How to Become an Empowered Investor: Master Your Mindset
The Empowered Investor Methodology is a revolutionary way of helping people obtain financial security and transform their lives through alternative real estate investments. This methodology consists of a five-step process: Ethos, Educate, Evaluate, Execute, and Empower.
This article is the first of a five-part series on this original methodology.
Step 1 - Ethos
"Everybody thinks of changing the world, but no one thinks of changing himself."
― Leo Tolstoy
Ethos is the first step and the foundation for the success of the subsequent four steps. Having the appropriate mindset and realizing the power of our thoughts is critical in shaping one's level of success and ultimate destiny.
Step 1 is based on the premise that peoples' thoughts are the origin of everything that they do. Everything must first start with a thought, which then impacts people's actions and, ultimately, their results. If people are unsatisfied with the results in their lives, they can change the trajectory and results in their lives simply by changing their thoughts.
It has been said that the only difference between successful people and those who are not is the way they THINK. So why do so few people question whether their thoughts align with the results they seek? It seems that way too often people do not reach their full potential and goals simply due to their own negative thoughts and self-limiting beliefs. These mental barriers and a lack of a positive mental attitude are largely what hold people back from their dreams.
People's thoughts shape who they are and, therefore, how they live their lives. There are many things that are out of our control, however, successful and happy people are mindful of the negative effects that come from worrying about those things and choose not to dwell on them. Also, it is often said that you (i.e., your thoughts and behaviors) are the average of the five people you spend the most time with. Surrounding yourself with those who encourage you to succeed and add positive value to your life makes a huge impact, so successful people also choose their inner circles wisely.
How people choose to invest their hard-earned money is, of course, also dictated by their thoughts.
The psychological side of investing is rarely talked about and hardly ever given the appropriate attention. Everything begins with a belief, and investors need to understand that what they want is possible. People must be willing to take full responsibility for their thoughts, emotions, actions, and results in order to control their destiny. When people fail to take responsibility, they hand the reigns over to external influences.
So what does all of this have to do with investing? How can investors use the power of positive thinking to fine-tune their craft? The secret here is to understand why and how we, as a society, have been conditioned to look at investing our money and spending our time. Then we, as individuals, can take this knowledge and seek out alternative solutions that align with our life goals.
So many people have been conditioned to look at building wealth and investing in a very limited way. For example, too many people invest only in traditional investments, which are largely part of the Wall Street Casino of volatile, uninspiring paper assets with minimal tax benefits. Investors are indoctrinated by a system, one that is backed by large and powerful financial Wall Street interests, to believe that their primary investment options should be stocks, bonds, mutual funds, and 401(k) accounts. A common self-limiting belief held by investors is that most or all their investment returns should be from gambling in the Wall Street Casino. This is a game where, more often than not, the “house” always wins.
When taking this traditional trajectory, investors often feel out of control and subject to the whims of the stock market. A more autonomous option is pursuing investments in tangible commercial real estate assets as an investor in Main Street, a term that collectively denotes small businesses and small-town values—the polar opposite of Wall Street. Through syndicated commercial real estate investments, investors have direct ownership of the income-producing assets that they have chosen with intent. These assets are not impalpable ticker symbols, they are physical properties that enhance lives, solve real-world problems, and provide tangible societal benefits.
Another false self-limiting belief is that people can only exchange time for money, or that they are forever beholden to a boss or their own business. When wealth is contingent on time, and people are restricted to how much they can actually work, it is extremely difficult to get ahead or prioritize doing things they enjoy and love. This kind of scarcity mindset can be broken when people modify their investment strategy to generate passive income from cash-flowing commercial real estate. Beyond the financial security that comes with multiple income streams, they have the freedom of free time.
Everything must start with changing one's ethos. Investors must always look to unleash their thinking into positive transformation and to embrace the endless possibilities in the world of alternative real estate to achieve meaningful investment returns.
Stay tuned for the next article in this series: Step 2 of The Empowered Investor Methodology.
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