The Three Wells - Well 1
Nov 20, 2020There’s no one size fits all when it comes to choosing how to live your life.
And the same applies to designing a career or business, and where and how you are going to live.
What’s right for one person may not be right for another. Today, a short discussion on some of the ways in which people seek to invest for financial independence during the accumulation phase of life.
Well 1 – Liquid funds (<12 months)
These liquid funds can be actively managed, and while not a significant percentage of your overall wealth, should be large enough to cover your day-to-day bills and living expenses for the coming year;
Well 2 – Living, lifestyle, and leisure (2 to 5 years)
A second well of money which can also be actively managed to cover upcoming living expenses, holidays and travel, car upgrades, home renovations, school fees, and whatever else is on your 2 to 5 year horizon.
These tend to be reasonably liquid funds, most often a balance between stocks and cash; and
Well 3 – Longer term and legacy (to retirement & beyond)
These are your safer, long-term investments that you ideally never have to sell until your retirement, typically including property and, for some, safe investments in large, established, systemic companies which throw off strong income streams.
Watch the video to learn more.
If you would like to learn more about the other wells, see my blog post on Well 2 & Well 3.
Whenever you’re ready… here are 3 ways I can help you manage your own money and go next level wealth:
- 1. Boom or Bust in 2023 – 20 minute online workshop for investors
Register for my next free online training - Boom or Bust? How to change your investment plan for 2023 - book in here
- 2. Subscribe to our Top 100 Podcast for Investors
Listen in to our podcast - The Low Rates High Returns Show - Apple , Spotify , SoundCloud
- 3. Work with me privately
If you’d like to work directly with me directly to help you map out and action your next level wealth plan… just send an email to [email protected] with the word “private”… tell me a little about your situation and what you’d like help with, and we’ll get you all the details!
