these days is extremely limited as this is not 2008 anymore 👍
Great research & presentation. Thanks.
The orange bar for the vehicles didn't surprise me but it's still shocking to see it graphically. That's how you get a $1.5 trillion auto loan debt balance!
mad isn't it! you don't have to drive a death trap but still :P
Thanks again Toby for the great info.
Thanks as always mate!
Great Job
What’s the best platform/app to buy American stocks for someone living in the UK?
trading 212
Very interesting, thanks.
Glad you enjoyed it
I keep getting suggested adverts about whiskey cask investing, it'll say something like 5000 - a mil in 30 years, is that trustworthy? It sounds too good to be true
If it sounds too good to be true...I don't know enough about industries like whiskey, fine art, cars etc but at the end of the day its only worth what someone else wants to pay for it and there is no way to value cash flows reliably so i'd only invest money here purely speculatively or not at all.
Greta video Toby! I’m still torn between investing lump sums into my S&S ISA or get my first BTL 🤔
Always a tough one that, pros and cons to both!
BTL Lewis, you borrow to buy an asset that increases with inflation, over time, and you don't need to pay off the loan as the tenants do that for you.
Be a good landlord and (like me) say yes to just about everything the tenant requests
Worse case scenario, if it all goes t*ts up, you'll have a place to live
And use any spare rental income to put in a S&S ISA
@@sassysam6998 hi Sam,
I had 4 but sold one in 2021. So 3 now but they're all with letting agents at 9% a month
I really don't want to liaise with tenants or handle the references deposits etc
In 10 years I've never had a vacant period
@@tonyh1460 are all your properties with letting agencies full management? And is 9% a good deal for you and maximising your return?
@@TheNKLFirm hi, yes all with letting agents, 9%, they're pretty decent tbh, inventory, visits with photos, vetting and references etc
There is a huge difference between investing to get rich and investing to stay rich, if I had half a mil to invest it would be very conservative in a lot of dividend stocks and bonds, instead I need to turn my £5k into half a mil so have to go higher risk
Damn I must be lucky I own TSLA since 2016 and BTC since 2017
Great video
Thanks!
Most people with mortgages owe more than they own.
Not in this study as these are almost all retired remember but yes when you start with a house you are of course in a lot of debt!
Very interesting video .
Thanks weee Valllll
1.2 million isn't a lot of money. It's far from rich. Dave will get you there.
1.2 million is more then enough to live off for the rest of your life without working as long as you invest it wisely
Great video Toby, for me property and personal pension did the trick. I believe Buy-to-Let is tops because you receive all the capital growth PLUS a very index linked rental income, which is a WIN WIN. That said, you need plenty of luck not to have a bad tenant, which will wipe out a serious chunk of your investment. In fact there's a lot of luck involved, the need for which diminishes as your property portfolio expands.
How do you receive all the capital growth? Surely you will incur CGT when you sell?
FOMO. good content. I am a sh1t driver. I am also a very confident person BUT i like to live with 'balance' and 'risk assess' stuff. I long term invest in the market. i assume i will hold my stocks/etfs for 10 to 15 years minimum. i check my portfolio almost every day but never let it bother me if it drops - i just look for the opportunity that the drop might present.
Bro simply brilliant video. Your contents are amazing and very inspiring for me. I can’t wait for next one ❤️👍
Thank you 🙌
Well done Toby
How would you invest your money each platform covers upto 85k
Nice video 😊 maybe one day 💰👌
See you at the top Paul :P
Thanks for this detailed videos!
My pleasure!
It is hard to compare when people with average jobs could pay off house in 10 years or less 20-30 years ago and now they would need 200 years to do the same.
Stopped the video at 3:22. My guess is:
They are owning a lot of money, so i guess their risk tolerance is not so high, gaining 1% of a billion is a lot. So I guess they are not hunting for 10timers and so on.
Hahaaa I've got the point!
Toby, do you have any videos covering the correlation (or apparent lack of it) between top 10% “wealthiest” (ie. net worth) and the top 10% highest earners?
I wish i had that kind of info!
the resolution foundation these are the folk who want to cap ISA`s to 100K ,who they consider Rich :}
Yes…they are the same group at least this data is a bit more informed 😂
The tax efficient way to invest in "risky" plays is a key benefit for those that have more and can take risk. Also pension wealth increases if you have more disposable income as again it's tax efficient to do so. Get 40% or more relief and a modest 6% long term growth rate and you are laughing in years to come.
Pension are brilliant.
Every April I max out my pension and ISA .
