A guaranteed way to make money, passively.

[adverts]

I'm going to preface this and say that this way of making money has nothing to do with internet marketing or social media.

It requires strong discipline and willingness to delay gratification. In my experience, it's the most reliable way I've had of making money over the last 10 or so years. And practically 100% passively.

My job has changed numerous times. I've moved numerous times. Relationships have changed.

But the one thing that has been consistent was the growth of my investments. I'm at little north of $1.8m today with autopilot investments since I started focusing on this. Updating my tracking spreadsheet and paying taxes is about as much involvement as I have with "managing" the investments.

What's the key to all this? Saving, compounding and diversifying @ 70%, 18%, 4%, 8% US domestic, developed, emerging, and bonds, respectively.

Balance:


Cost basis:

 

[Paukerin]

A guaranteed way to get banned

 

[adverts]

A guaranteed way to get banned

How? It's making money online via long term investments and pursuing financial independence. Seems like it fits a forum called "Making Money Online".

 

[bartosimpsonio]

Thanks for sharing this bullshit op.

 

[Golden Phoenix]

Isn't this kind of investment requires tons of initial capital?

 

[adverts]

Isn't this kind of investment requires tons of initial capital?

No, it requires a high savings rate and a long term investment horizon. If you're interested, there's a study called the Trinity study that backs the 4% safe withdrawal rate for being able to draw down your portfolio perpetually.

You have to be able to press through a 40% drop in your portfolio like the 2009 dip for 5 years and continue investing towards your asset allocation.

 

[FindDIY]

Isn't this kind of investment requires tons of initial capital?

This is essentially a manual way to do mutual funds. Nothing wrong with that, if you know how to do your own research and invest smartly (growth stocks, dividend yield, etc.)

 

[Stavro]

If I'm reading your graph correctly, your "method" is to take a quarter million dollars and put it into an investment account for half a decade...

 

[rachid2012]

let's make money first than we will invest and save

 

[Besbes22]

in short, be rich you will earn money "passively" ...
interesting discovery
(I am south north east oust of $ 3 .... and this discovery has changed my life)

 

[adverts]

If I'm reading your graph correctly, your "method" is to take a quarter million dollars and put it into an investment account for half a decade...

The key part is to not touch it. Most people miss that. The 250k was when I started tracking the numbers (whatever was in my 401k + IRA accounts).

 

[k2theev]

i really hope no one falls for this shit.

 

[adverts]

in short, be rich you will earn money "passive" ...
interesting discovery
(I am south north east oust of $ 3 .... and this discovery has changed my life)

It's a strategy that works. How is the other stuff I see on here like "buy these keywords, get lucky, go viral, make $3000/month passively" better? I'm pointing out a different approach to passively make money that you can actually just do your daily job and autopilot it in the background.

i really hope no one falls for this shit.

You're probably in a better position to invest and retire early seeing as Germany provides solid health care and good social benefits for retirees. You don't need as much saved up to be financially independent. But I guess that's on your ambition.

I think you guys also get a pension by default..pretty sweet deal if you ask me

 

[Stavro]

The key part is to not touch it. Most people miss that.

I think the part most people 'miss' is the starting with a quarter million dollars part...

When you see threads like 'how can I make $5 a day' or 'I'm going to lose my home', what makes you think they can afford to just drop a quarter million into some random investment scheme?

How is the other stuff I see on here like "buy these keywords, get lucky, go viral, make $3000/month passively" better?

Do those methods typically require one to be richer than 90% of the people in their country?

 

[adverts]

I think the part most people 'miss' is the starting with a quarter million dollars part...

When you see threads like 'how can I make $5 a day' or 'I'm going to lose my home', what makes you think they can afford to just drop a quarter million into some random investment scheme?


Do those methods typically require one to be richer than 90% of the people in their country?

It's an investment strategy that assumes you can't beat or time the market so you diversify. Not really a "scheme". There are no stocks or funds I'm recommending besides getting those that are passively indexed and the lowest expense ratios. And be tax efficient in how you allocate your assets.

You need roughly 25x your annual expenses saved/invested to live off of it in perpetuity. So, if someone had an annual expense of 10k because they live in southeast asia, then they'd need 250k saved/invested. It scales with your expenses, not with your earnings.

 

[MisterF]

It's an investment strategy that assumes you can't beat or time the market so you diversify. Not really a "scheme". There are no stocks or funds I'm recommending besides getting those that are passively indexed and the lowest expense ratios. And be tax efficient in how you allocate your assets.

You need roughly 25x your annual expenses saved/invested to live off of it in perpetuity. So, if someone had an annual expense of 10k because they live in southeast asia, then they'd need 250k saved/invested. It scales with your expenses, not with your earnings.

If we did a survey of members on here, what % do you seriously expect to have 25x their annual expenses spare to invest?

 

[adverts]

Do those methods typically require one to be richer than 90% of the people in their country?

Are those methods and the proclaimed results reproducible consistently? Or is there survivor-ship bias? You only hear the success stores. How many failures have there been?

There are multiple studies backing a diversified passive investment strategy to achieve financial independence. I'm arguing the merits on reliability and consistency, which many of the threads posted here sorely lack.

If we did a survey of members on here, what % do you seriously expect to have 25x their annual expenses spare to invest?

I would expect a good portion of the members to be able to save 30% of their income and invest it. Over 2 decades, they'd be in roughly the same position of 25x their annual expenses saved. There is no get rich fast scheme to this. It's a get rich slow scheme.

Just to clarify, for the next 2 decades, if a person can save 30% of their income and invest for every year, they'd be in a position to be financially independent.

 

[wilsjac1]

These seem more like statements than methods, I don't know about you guys but I did not gain any real value or substance from this "PROVEN METHOD"

 

[web_riches]

I think this is an important think to keep in mind, long term steady growth options. Is it suited for everyone tomorrow.. NO. ... Looking at stocks that give dividends, IRAs Mutual funds, different ways to store money in somewhat safe places... these are all important. Like, after you start to make 5 grand a month, what is your long term plan? well, take $1000 of that each month and invest into the topics posted above. Living off dividends can provided what you need after 10 years. We all hope we can keep making bank long in to old age, but like stuff happens. Perhaps the market changes and your sites are not rocking, perhaps you just get tired of the game... these are ways to set your self up for long term steady income.

 

[FindDIY]

It's a strategy that works. How is the other stuff I see on here like "buy these keywords, get lucky, go viral, make $3000/month passively" better? I'm pointing out a different approach to passively make money that you can actually just do your daily job and autopilot it in the background.

You can do something similar with life insurance.

Get a cash value policy and pay the premium. That's it, nothing more. Once the monthly dividends are more than the premium, stop making payments. Its a 20+ year strategy, but you will have funds to access, if needed, when you reach retirement. You can also continue to make payments to grow the cash value.