“Discover How To Really Build Wealth and
Achieve Financial Security”

What My Financial Advisor Never Told Me
(And Probably Won’t Tell You) About Investing

From: Anna Johnson
Editor, Investment Success Formula

Dear Friend,

I Remember It Like It Was Yesterday…

It was just a few years ago. My financial advisor sat me down and explained the differences between investing in stocks, property, mutual funds, cash and the like… and the ideal “mix” of each type of investment, depending on my age and whether I had a high, medium or low tolerance for risk.

Since I was in my late 20s, had a higher than average income and, apparently, a high tolerance for risk, he advised me to save a certain amount of money for a home down payment and invest everything else in a “growth portfolio”…

The plan was to invest in different mutual funds that created an overall “portfolio” that emphasized capital growth rather than income. That way, my financial advisor said, I would have enough money for a “nice house, nice lifestyle and nice retirement.”

Problem was…

I didn’t want enough money for a nice house, nice lifestyle and nice retirement.

I wanted to get RICH darn it! (Says she, standing up, fists raised…)

Despite my objections (I actually had a professional financial planning qualification, a commerce degree and several finance and economics courses under my belt) he just couldn’t resist putting me in a “box” and giving me the standard advice.

But that standard advice was NOT going to help me get rich… or, in other words, build the financial wealth I desired.

Sound familiar?

You may not want to “get rich.”

You may simply want to get out of a financial hole…

Or achieve a level of financial security where you don’t have to keep working until you drop dead…

But how many financial advisors take the time – and make the effort – to genuinely understand your needs and aims before customizing a realistic plan for achieving those aims?

Don’t get me wrong. There are plenty of professional financial planners who make every effort to serve the best interests of their clients…

But there are two main problems with much of the financial planning advice given to people today…

Two Problems With “Financial Planning”

Firstly, many financial planners seem to only consider “passive” investments – investments where you devote a certain amount of money to an investment and practically do nothing while the income rolls in or the investment increases in value (or NOT!).

In other words, they equate “designing a financial plan” with recommending a collection of “set and forget” mutual funds, stocks, bonds, property, cash and so on.

That may sound great – I mean, who wants to actually do anything to make money? –but it’s not the only way – and it’s not necessarily the best way for YOU – to reach your financial goals… aside from the whole question of whether a “set and forget” strategy really works.

The fact is: there are other types of investments, and other types of active investments, that may be much more effective in helping you reach your financial goals than the “usual suspects.”

Oh, and that’s not to mention the issue of financial planners who get paid on commission… where they have an incentive to recommend investments (often mutual funds) on which they get a certain cut. (Hmmm… do I recommend Mutual Fund A where I get a 10% commission or Mutual Fund B where I get a 20% commission?)

Secondly, the very best financial planners – those who really do consider your investment needs in a holistic sense… who do consider active and passive investments and everything in between – are often expensive. In many – not all, but many – cases, these are the guys and gals that only multi-millionaires and billionaires can afford.

Do you have the cash to hire someone like this?

If not… then you really have only two choices:

1. Take what advice you can get – and accept the fact that it’s limited and may not help you build the wealth or financial security you desire; or

2. Take control of your financial future – learn what you need to know to design the best possible plan for achieving YOUR financial objectives… and apply it!

I firmly believe that you should opt for the second choice. I really believe that you are the most qualified to be your own best financial advisor.

Of course, you’ve probably heard – and may even agree with – the view that you should let a professional handle your financial planning.

After all, they’ve had years of training and experience… and you may not have a clue about what to invest in, how much to invest, and so on.

Okay, but:

What if knowing what to do wasn’t as difficult as some in the financial planning community make it out to be?

What if you could learn what you needed to know… without doing an MBA in finance?

What if you had a sound framework for designing your own investment strategy and achieving the wealth and financial security you want?

What if you followed the same Investment Success Formula that self-made millionaires, multi-millionaires and billionaires use?

Would that deliver you the financial freedom you desire?

You bet.

