Podcast Summary
Fear of Money: A Terrifying and Powerful Concept: Overcome fear of money by educating oneself and taking action to invest in assets and oneself
People are often afraid of money due to a lack of education and understanding about it. Grant Cardone, a successful entrepreneur and investor, shares his own experiences of being terrified of money and how it's a concept that can be both terrifying and powerful. He believes that people are withholding themselves from investing because they don't know where it comes from, how to keep it, or how to invest it. Our upbringing and misinformation from parents can also contribute to these fears. To overcome these fears, Cardone emphasizes the importance of being educated about money and taking action to invest in oneself and assets.
The Fear of Scarcity and Missed Investment Opportunities: The fear of scarcity leads to hoarding money instead of investing, but money isn't scarce and successful investors reinvest and accumulate debt.
The fear of scarcity leads many people to hoard money instead of investing it. This mentality, perpetuated by parents and societal norms, results in a missed opportunity to grow wealth. The speaker shares personal experiences of uncles who embodied extreme frugality, one burying his earnings and the other buying low and selling high. However, the speaker argues that money is not scarce, as evidenced by the exponential increase in money supply in recent years. Banks, rather than keeping money, multiply deposits by lending it out nine times. The speaker encourages individuals to study successful business leaders like Elon Musk, who reinvest everything and accumulate debt, rather than listening to influencers or societal pressures to save and hoard. The key is to understand the power of money and invest it wisely.
Our upbringing shapes our money mindset: Invest in personal growth to change misconceptions about money and unlock opportunities for growth
Our relationship with money is deeply influenced by our upbringing and past experiences. While having cash and debt can seem like the best of both worlds, it's essential to understand the implications, especially regarding tax deductions. Many people are more focused on hoarding money than spending it, often due to misinformation and a lack of financial education. To change this mindset, it's crucial to assume that everything we know about money is incorrect and invest in personal growth, as it offers the highest potential return. By prioritizing self-improvement, we can unlock infinite opportunities for growth and success.
Invest in yourself and assets for financial growth: Prioritize investing in yourself first, then in assets that provide cash flow, appreciation, and tax shelters. Real estate is a valuable investment. Trust your intuition and avoid external pressures or misinformation.
Investing in yourself and your business or department is crucial for financial growth. You should prioritize investing in yourself first, and then in assets that provide cash flow, appreciation, and tax shelters. The speaker emphasizes the importance of real estate as an investment and warns against relying on information from banks and institutions that may not benefit your family. If you have a small amount of money, the speaker suggests investing in yourself and continuing to do so until you see growth. It's important to have confidence in your decisions and not be swayed by external pressures or misinformation. The speaker's personal experience with addiction and the pressure to finish college illustrates the importance of trusting your intuition and being true to yourself.
Reinvest in personal and professional growth: Continuously invest in self and business to expand income, skills, and market share. Learn from successful companies and strategies to grow.
Continuous investment in oneself and one's business, rather than hoarding money, is key to success. The speaker emphasizes the importance of reinvesting earnings back into personal development and marketing to grow income and skills. He shares his regret of not investing earlier in his career and encourages studying successful companies and their strategies to learn and grow. The speaker also highlights the importance of focusing on expanding reach and market share, rather than just accumulating wealth. He advises against being competitive with others and instead, encourages learning from and emulating successful companies. In essence, the message is to keep reinvesting time, money, and energy into personal and professional growth to achieve long-term success.
Thinking big and scaling investments for wealth and impact: Observing large institutions, following opportunities, taking risks, investing in high-growth industries, and being open to new possibilities can lead to significant wealth and positive impact.
Thinking big and scaling your investments is key to creating significant wealth and making a positive impact. The speaker shares his experience of observing large institutions like Goldman Sachs and BlackRock, which have the resources and scale to fund various industries and own a significant portion of global assets. He believes that having this perspective earlier in life could have helped him achieve wealth faster. He emphasizes the importance of following opportunities and being willing to take risks and invest in the future, rather than focusing solely on earning more money in the present. The speaker also highlights the impact of upbringing and exposure to wealth and opportunities on one's financial mindset. He encourages investing in industries with high growth potential, such as hedge funds, advertising and marketing, and healthcare, and being open to new possibilities, like cryptocurrencies.
Consider investing in income-generating assets instead of relying solely on savings for emergencies: Invest in assets that generate consistent cash flow and use collateral for loans or reinvestment to increase monthly income.
