Before you start binary trading, you need to solve a number of issues, including: choice brokerage company, type of binary option, type of underlying asset. If the first two questions are resolved quite simply, then choosing an underlying asset can put a beginner in a difficult position. The thing is that the broker offers its clients a huge selection of trading instruments, such as: precious metals, oil, currency pairs, stocks, futures, indices. This is where the problem arises: which asset to choose?

Let's start with the commodity market. It is represented by trading instruments characterized by a high level of volatility. These assets are quite stable and easy to predict, unlike currency pairs, where the trader requires special knowledge in the field technical analysis. The most popular is gold, which should be preferred at the beginning of your career in the market binary options. Trading gold does not pose any particular difficulties for beginners. The situation is easily predictable and rarely goes beyond the standard framework. With skillful use of technical analysis, you can get reliable signals about entering the market to open a position, so in this regard this asset is ideal.

The stock segment of the market is represented by shares, bonds and other securities. Typically, the broker offers a limited number of assets that are directly related to the world's leading companies, such as: Gazprom, APPLE, Coca-Cola, etc. Investments in securities preferably done for the long term. This profitable investment money, especially when using strategies based on technical and fundamental analysis. As for the trading process itself, it can be fickle. For example, you can trade only when important news is released that can dramatically change the value of a security. If you carefully monitor the situation, you can make good money on this, including when using short-term option contracts.

The currency sector of the Forex market is currently the most in demand. This is where all major currency transactions are carried out. This asset is distinguished by its enormous diversity and availability. You can choose any currency pair, both popular and exotic. It is necessary to take into account the fact that this asset is quite difficult to predict. After all, on currency quotes are influenced by a variety of factors, both technical and fundamental. When forecasting a situation, you simply cannot do without technical and fundamental analysis, which include a whole range additional tools, such as: price charts underlying assets, technical indicators, economic calendar, analytics, newsletters, history shopping bars etc. That is why a beginner’s attitude towards currencies should be very careful. It is better to start with simpler and more stable assets, and only after gaining the necessary experience gradually move on to currency trading. But if you still decide to start with the foreign exchange sector, we recommend that you pay attention to such assets as: GBP/USD, USD/JPY, USD/CAD, USD/CHF.

“Buy assets, get rid of liabilities”- approximately this is the conclusion made by a person who has firmly decided and acquired a variety of useful tips from popular literature on wealth and hundreds of websites on the topic.
If you remember that the great and terrible Robert Kiyosaki wrote “an asset is everything that puts money in your pocket, a liability is everything that sucks money out of it, outwardly everything looks great.
But they’re not quite the same as the American millionaire imagines. And following this simple advice can lead to problems with your personal finances.

So what's wrong with the "buy assets" formula?

The thing is that this formula, as well as the description of the concepts of liabilities and assets, which was stolen from Kiyosaki’s books to hundreds of websites and guides on personal money, is very simplified and distorts the real state of affairs. This is natural: concepts that are given in popular books on finance simple in themselves, but difficult to use because there is a lot to keep in mind additional conditions. Now everything will become clear to you.
The point is that simply defining assets and liabilities doesn't really allows you to clearly separate them. Here's a very simple example. Let's say you have a certain asset, say a high-yield commercial real estate. You get a high rent, it's more than enough for current repairs and other operating expenses. But suddenly, next to your house they built railway and the airport. Residents have fled in all directions; renting out living space at the same prices is simply unrealistic. And for public utilities You still have to pay! As a result, the income from the building costs less for its maintenance.
And what is this house like? Active or passive? After all, the house itself has not changed. It stands as it stood. But then he began to suck money out of your pocket.
The example with the house is still very simple and clear. Certain objects can move from liabilities to assets with stunning consistency. This is pretty obvious and understandable. Well, now ask yourself: is it easy, will it be convenient to build your budget, your business, your financial plan based on such concepts? If they are so fickle? Is this what the foundation of your well-being should be?
Another example. Expensive car, for which the loan is paid - this is, of course, the “king of liabilities”! Yes? But it can bring a lot of benefits, including in monetary terms:

• pleasure from a comfortable ride;
• high status (not only “show-off”, but also a real increase in a person’s prestige in the eyes of business partners);
• finally, a car can be borrowed at 15% per annum, and the owner’s business brings in 40% per annum, which is more difficult than asking for a consumer loan.