And it doesn’t matter if you don’t want to be a millionaire, multi-millionaire or billionaire…

The point is: you have certain financial goals, and there is a tried-and-true way of achieving those goals. A way that happens to be used by all successful investors… even if they don’t know it.

I call it…

The Investment Success Formula

Now, it’s not a formula as in “mathematical formula”. And it’s not a one-size fits all approach. It’s more like a formula for thinking.

Because, as you’ll see, it’s how you think about investments and investing that really determines whether or not you achieve wealth or financial security.

I’m not talking about “positive thinking” or anything abstract. I’m talking about thinking strategically about your finances and what to do with them.

It doesn’t matter how old you are or whether you have a $1 million, $1,000 or negative net worth. There are enough “come back” and “rags-to-riches” tales to show that it’s possible to go from financial ruin to financial riches.

The only thing that separates the successful from the unsuccessful is knowing what to do and doing it.

So what do I mean about knowing what to do and doing it? Am I talking about getting in on the latest “hot” investments… or following the latest secret investment or trading strategy?

Not at all.

In fact, that’s also where so many investors lose… and when I say lose I mean lose money.

I know. You see, before realizing how off the mark that financial advisor’s advice was… I had already made several critical mistakes and lost money on a range of investments:

Mistake #1

The first mistake I made was investing all my high school savings in a high interest bearing unit trust here in Australia that ended up being one of the country’s most high profile financial fund collapses! I didn’t do any kind of due diligence… I simply believed the financial pundits who said it was a “hot investment.” Big mistake!

Mistake #2

I bought stock in a handful of companies because I thought they were “good” companies. I knew nothing about “value investing” or “growth investing” – I just liked the companies’ products and services! I had no real understanding of the company or industry fundamentals, let alone the technical side of investing or trading. When it came time to sell (and again I had no sound “exit” strategy), I made money on some stocks, and lost money on others. And in either case, I really couldn’t tell you why. Big mistake!

Mistake #3

I began learning about investment fundamentals and how to read a company’s financial statements. I realized that many successful investors – the Warren Buffets and Peter Lynchs of this world – based their investment decisions on buying under-priced stocks. So I decided to do the same. What I didn’t realise until later – when I was exposed to the inside goings-on of a number of publicly traded companies – was that what public companies release in their financial statements… and what their real financial situation is like… are often two different things! Sure, a Warren Buffet and a Peter Lynch might have access to the real story, but what chance did I or any other “person on the street?” Big mistake!

Mistake #4

I completed a Diploma of Financial Planning and took a couple of Master of Applied Finance courses. I discovered the merits of a “diversified portfolio” to reduce risk and maximize my return. The only problem with this was… most of what I learned – and most of what that financial advisor later told me – assumed that the best investments were passive investments. Like mutual funds, stocks and bonds.

Which is all very well… but what about other kinds of investments? What about active investments like your own business? What about actively trading the markets rather than passively buying and holding stocks? What about actively buying, selling, renovating, renting-out and developing real estate?

What if investing in some of these active investments along with, or instead of, certain passive investments yielded the best possible financial returns?

Or, what if, as an entrepreneur (I have invested and owned my own businesses since 1997) I needed to balance my arguably high-risk investment in my own business with other, very low risk investments?

Or what if my own business was actually less risky than the stock market or property?

As you can probably tell, I tried a lot of things… and made and lost money… as I continued to look for answers.

And then I realized…

The Answer Was Staring Me In The Face

Being entrepreneurial, I had been an avid reader of the Forbes Rich 400. When I scoured the list of the 400 richest people, and focused, in particular, on those who had built their wealth from scratch, it dawned on me that each of these people were highly successful investors.

They had all invested what resources they had – including what money they had – in one or more “assets” from which they generated enormous returns.

Including those who had made their money investing or trading the markets. Even these investors or traders weren’t simply investing in the markets… they were investing in themselves and their own skills as investors or traders.

In any case, the key insight I drew was that, if anyone had achieved financial success it was self-made multimillionaires or billionaires.

