Modeling, Part 2

Our conversation with entrepreneur and investor, Bob Faletti led us to review some of the important points behind Modeling - the sequence of constructing a moving narrative to pivot your investments.  The following list includes some of the key points you may want to consider as you investigate taking back control of your financial future. 

 It is an unusual time in the markets with a lack of accountability, transparency and looming mania driving the markets to record highs.   Therefore, it is reasonable to consider pivoting and moving your money/ investments closer to home.   To do this, you need to consider doing the following:

WORKING NARRATIVE:  Construct a working narrative.  After all, as soon as you write a plan down, it is wrong, but at least you have labeled and considered the moving parts and have a basic understanding of the elements involved in your plan/ building your investment machine.  Do your due diligence and build out 80% of your plan on paper adding in safeties and contingencies for errors and the unknown.  Then work the other 20% out in practice.

Note:  There are many white papers on SWOT Analysis and even doing a quick youtube search can help outline your strategy to evaluate your bet.

EDUCATION:  Pay for an education.  Take online classes, pay for a coach, pay to be in a mastermind group etc.  

SAFETY:  Part of being a good steward is considering what season of life you are in and passing on resources to your family/ community.  This also includes safeguarding against catastrophic events and prolonging your ministry through what we like to call, bullet proof paper which is blue collar language for wills, trusts and insurances.

NOTE:  If you are interested in meeting with a financial advisor and dont have one that you know or trust, please let us make the introduction to folks that we trust who can walk you through your SAFETY process.

HEDGING:  With the stock market being in such a strange place we believe that part of your responsibility lies in protecting your bets with ancillary markets, i.e. silver and gold.  Yes, they are considered real money and not an investment per se but they are, historically, a "reliable store of value" and should be considered soon as their prices are pushing up with more and more distrust of the stock market.

CONVERSION:  If you have money in the markets you will need to sit down with your financial advisor and figure out exactly how much money it will cost you to move your money.  It is their responsibility to get you numbers if you ask for them.  It is your money after all.  

ACTIVATE CASH FLOW:  Do your due diligence and build out your plan, then work the plan and measure the cash flow with risk and your goals.  Chances are that the investment isnt exactly going to work as you expected but be flexible and patient.  There is a strong possibility with a little coaching that your new endeavor is exactly what you need to increase cash flow and secure a model of investing that is not only transparent but lives closer to home.

REFINE NARRATIVE:   You've prayed, studied and wrote out your plans and then pulled the trigger on what you hope is the right investment.  It's important that you continue at regular intervals to seek out your brain trust and spouse and run the numbers by them to see if there are things that you are missing that can help bring about efficiency and scale.   PRAY, WRITE, BUILD, REVIEW, REFINE = SCALE

GIVE:  Build generosity and investment in your community into the model from the beginning.  Make sure you start and finish with honoring your Kingdom values and leave the rest to God to work out.