Investors get stuck two ways: chasing quick-win passive income without a strategy, or clinging to safe tangible assets and ignoring better returns. Before buying anything, define what role each asset plays in your overall portfolio and where it moves you.
The key is you're focused on building a wealth system, not about buying assets. And that's the biggest distinction between being a strategic investor versus being an investor that dabbles in the market. But a lot of people get stuck because they're chasing one or the other. Some people are looking for the shiny objects and the illusion of passive income without taking care of their portfolio. Others just want the, oh, I just want to buy something safe and I can hold and put my hands on and just real estate and that's it. And they're missing out on the high yields that can accelerate their portfolio. So before you ever get to start thinking about or asking the question around what is the yield you're earning on this deal or what is the cash flow return that I'm going to be getting, the first question you have to answer is what is the purpose that this element is serving in the portfolio? How is it fitting in with my overall collection of other assets and elements that I already own to help continually maneuver the portfolio towards where you want it to be going in the future?