So, if I wanted to achieve financial success, shouldn’t I model multimillionaires and billionaires… rather than follow some generic investment advice?

In fact, as I began studying the investment strategies of multimillionaires and billionaires, I discovered that…

• Most multimillionaires did not, and do not, build investment wealth through randomly stock-picking, trading, buying investment properties or investing in businesses…

• They didn’t – and don’t – decide to put a few thousand, ten-thousand, hundred-thousand or a million dollars of their investment capital here or there on a whim…

• They don’t jump on the latest “hot” investment – whether it’s a stock, property or any other kind of investment – just because they read about it in some financial newsletter.

The Truth is, Multimillionaire Investors Approach Investing Much, Much More Strategically Than Most People Would Ever Dream of Doing

Not just in relation to what individual investment to invest in… but what asset classes… and how much money to allocate to those asset classes…

…and how much to allocate to an individual investment…

…and how much of their investment to increase or decrease based on the performance of their overall “portfolio” (not just their “stock portfolio” but their entire investment portfolio)…

…and what changes to make based on changing personal, as well as financial circumstances…

And a host of other strategic considerations that are completely alien to most people!

And that’s why they’re multimillionaires… while most “investors” never build significant wealth… despite attending the latest investment seminars… subscribing to the most highly acclaimed financial newsletters… using the most sophisticated trading software… and reading piles of investment books.

Even if you have no desire to own your own business, or become a multimillionaire or billionaire…

What I Learned Is Fundamental To Your Investment Success Too

You see, what I drew from this financially successful group was a formula that will allow you to:

1. Get clear on your financial objectives.

2. Think broadly about your options for achieving those objectives.

3. Develop a strategic plan for achieving your objectives.

4. Put this plan into practice, modifying and changing it as their objectives and circumstances change.

And that’s what the Investment Success Formula is. It’s a framework or model that allows you to develop the most appropriate investment strategy for you.

It takes into account your particular circumstances and goals… whatever your age, whatever work you do… whether you earn a salary or run your own business… whether your approaching, in, or nowhere near retirement.

I don’t claim credit for this framework or model. I’ve called it the Investment Success Formula, but it’s very much based on what successful investors – those multimillionaires and billionaires – do as a matter of course.

It’s also based on the findings of expert investment researchers and fund managers.

You see, it’s all very well to look at the Forbes Rich 400 or even a group of fund managers and draw conclusions about why they’ve been successful… it’s another thing to “do the numbers” and discover – quantitatively – why they’ve been so successful.

Imagine being able to work out which investment to invest in based on a few calculations?

Well, one of the most powerful aspects of the Investment Success Formula is that it incorporates certain models you can use in certain circumstances to work out – mathematically – which investment to choose.

In fact, here’s a “test”…

Which Of These Two Investments Should You Choose?

Here’s a set of simplified data: the past five annual returns of two investments. Imagine you have $US1,000 to invest and the minimum return you want to achieve is 10% p.a. You must choose between one of the following two investments. Which one should you choose?

You’ll find the answer in the bonus introductory lesson in the Investment Success Formula course. The answer may surprise you. Not just because of what the answer is, but why. ( Hint: this isn’t a trick question – there is one right answer.)

Okay, so…

How Do You Learn and Apply The Investment Success Formula?

Well, as you have probably gathered, I plan to share it with you in my Investment Success Formula 12-lesson course. While it is a course, you can also think of it as your partner in helping you become your own best financial advisor. For example, by ordering Investment Success Formula you’ll discover how to: Build financial wealth as fast as possible, based on your goals, circumstances, talents, skills and attitude towards return and risk.

• Achieve financial success despite having little or no savings or investment capital to start with. (Hint: many of the world’s wealthiest started with nothing… so having money to start with is NOT essential.)

• Invest safely… whilst still achieving terrific returns.

• Understand and apply the risk-return tradeoff, including identifying the true measure of “risk” (most professional investors use a concept called “beta”… but this concept is fundamentally flawed!)

• Decide what to invest in and how much to invest based on your expectations about return and risk.

