Financial Literacy - 8522 Words

FINANCIAL LITERACY â€Å"Financial literacy is one of the most important investor basics, especially if you want to be a safe investor, an inside investor, and a rich investor. Anyone who is not financially literate cannot see into an investment. Just as a doctor uses X-rays to look at your skeletal system, a financial statement allows you to look into an investment and see the truth, the facts, the fiction, the opportunities, and the risk. Reading a financial statement of a business or individual is like reading a biography or an autobiography.† â€Å"A business has a financial statement, a stock certificate is a reflection of a financial statement, each piece of real estate has a financial statement, and each of us as an individual human†¦show more content†¦A sophisticated investor reads the numbers to get the true story and begins to see things that the average investor does not see. A sophisticated investor must see the impact of government regulations, tax codes, corporate law, business law, and accounting law. One reason it is hard to find accurate investment information is that to gain a full picture requires financial literacy, an accountant, and an attorney. In other words, you need two different professionals to get the real picture. The good news is that if you take your time and invest the time to learn the ins and outs of what goes on behind the scenes, you will find investment opportunities and great wealth, wealth that very few people ever find. You will find out the truth about why the rich get rich er, and the poor and middle class work harder, pay more in taxes, and get deeper in debt. Once you know the truths, you can then decide which side of the quadrant you want to operate from. IT’S NOT HARD; IT JUST TAKES SOME TIME†¦TIME THAT PEOPLE WHO JUST WANT A HOT INVESTMENT TIP DO NOT WANT TO INVEST.† â€Å"When you come to the boundaries of what you know, it’s time to make some mistakes.† â€Å"The streets are a very tough teacher. In school, you’re given the lesson first. On the street, you’re given the mistake first and then it’s up to you to find the lesson, if you ever find it†¦inShow MoreRelatedThe Lack Of Financial Literacy Essay1371 Words   |  6 PagesThe lack of financial literacy has reached an epidemic proportion among America’s youth, and in today’s world, many teens work to achieve their own financial independence. According to a recent youth survey given by the RAND Group in 2015, $91 billion of spending power is by teen youth, and the downside to this is many teens have no idea how to handle money. 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