FINANCIAL IQ

No. 1 is accounting.
 financial literacy.
A vital skill if you want to build an empire. The more money you are responsible for, the more accuracy is required, or the house comes tumbling down. This is the left brain side, or the details.
Financial literacy is the ability to read and understand financial statements. This ability allows you to identify the strengths and weaknesses of any business.


No. 2 is investing.
 the science of money making money.
This involves strategies and formulas. This is the right brain side, or the creative side.


No. 3 is understanding markets.
The science of supply and demand.
There is a need to know the "technical" aspects of the market, which is emotion driven.
The other market factor is the "fundamental" or the economic sense of an investment. Does an investment make sense or does it not make sense based on the current market conditions.
Many people think the concepts of investing and understanding the market are too complex for kids. They fail to see that kids know those subjects intuitively.


No. 4 is the law.
For instance, utilizing a corporation wrapped around the technical skills of accounting, investing and markets can aid explosive growth.
An individual with the knowledge of the tax advantages and protection provided by a corporation can get rich so much faster than someone who is an employee or a small-business sole proprietor. It's like the difference between someone walking and someone flying. The difference is profound when it comes to long-term wealth.



Financial IQ is actually the synergy of many skills and talents. But I would say it is the combination of the four technical skills listed above that make up basic financial intelligence.

Once we leave school, most of us know that it is not as much a matter of college degrees or good grades that count.
In the real world outside of academics, something more than just grades is required. I have heard it called "guts," "chutzpah," "balls," "audacity," "bravado," "cunning,"daring," "tenacity" and "brilliance."
This factor, whatever it is labeled, ultimately decides one's future much more than school grades.
Inside each of us is one of these brave, brilliant and daring characters.
There is also the flip side of that character: people who could get down on their knees and beg if necessary.

In my personal experience, your financial genius requires both technical knowledge as well as courage.
 If fear is too strong, the genius is suppressed.

 I strongly urge people to learn to take risks, to be bold, to let their genius convert that fear into power and brilliance.
 It works for some and just terrifies others. I have come to realize that for most people, when it comes to the subject of money, they would rather play it safe.