£8000 Tax relief towards my pension
Tax free on my ISA .
Shame corporation tax is going up in April, cant win everything 🙈🙊🙉
Spot on gents
Well I'm in the bottom 40% at 28 years old hurray. Half way through my working life and not even better than average. So you saying the top 10% are worth over a 1.5 mill. Im guessing that number is being adjusted due to a minority of super rich individuals. No way 1 in 10 people are worth over 1.5 mill. Maybe 1 in 100 if we are not including debt.
This is a great and well researched video. Thanks for the upload.
I personally believe in consistent investment into index funds work for me.
The rich own the means of production - no kidding - Marx would have chuckled - the top 1 % own businesses and have multiple sources of passive income all of which are generating wealth tax efficiently thereby compounding their accumulation of wealth and more income generating assets - tax systems facilitate this - most people earn a modest salary and pay tax on that modest earned income so have no cash left to invest or only small amounts of cash that will fund a modest retirement income by investing consistently over decades in a combination of mutual funds, bonds or bank deposits, managed pension funds and if accessible property
Bloody hell with pensions and a paid for house we are in the top 20 %I don’t feel that rich
Quite crazy isn’t it. Such an interesting topic this one, makes you both grateful and sad at the same time!
" -0 "
Who made this graph?
Rich people invest in prenups so they don't lose millions in a divorce. They learn to keep the family land and houses.
And the poor people struggle as house prices go up so inheritance most families end up having to sell the house. My mum and uncle had that problem due to inheritance tax. Couldn't keep the house due to the tax owed and didnt have the money to pay it themselves. That house had been in my family like 100 years too.
Amazing to see that merely owning a 4 bed detached home puts you right up in the top 80-90%, but many of those are still feeling the pinch.
Mega lols you will never get rich from investing where did the cash come from ? It was earnt or generated with businesses
Fascinating video.
Interesting video, but I thin you'll find this will get turned on it's head in a few years. The era of gold-plated pensions is over, and more wealth will be concentrated in equities and property in the future generations.
Interesting point, I think you're right Matt, would be good to see what this looks like in the future!
Dave Ramsey equates the first 1- 10 million as the tortoise and the hair being prudent and steady investing
I enjoyed your video, and I want to share a good quote that;
encourage me to be positive, [stay away from those people who try to disparage your ambitions. small minds will always do that, but great minds will give you a feeling that you can become great too]\Mark Twain...
Add up the wealth of your ten best friends and divide by 10 and you have your wealth figure. It seems to work so it's who you hang out with that determines your wealth!
Best risk to reward these days Is tesla.
I would like to see what our gov invest in. That would do
Great video, I would subscribe again if I could
The rich are all around us but you'd never know it. They tend to live very frugally, which is why they got rich in the first place. My cousin is worth 3 million. She lives in an ordinary house and drives an ordinary car and wears ordinary clothes and eats ordinary food. Everything is ordinary! You'd never know she's loaded! The people looking rich are often up to their necks in debt and have no real wealth, just fancy things that depreciate in value. Everything is not as it seems!
Gervais lol
Of course if you only have $10,000 in assets and you own a car that is like all of your assets! And then if you’re a billionaire if you have like 100 cars it’s not even gonna make up 1% of your wealth
Investments will make you richer if you are already rich.
You can't build wealth without building a business - it's that simple.
Toby don’t act dumb ❤ do your research on bitcoin and educate yourself and your community ❤ happy life my friend 😊
👍
For anyone reading this, to beat inflation you need to be investing in bitcoin ❤.
My gut feeling in the modern world for ordinary folks to make serious money you have to start off illegal or ruthless with other people and then as you emerge from the mud start washing yourself into a sparkly philanthropist.
Amazing video and thank you for breaking it down!! Despite the economic downturn, I'm so happy have been earning $ 60,000 returns from my $7,000 investment every 10days..
Wow! How's that possible please I'll appreciate your assistance on how to go about it.
please dont fall for this
Well 50% of entire population don't have accsess to internet today so you were wrong..
In the words of Gary Stevenson from Gary's Economics, they'll take your mum's house!
Why do all these RUclipsrs keep comparing average people to rich people.. rich people can take more chances when they invest unlike us
No point looking at the Rich, it's how get Rich, that's where the risk is, once your Rich you Derisk, common sense
K.I.S.S. - Keep it simple stupid. Im going all in on TSLA. One of the greatest companies in the world.
11:29 You certainly are simple. You'll stay broke with that YOLO mindset
So what are they investing in
Watch it again, it’s there