Well, how do you like this passive?

What was written above is all the lyrics necessary to bring you up to date. Let's look at the problem more specifically.

First, some summary.

a) Often, separating assets and liabilities (according to Kiyosaki) is damn difficult. Many IMPORTANT AND USEFUL things do not bring us income - even our body: feed it, dress it, treat it, entertain it. Oh-oh-oh, but it takes our money!
b) Possessing things that require money or investments is not a sign of financial illiteracy.

In fact, dividing your property into two lists is absolutely unnecessary work. As I already wrote in a previous article on this topic (), Kiyosaki needed this division to simply explain with his fingers and with a picture to any fool that they need to strive to generate income and get rid of expenses (isn’t it a terribly original idea?).

So here it is. For practical purposes (real financial planning, making decisions about investing or getting a loan, and so on and so forth), it is much more convenient to use the real concept of liabilities and assets - see the link above.

In short, liabilities don’t really exist at all. They exist in human relationships. These are loans, lending, profit accumulated over a lifetime (which no longer exists - it has turned into assets that really exist - that’s all we have).

So how can we use this new understanding? What will our formula look like in this case? Yes, very simple: manage yours wisely balance sheet . Keep an eye on both column “A” and column “P”. Don't be afraid to buy assets that come with some liabilities (example with the expensive car above), but manage them wisely. And a correct (accepted throughout the world!) understanding of this balance will help with this. You just need to look at the “threats” of this or that action in relation to your budget. Any transaction simultaneously affects both assets and liabilities- and this must be remembered.

To put it even more correctly, you need to operate with the balance sheet, and not with actually existing objects. Let's remember the house shown in the first example. It went from being a source of income to a source of liability. But he himself remained unchanged. This means that we need to make a minimal impact that will help get rid of the harmful influence of the surrounding buildings, increase its attractiveness for renters in other ways - then profits will also increase. Do you understand? The task is not so mechanical: buy/sell profitable or unprofitable. The task is to correct the balance through your skillful management.

(If you managed to read the article all the way to here - and you still have a feeling of misunderstanding - it's okay! Just keep working on your financial literacy- and understanding - real, deep understanding! - will definitely come!)

An asset is anything that puts money in your pocket. A liability is, accordingly, everything that takes this money out of your pocket. This is the most general and simplest definition of an asset and a liability. Acquiring assets and getting rid of liabilities is all the necessary amount of knowledge that is needed in order to become rich (according to Robert Kiyosaki).

Despite the apparent simplicity and unambiguity, people often confuse these two concepts or mistake one for the other. It is all the more important to clearly understand for yourself what assets and liabilities actually are and why you need to get rid of some and attract others in every possible way.

What are assets and liabilities?

An asset is, in other words, something that is capable of generating cash flow(cashflow). Or this is something that you already have, and you are going to sell IT in the future and get more money for IT than you spent.

What can act as an asset?

• Real estate leased. Generates cash flow to the owner.
• Shares for long-term investment (buy&hold strategy). Over long periods of time, a portfolio of shares of successful companies increases in price, which means that in 5–10 years the shares can be sold for a considerable profit. In addition, dividends on shares are already being paid.
• Bank deposit.
• Securities (units) of mutual funds investment funds(mutual fund)
• Any other items rented out by the owner for profit (equipment, car, etc.)

However, the apartment in which you live and for which you pay with your own money and buy furniture for it is not an asset. This is definitely a liability.

Just like a personal car, which will be a liability that requires care and investment in it until you start renting it out or working on it as a taxi driver. Only then will it become an asset that generates money.

Liability is what, as mentioned above, takes away money. Bank loans for which we pay interest, our homes and cars are all liabilities.

