You have to educate yourself so that you can make the right investment decisions. But let's look at who you could ask and who you should listen to when you want to become a better educated investor:

Economists and financial advisers are meant to know which way the economy is turning and where to find the best investments. It's interesting how many people have the theoretical knowledge but very few have actually made it.

1. Family - How many millionaires do you have in your family?
2. Friends – Are they financial experts? How much do they have?
3. Your accountant – Has your account become rich by specifically applying his own investment advice?
4. Lawyer – Has your lawyer become rich following his own investment advice?
5. Financial planners – Be aware that financial planners make commissions based on the investments they sell. How many of them have personally invested in property? You should realise that many financial planners come from the background of having been insurance salespeople and have done some extra study to get a financial planners license. They understand insurance and superannuation and managed funds, but in general do not have a good understanding of real estate or even the stock market.
6. Stockbroker – What returns have they received on the shares they have invested in?
7. Real Estate Agent – How many properties do they own and over what period of time have they bought them? According to the Australian Bureau of Statistics, the average estate agent earns $36,000 per annum. How do they get paid? By selling property, that's why they advise you to buy and sell.
8. The financial media – How much research has the journalist actually done and what investments has he got?

When reading the latest issue of the BRW Rich 200 List, I found it interesting that there were no economists or stockbrokers on the list.

Economists and financial advisers are meant to know which way the economy is turning and where to find the best investments. It's interesting how many people have the theoretical knowledge but very few have actually made it.

That's why to become a successful investor you need more than just knowledge, you need the courage to take action. You need the right ‘mindset'. If we don't get your mindset right, all the knowledge you gain is nowhere near as valuable to you.

Looking at the BRW Rich 200 List, its clear there are a number of ways to get in there quickly.
These include:
1. Select your parents carefully. It seems a good proportion of the really rich in Australia were born wealthy but this is usually measured in their bank accounts rather than their genes or their abilities.
2. If you don't get wealthy parents, the next best way is to marry somebody who is extremely wealthy – and then stay married!
3. It's important to recognize from an early stage, the magic of compounding interest. Most of the Rich 200 are people who worked hard, saved and invested in growth assets long enough to enjoy the feeling of compounding.
4. Try to be counter-cyclical. Many of the Rich 200 had an instinct feel for assets when they were oversold or overbought. They particularly like to buy property and shares during periods of gloom.

Looking further at the Rich 200 list, there are some things to avoid if you seek extreme wealth. Pursuing the latest fad, such as a few years ago the latest dot com or telecom stocks would at best gain you an entry into the Rich 200 for a really short time for a year or two before you find yourself in the departure section.

Qld Property Advice has both the experience and the expertise to help others create wealth through residential property. We don't just show you how you can do it, we do it ourselves!

By instilling the correct mindset in our clients and surrounding them with the right knowledge and team, you can create wealth and financial security.