What is important to become wealthy? Let’s find the answer by examining the asset status of the rich in Korea. In conclusion, the size of assets is the main factor determining wealth. In this article, we will look at the asset status of the rich in Korea and understand why assets are the standard of wealth.
1. Why Assets are the Standard of Wealth
Rich reports usually use assets as a standard. Many people consider monthly income important, but the real standard of wealth is the size of assets. If you own an average-sized apartment in Seoul, you are likely in the top 10% in terms of assets.
2. The Relationship Between Monthly Income and Assets
Can you be considered rich if you earn 30 million won a month but spend all the money? On the other hand, if you earn 10 million won a month and manage it well to increase your assets, you can be recognized as wealthy. Ultimately, the standard of wealth is not monthly income but assets.
3. The Importance of Cash Flow and Asset Growth
Cash flow is also important, but the key is to increase the size of your assets through it. If you have a high monthly income, you have more opportunities to accumulate assets, but it is meaningless if you do not manage it well. Therefore, to become wealthy, you need the ability to convert earned money into assets.
4. The Importance of Capital in a Capitalist Society
The core in a capitalist society is capital. The reason we work hard and try to earn more money is ultimately to own capital. Increasing and managing assets is the shortcut to becoming wealthy.
5. Asset Management Strategies of the Rich in Korea
How do the rich in Korea manage their assets? They effectively utilize cash flow to grow their assets. They diversify their portfolios through various assets such as real estate, stocks, and bonds. Securing stable and growth-potential assets through these strategies is crucial.
Conclusion
The path to becoming wealthy is not just about earning a lot of money. The true standard of wealth is the size of your assets and the ability to manage them. Understand the importance of asset growth and develop a strategy to become wealthy through it.