However, it will not be possible to completely get rid of insidious liabilities. Otherwise, you will be forced to reduce your standard of living. The correct strategy is to maintain a reasonable balance between assets and liabilities. Do not strive to acquire all the unimaginable luxury items. Do not voluntarily plunge yourself into the bondage of bank loans.

Assets provide that same financial independence when money works for a person, and not vice versa. By purchasing assets, we ensure a comfortable existence in the future.

But what about the huge mansions and luxury cars of the rich? – some will ask. And they can also afford it thanks to profits from assets.

A financially educated person who knows what will make him rich will strive to limit his liabilities and gain knowledge about how to acquire assets. While illiterate people, who are the majority, do just the opposite.

• It is better to purchase real estate as an asset abroad, in an economically stable state. There you can find really very affordable housing, which you can then rent out and receive an income of up to 30% per annum.
• If there is not enough money to purchase, housing can be purchased on credit. For example, using the services of banks in Cyprus or Portugal. This profitable option, since the bank lending rate abroad is lower than the inflation rate in Russia.
• Or, if you do not want to commit yourself to credit obligations, you can purchase real estate at the initial stage of construction and then sell it at a profit.
• And finally passive income will bring shares of a company that has proven itself in the market and is growing steadily. The subsequent sale of the shares will also bring you profit.

If you have no idea where you can get funds to purchase assets, try, following the advice of Robert Kiyosaki, saving ten percent of each salary and spending it only on investing in assets. You will be surprised by the results of such a seemingly simple action.

As an afterword

Think a little about yourself, try on all of the above. What do you have at the moment? If the only assets you have are work and debt obligations bank loans– think: where are you going, is it in the right direction and what awaits you at the end of the road - wealth or a vicious circle of poverty.

Video

This video talks about assets and liabilities.

Where to get assets? How to make money? and Where to find business ideas?

Not everyone who strives to earn a million earns it, but those who do not strive will never earn it. The main postulate in the question of how to get rich is that wealth is the result of actions, but not knowledge. A rich person is a person who has the potential for income. That is, in a broad sense, this is what brings you profit, and not necessarily only monetary. The actions of those who strive to get rich (and this is what we should strive for) should be aimed at increasing the quantity and quality of their assets.

Where to get assets? How to make money and where to find business ideas? There are two options: you can buy them, or you can start creating them. There are also rare cases, such as receiving an inheritance, but we will not consider them due to their uniqueness.

To purchase an asset, you need money. And most often a lot. This means that in order to get rich, you must already be rich. It turns out to be a vicious circle. What to do if there is no money? Then the necessary needs to be created. It is impossible to build assets or understand how to get rich without taking control of your money. You should constantly monitor your income and expenses, and spend less each month than you earn. You can also borrow funds. For example, I already wrote about starting a business.

The remaining funds should be invested, for example, open a deposit in a bank, purchase securities, etc. This reserve cannot be spent on buying a TV, a car, or on a vacation. This is your reserve - the beginning and basis of future wealth. You need to start such actions even with a small income. This will help you form a habit. proper management money.

Goal setting is also very important - it is a very powerful tool. A correctly set goal, also approved in writing, has the ability to come true. Therefore, you need to set yourself a clear goal and write it down. But what is the “right goal”? This is the goal from which it is clear what needs to be done. For example, finding 5 new clients a day is a goal, but buying a car or increasing income by $1000 per month is a wish. Wishes are always the first to come to mind, but here you need to understand what goals to set for yourself so that these wishes can come true.

We have determined how to do this. But what to do? Where to start without any assets. This is where the Internet can come to the rescue; its advantage is that it can always be at hand and accessible at any time of the day. But remember that there are no freebies on the World Wide Web and are not expected, although many people understand this when they go through a long and difficult path, encountering all sorts of scams and pyramids along the way.

So where to start your online career? How to get rich? Where to get business ideas?

There are a lot of options, but there is something for everyone. First, analyze your potential and the availability of free time. Having free time is important at first for making money online, since at the start, working on the Internet takes a lot of time. Small ones will be a good help available funds in the form of webmoney, although this item is not necessary, it can speed up your career.