• Choose which asset classes, assets and individual investments to invest in, based on whether you’re an employee, self-employed, business owner, entrepreneur, professional investor or retired. Understanding the differences is CRUCIAL to buildingwealth …yet rarely do any of the financial experts (who should know better) make all these essential distinctions.

• Structure, balance and manage your investment portfolio (including individual investments) on an ongoing basis, with the minimum effort or fuss.

• Invest for the long term and invest for the short term (based on what “long” and “short” mean to you!).

• Work out what you’ll need for retirement… and what to do if your current “strategy” isn’t generating enough money for that retirement.

• Choose the most appropriate passive investments, taking into account the investments you’re actively investing in.

• Actively – and passively – invest in private businesses and real estate for greater, and often less risky, returns than in public businesses and property funds.

• Understand and benefit from the real impact of “fundamental” and “technical” forces on your investments.

• Trade the markets as a business… rather than just as a “buy and hold” investor.

• What to do when your investments don’t pan out as you expect them to… including when you suffer a loss.

• How to make debt work for you, and not against you. This is crucial if you find yourself slipping into credit card, home mortgage or any other kind of debt! At the same time, if you own your own business, you may be missing out if you don’t use debt to your advantage.

• The truth about “no (or low) money down” deals – when they work, when they don’t, and the risks and rewards involved.

• How to hedge your bets and secure a guaranteed return. If you buy or sell commodities in large quantities… or if you import or export in high volumes… you need to know this!

• The only trading approach I recommend for speculators who want to actively trade the markets (it’s the only approach that really makes sense… and has been proven to work).

• And much, much more (I could literally go on and on with the information and tools I plan to give you!)

Each Month For 12 Months You’ll Receive
Insights, Ideas and Strategies To Empower You To
Achieve The Financial Wealth You Desire

And here’s the great news.

Investment Success Formula takes you step by step through the process of developing your own investment strategy.

Once we’ve covered these basics, we’ll move on to cover everything I’ve mentioned above and more.

As I’ve indicated, my aim for Investment Success Formula is to help you become a financial planner in your own right. But before you subscribe, let me be honest:

Investment Success Formula is Not For Everyone

In fact, I advise you not to order if…

• You’re not interested in taking charge of your financial future.

• You’re not interested in learning new concepts.

• You’re not willing to do anything. The ideas, insights and strategies I’ll be revealing to you will only work for you if you take action.

• You don’t like reading about finance and business. This is powerful – indeed life-changing – stuff… but if you don’t like the idea of sitting down each month with a powerful, 8-12 page lesson, even if the information will help you achieve your financial goals, please don’t order.

If none of this deters you, then you’re well on your way to achieving financial success! And I promise you a terrific return on your investment in Investment Success Formula. The 12 month course is just US $127 – a fraction of the true value you’re likely to get from it.

Plus, you'll also get a FREE bonus lesson with your enrollment...

But if you don’t feel comfortable enrolling in the 12 month course, you can also trial the course by enrolling in any one of the lessons for just US $12.95 (available in instantly downloadable PDF format).

And of course, if you do subscribe for 12 months, and for some reason wish to cancel your subscription, you can do so at any time after the first month.

So what do you have to lose? Subscribe now!

Yes Anna, I want to enroll in the 12 month Investment Success Formula course! I understand that along with 12 lessons (in PDF format, emailed to me each month) jam-packed with invaluable ideas, insights and strategies to help me build wealth and achieve financial security, I'll also get the a bonus introductory lesson absolutely FREE (choose one): (Total value: $168.35)

I hope you decide to subscribe – and I look forward to empowering you to reach your financial goals.

To your investment success,

Anna Johnson
Editor, Investment Success Formula

P.S. If you’re not satisfied with your current financial situation… if you believe you deserve more… and if you want a sound plan for getting there… invest in yourself by arming yourself with Investment Success Formula.

P.P.S. If you’re worried that this is yet another course that promises the world but doesn’t deliver… test it out for yourself. Order just one of the lessons to see what you think.