Basic Rules for Financial Freedom: Make Wealth Happen 4 of 15
Decide Your Attitude Toward Risk After you decide your attitude
toward risk, it makes your planning easier. It allows you to
tailor how you intend to become prosperous. Hare or tortoise, I
guess. Obviously, your attitude will vary depending on the
project. Things to take into consideration are - Your age -- We
cope better with risk the younger we are. - Family commitments
-- If, like me, you have young children, it does make you more
cautious. If they've all left home, you might be prepared to
push it a bit further. - Income and/or assets -- You need to
work out the percentage of your wealth you are prepared to risk.
The more you've got, the smaller the risk might be -- unless you
are prepared to lose the ranch, of course. If you are going to
take risks, then do try to offset them. Take out insurance if
you like: - Don't put all your eggs in one basket (more about
this later). - Consider how much stress and excitement you can
handle. - Look at the