/biz/ - Business & Finance

[Anonymous No.30368874]

Is it true that the majority of people who hit it big eventually squander most of their money away? My parents keep telling me to get out of crypto and into bonds for this reason.
t. turned $60k of my parents money into $2 million

[Anonymous No.30368926]

>>30368874
And then you woke up

[Anonymous No.30368960]

>>30368874
nah, only people who inherit it or wins the lottery
if you have made that money yourself you will self control.

[Anonymous No.30369020]

>>30368874
what does ".t" stand for?

[Anonymous No.30369050]

>>30368926
Been here since 2017 lad and got shilled into LINK
>>30368960
Ok good

[Anonymous No.30369316]

no, this refers to normies who spend it on luxury cars, traveling and eating out
as a NEET you're fine it will last you a lifetime and if you ever had sex and kids (not happening) you could still leave them half of that

[Anonymous No.30369400]

>>30368874
Money is money and easy come is as easy go. What sudden fortunes of money doesn't teach you is how to be responsible with your money and even if you invested in bonds, it wouldn't teach you how to conserve your money. Your parents are probably advising you to get into bonds is because bonds are generally safer than crypto at the expense of gains but now that you've broke the 7 figure mark, you could make decent gains out of bonds if you don't care about slow returns.

[Anonymous No.30370971]

>>30368874
>About seven in 10 wealthy families lose their fortune by the second generation, according to a study of more than 3,200 high-net worth families by the Williams Group wealth consultancy. By the third generation that number has jumped to 90%.

[Anonymous No.30371066]

>>30368874
>makes 2ml
>still listens to bad investment advice from his parents, showing they believe he merely got lucky and have little respect for his financial knowledge
This is how it is when most “make it” from crypto, nobody respects you cause you’re insecure and appear “lucky”

[Anonymous No.30371112]

>>30368874
Is it like 90% of lotto winners are in crippling debt in 3 years or so?

[Anonymous No.30371247]

>>30368960
hitting it big in crypto IS winning the lottery. Take your 2 Million and buy a dividend stock like AT&T and you can retire.

[Anonymous No.30371297]

>>30368874
larp
>>30368960
people who squander their windfall never learned to have a hand on their finances. if you inherit or hit it big just dont touch it for a while and transfer a part it into a shell company or something (depends on where you live) that protects it from you or people who want to get money from you. that way even when you loose the rest out still get the regular payouts from those trusts.

[Anonymous No.30371392]

>>30371112
Most lotto winners come from poor backgrounds where what they learned in two to five decades is that when you have money, you must blow it quickly, and return to being broke and in debt. But when you're poor you can be 200$ in debt to a liquor store, when you're rich you get 200,000$ in debt to whatever.

[Anonymous No.30371517]

>>30368874
>>30371066
congrats on your success!
the truth is most people who speculate and make it big can't repeat their success. Those who do have repeat success often get cocky and then miscalculate.
I think "squander" is more about wasteful spending
my advice would be to take a 1 mill out and secure a baseline
small property with a 30 year fixed mortgage
the rest in a traditional portfolio of stocks and bonds
learn about portfolio theory and how diversification and rebalancing reduces risk but increases reward
read about speculative bubbles in the past, such as tulip mania, south sea company, Mississippi company, and more recently dotcom, and make your own judgement about the state of crypto

if you really are smart and not just lucky, turning the remaining 1 million investing capital into 2 again shouldn't be hard at all

[Anonymous No.30371661]

Whatever you do dont go into bonds
Buy a home for yourself, maybe with a flat to rent out
Diversify into different asset classes, but not bonds
Put a bit into pms, a bit into stocks and as i said into real estate

[Anonymous No.30372210]

Really it's up to the individual. The hard part is driving growth in your portfolio. Once you have in up enough it becomes a matter of drawing less than or equal to your growth rate. Picking safer options will lead to lower yield but allows a more hands off approach. It gets more complicated when you figure in inflation and try to account for market ups and downs but you can get a good idea of what happens over 20 years and just plan according to the worst case scenario. If it does not happen then you are just living beneath your means and have more money for it and can reevaluate with a little bit of lifestyle inflation every few years. It's not like you can take it with you so I wouldn't try living off $15k/yr on a well diversified portfolio. At the same time 90k/yr would be a little excessive if we see another recession down the road.

[Anonymous No.30372476]

>>30371517
Wow you must suck dick so good.
With how much hot air you blow out of your mouth you must suck like a vacuum.
The reality is that you’re insinuating crypto isn’t a viable investment vehicle due to its “greater fool” payouts as of late.
You’re neglecting to account for the value of cryptography in business and the value proposition that crypto not only aims to capture, but as we see, actively accumulates.
So go ahead and bloviate about what someone “ought to do” but do it on Reddit.
No one cares about your bullshit paradigm restructuring on a website dedicated to anime.

[Anonymous No.30372814]

>>30372476
no i think crypto and blockchain is here to stay
and i can assure you i have a much stronger background in its applications than you
in the 90's we had the dotcom bubble where most things imploded
that didn't stop the internet and web technology from changing the world

it's so easy to tell you are desperate for your favorite shitcoin to moon