2013 is the year when I embark on my journey to financial freedom.
My final goal to financial freedom is as follows:
- Achieve monthly passive income of $10,000.
- Achieve monthly trading income of $10,000.
- Own 2 properties (1 as my own residential and 1 for rental).
Not sure if my goals are unachievable but this is what I intend to do to:
- Forex Trading is one investment instrument that allows me to see the money quick and due to the low amount of savings I have for investment, Forex trading seems to be the best instrument for me to generate substantial amount of trading income (due to the leverage).
- Dividend Stocks Some companies give out dividends to their shareholders. These dividends are part of the company’s profits and the dividend yield could be as high as 10% (depending on purchase price).
- REITs Investment in REITs (Real Estate Investment Trusts) is just like owning the properties personally and rental yields are given back to the investors in terms of dividends.
- Rental Yield from Property Acquiring residential properties for collecting rent is one of my final goals in financial freedom. Rental collected from the properties can make up a large portion of my targetted passive income, depending on the size of the property. However, problem with this is, I have not gotten my first property meant as my own home! That means, I have to make more money via my tradings to shorten the time required to attain financial freedom.
Lesson learnt from the early days of my investment days:
- Cut down on spendings By cutting down on spendings means that I will have more to save and therefore I will have more to re-invest.
- Always re-invest Profits from forex trading can re-invest into dividend stocks and REITs to generate more passive income. When possible and with the right timing, use the profits to re-invest into properties.
Well, I hope that I will be able to achieve my goals.