Instead of relying solely on savings for emergencies, individuals should consider investing in assets that generate consistent cash flow. Grant Cardone, in the discussion, emphasized that people often have more assets than they realize and urged them to use these assets as collateral for loans or to reinvest in assets that pay monthly dividends. He shared his personal experience of turning his cash savings into income-generating assets, which now provide him with millions in cash flow every month. He encouraged listeners to adopt the mindset of constantly reinvesting and looking for opportunities to buy income-producing assets, rather than keeping cash savings that lose value due to inflation.
Invest in income-generating assets, not cash or speculative investments: Consider income and value potential when investing, not just short-term gains. Sell and reinvest annually for long-term growth.
The speaker emphasizes the importance of investing in assets that generate income and value over time, rather than holding large amounts of cash or speculative investments like Bitcoin. He shares his personal strategy of selling assets each year to reinvest in new opportunities, and expresses skepticism towards gold and crypto as investments, particularly Bitcoin, which he views as a storage asset rather than a currency or inflation hedge. He also mentions his own experience with Bitcoin, having received some as payment for a speaking gig several years ago and holding onto it as it increased in value. Overall, the speaker encourages a thoughtful and research-driven approach to investing, and emphasizes the importance of considering the potential income and value of an investment over the long term.
From struggling financially to generating $3 million monthly cash flow: Through hard work and real estate investments, financial freedom and the ability to help others can be achieved
Having a large amount of cash flow can lead to financial freedom and the ability to help others. In this discussion, the speaker shared how they went from struggling financially to generating over $110 million in gross income and $3 million in monthly cash flow for investors. They expressed their goal to send out even more money each month and eventually reach $300 million. The speaker emphasized the importance of setting financial goals and the security and stability that comes with real estate investments providing consistent income. They also highlighted the satisfaction of being able to send money to others and knowing that they cannot lose with them. Ultimately, the speaker's message is that with hard work and discipline, financial success is possible and can bring joy and fulfillment beyond just personal gains.
Saving and investing in real assets for passive income: Save and invest a significant portion of income in real assets to generate passive income, live off the income, and transition from earned income to asset ownership for long-term financial success.
Financial security and wealth building involve more than just earning income. To achieve true financial freedom, one must be able to save and invest a significant portion of their income in real assets that generate passive income. This means having enough cash on hand to make large purchases in cash and living off the income generated by those assets. It's important to differentiate between earned income and passive income, as earned income should never be spent, but rather invested. By doing so, one can position themselves for long-term financial success and eventually transition from earning an active income to becoming a wealthy asset owner. It's essential to start planning for this transition early, as everyone's earning capacity eventually declines, and having a diverse portfolio of assets can help mitigate the risk of losing income as one ages.
Investing in assets for wealth and financial freedom: Investing in assets like real estate, using leverage and generating passive income can help build wealth and achieve financial freedom. Focus on fair value and cash flow leaders in your investment portfolio, like Warren Buffett.
Investing in assets, particularly real estate, is a smart financial strategy for building wealth over time. By getting rid of cash and using leverage to purchase assets, you can benefit from inflation and increase your assets' value. Passive income, such as dividends or rental income, is key to achieving financial freedom, but it's important to understand the difference between passive and residual income. Warren Buffett's investment strategies, focusing on fair value and cash flow leaders, can serve as a guide for building a successful investment portfolio.
Focusing on a few key investments: Successful investors like Buffett and Musk build wealth by focusing on select investments and holding them long term, while the trend of investors buying up single family homes may make it difficult for everyday people to afford housing.
Successful investors like Warren Buffett and Elon Musk have made their fortunes by focusing on a select few investments rather than diversifying. Buffett's success in real estate came from buying properties in great locations and holding them for the long term. Musk's wealth was built primarily through PayPal and his current investments in Tesla and SpaceX. Both investors have amassed significant wealth and have not diversified their portfolios beyond a few key investments. The trend of investors buying up single family homes in America is increasing, with 44% of these homes being owned by investors in 2019. This trend, along with rising housing prices and taxes in certain areas, may make it difficult for everyday people to afford to buy homes and may lead to further increases in housing prices. Instead of trying to diversify, these investors recommend focusing on a few key investments and holding onto them for the long term.
Real Estate Prices Surge in Affordable States Due to Migration: Migration from high-cost areas to affordable states fuels real estate price increases, creating wealth opportunities for investors.