Receive the most to your email:

Today I want to start telling a story about turning liabilities into assets and increasing your income. For those who are not yet familiar with financial terminology, you can read the article

Each family or individual has its own assets and liabilities, unless, of course, the person lives and conducts any activity at all. A person’s main asset is his mind, which can make a person successful, rich, happy, or turn him into a loser. It's all about thinking and developing the mind.

Now I will not go into deep thoughts, etc., but will consider the ordinary reality of any ordinary person who works his entire adult life.

Most people have a job, their own or rented housing, a lot of junk, personal belongings, possibly transport, possibly real estate. In most cases, people like to complain about life, but look around them and see opportunities: some are lazy, some are looking for excuses, some don’t know where to look yet, and some are already taking full advantage of them.

It's all about the ability to analyze your current state of affairs from an outside observer. And in order to be able to analyze your situation, you need initial data or, in other words, your financial report. As I already said in earlier articles, you have a financial report regardless of whether you know about it or not, because every day we carry out transactions with cash and non-cash money.

What can a financial statement show?

The most important thing is your state of affairs. Once again, looking at my financial report, I shuddered from the fact that for several years in a row I have been holding a liability and not doing anything with it. This liability was a piece of land. Every year he takes about 15,000 rubles from my pocket.

I had a question: how can I do it so that it starts generating income for me?

• The first option that came to mind was to build a house on it and rent it out. The idea is certainly a good one, but in this case you will have to invest at least another 1,500,000 rubles. And it is unknown how quickly it can be handed over and for what money. Usually houses stand for a very long time without tenants (observation of the real estate market in my area) and a loan of 1.5 million will need to be repaid starting next month, I don’t even take into account the time to build this house.

• The second option is to put insulated cabins there and house the workers. The option is already better, and much cheaper. A new turnkey insulated change house (internal insulation with clapboard, plastic windows, heating radiators, 100 mm mineral wool) costs 100,000 rubles. not counting its delivery. The only problem that needs to be solved is clean, drinkable water and a place to wash. There is a well on the site, but the water is not suitable for drinking; the last time I was there there were frogs swimming in it.

P It turns out that you need to dig a septic tank and install a shower stall and toilet in the container. But that's not all. To create living conditions, you need a water heater and, in fact, a well.

So, according to the most minimal calculations it turns out:

Insulated change house - 100,000 rubles.

Digging a septic tank costs another 100,000 rubles.

Well - approx. 200,000 rubles.

Arrangement of a change house - 30,000 rubles. (beds, wardrobe, shower, toilet)

Water heater - 15,000 rub.

Result: 445,000 rub.

And this is an approximate calculation. In reality, the amount of expenses is usually higher.

And what can you count on here?

The cost of renting out a bed ranges from 4,500 to 5,000 rubles. Per month One such cabin can comfortably accommodate 6 people.

The amount of revenue is from 27,000 to 30,000 per month.

Monthly electricity consumption in winter can be up to 3,000 rubles.

And roughly speaking, 26,000 rubles remain.

The payback period will be from 1.5 to 2 years of own investments without cash flow.

• Let's move on to the third option - sale. Maximum amount from sale 2,000,000 rub. Even if you put this money in the bank at 10% monthly capitalization, by the end of the 3rd year it will have the amount of 2,697,094 rubles or 16,500 rubles. monthly cash flow subject to interest withdrawal

This option is the most optimal if a more profitable option has not been found, which could be the purchase of real estate.

• The fourth option is purchasing another property. Several requirements arise here at once.

1. The property must immediately generate positive cash flow
2. The cost of the property should not exceed the cost of selling the land, and if the property is more expensive, but it is a good deal, its cash flow should be more than 30,000 rubles minus borrowed, additional money.
3. The object must be as close as possible to my location in order to control it.

As a result of all the conclusions, today the best option for me is to sell this plot.

Maybe you also have a liability that you have long dreamed of turning into an asset? After all, we all have something we don't use because we don't see it.

Tell us about your liabilities in the comments, and in the meantime I’ll start selling the land.

In the next article I will continue the story of how I sold the plot and what came of it.