The trend of people moving from high-cost areas like California to more affordable states like Arizona is driving up real estate prices in the latter, despite an overall migration of wealthier individuals. This emotional decision to invest in real estate, rather than holding onto cash, is contributing to a significant increase in asset values. The speaker, who started with $400 million in assets and has since grown it to $4 billion, aims to continue this growth, eventually reaching $40 billion within the next five to ten years. This wealth creation is not just for personal gain, but also to provide financial security for ordinary families, evolving the speaker's role from taking money to giving it. This unexpected discovery of raising funds from others through real estate deals started in 2018 and has proven to be a highly effective and rewarding strategy.
The right investor can turn a business relationship into a partnership: Selecting the right investor can lead to a successful, long-term business relationship. Perseverance and determination are crucial in business, even when faced with challenges.
Having the right investors can transform a business relationship into a partnership, where both parties want each other to succeed. This was exemplified in a personal experience where an admirer of a businessman became an investor, leading to a long-term business relationship that could last for generations. However, it's important to carefully select investors and be mindful of potential issues. Additionally, the speaker shared his personal journey of dealing with aggression and being prescribed medication to manage it, but eventually choosing to focus on unwinding his aggressive tendencies. The importance of perseverance and determination in business was also emphasized, even in the face of challenges and setbacks.
From Aggression to Empathy: A Journey of Personal Growth: Learn to let go of negative patterns, practice empathy, and stay authentic for personal growth.
Personal growth and self-discovery are ongoing processes that require continuous practice and introspection. The speaker shares his journey from using aggression to cope with rejections and competition to learning empathy and finding balance. He reflects on the importance of being true to oneself while also being mindful of the impact on others. The speaker emphasizes the need to let go of negative patterns and develop new skills for personal growth. Despite the challenges and criticism, he encourages the importance of staying authentic and continuing the journey towards becoming one's best self.
Connecting on a deeper level for personal growth and success: Deep connections lead to personal growth and success in business and life. Look beyond appearances and focus on understanding the true message behind the content. Believe in the importance of spiritual growth and financial stability, and strive to positively impact others.
Personal connections and spiritual growth are essential for success in business and life. The speaker shares his experience of connecting with Grant Cardone on a deeper level and seeing his transformation from a focus on competition and growth to service and spirituality. He emphasizes the importance of looking beyond external appearances and understanding the true message behind the content. The speaker also shares his personal curiosity and belief in the importance of spiritual growth and financial stability, and the potential impact of a business on both the owner and their team members. Ultimately, he encourages living a life focused on impacting others and finding a balance between spiritual and material success.
Empathy and building genuine relationships: Empathy is essential for understanding success and fostering genuine relationships. Recognize true friends and supporters, and use criticism as an opportunity to connect and learn.
Empathy is crucial in building genuine relationships and understanding the success of others. Grant Cardone shares his experience of dealing with negativity and criticism during a challenging time in his life, but instead of letting it bring him down, he used it as an opportunity to connect with his fans and supporters. He emphasizes the importance of recognizing true friends and supporters, who can help us grow and learn from each other. Cardon Capital offers resources for those interested in learning more about his investment strategies. Despite facing adversity, Cardone encourages everyone to strive for greatness and inspires through his content on various social media platforms and books like "10x."
Shifting focus from hate to learning: Instead of hating others for their success, focus on learning from them. Be open to new opportunities and use them for growth.
Focusing on negativity and hate towards others can hinder personal growth and success. The speaker shares an experience of disliking a successful car dealer due to his aggressive sales tactics, but later realized that instead of hating, he should have learned from him. He missed out on 25 years of education and potential growth by focusing on negativity. The speaker encourages shifting focus from hate to learning, and identifying what one can learn from others' successes. He also emphasizes the importance of being open to new opportunities, like social media platforms, and using them for learning instead of dismissing them. The speaker also shares his goal of raising a significant amount of money for real estate investments and discusses the importance of making strategic partnerships and compromises to achieve that goal. Overall, the key takeaway is the importance of focusing on learning and growth rather than negativity and hate.
Pushing Boundaries for Growth: To achieve significant growth, one must be willing to work harder and faster, empathize with others, and stay true to their values.
Growth and success often require pushing boundaries and putting in extra effort. In the discussion, the speaker emphasizes the need to double the investor base and acquire 12,000 apartment units in one year, which represents a significant increase from what has been achieved so far. This requires a mindset shift and a commitment to work harder and faster than before. The speaker also highlights the importance of empathy and staying true to one's values while pursuing growth. The episode as a whole aims to inspire and motivate listeners on their journey towards greatness. The speaker encourages listeners to share their feedback and reviews, and reminds them of their worth and value. Overall, the message is one of perseverance, hard work, and self-belief.
