Name: 5 Things Rich People Buy To Make More Money
Uploaded: 2022-11-18T18:50:32.000Z
Duration: 11 min 8 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

2022 proved to be much worse than most people expected.

Adverbs of manner

Markets haven't been this bad since the 2008 crash, the crash that not only crashed the

entire US economy, where huge corporations such as the Leham brothers went bankrupt,

but it took down the rest of the world with it.

It was like the domino effect that led to the euro debt crisis.

China was hit fairly hard with a huge drop in exports.

However, in a few years, the economy recovered, and the United States experienced the longest

However, as a wise man once said: whatever rises will eventually fall, so did the growth

But government spending kept the economic wheel spinning.

The only problem with the current crisis is that the bubble has been growing so much that

we are now at that point where we no longer can't postpone another crisis.

In the middle of such a panic, most retail investors are panicking and selling off their

assets before everything crashes further.

A trade war with China, a global pandemic, an actual war in Europe, oil prices above

100, and worldwide inflation, it seems like if you are not going to sell now, soon your

But that's not what one of the greatest investors in the world thinks.

Warren buffet is urnings investors not to panic and look for great deals in the market.

At the height of the 2008 financial crisis.

When banks were falling down one after another.

Buffett pumped $5 billion into Goldman Sachs shortly after Lehman Brothers collapsed.

It literally saved the bank since investors lost confidence in the system.

And here, the most respected investor is throwing billions into Goldman Sachs.

In exchange, he received $5 billion in preferred stock paying a 10% annual dividend.

That's 500 million dollars of cash every year, as well as warrants enabling it to buy

43.5 million of Goldman's common shares at $115 each at any point in the ensuing five

While many called him a fool back then, nothing is better than cash in the bank.

In 2011, Goldman bought back the preferred stock for $5.64 billion and handed Buffett

So that raises a few a question since we are in the middle of another crisis, a crisis

that could end up much worse than the 2008 crash, where some companies already began

going bankrupt before the recession officially started.

What are the assets that will keep generating income not only during the crisis but even

If you are ready, give this video a thumbs up, and let's dive in.

When you think of bill gates, you think of a tech billionaire who is focused on developing

technologies that would revolutionize the world.

He became a billionaire in his thirties after finding Microsoft, one of the largest tech

You would never connect bill gates to farming.

However, last year, he aggressively began buying farmland.

He has amassed nearly 270,000 acres of farmland across the country, which means he owns more

Farmland doesn't sound as cool as a tech startup, but at the end of the day, you can't eat

your iPhones and MacBooks to satisfy your basic needs.

After successfully building the largest eCommerce platform, he has purchased 420K acres of land,

Your stocks or crypto can go down by 50 percent overnight because of an economic crisis, but

you will never wake up one morning finding out your farmland is worthless.

Americans make up just 5 percent of the world population but consume most of the world's

But now, the world is on the brink of a hanger.

According to IMF, The world economy is at risk of a food crisis as a result of unprecedented

supply disruption caused by the war in Ukraine.

Ukraine and Russia are some of the biggest exporters of grain which are halted as a result

of the conflict, which has caused a worldwide shortage of food.

So oil prices aren't the only source of global inflation.

What is certain about the future of humanity is that wars have always been part of human

history, and the demand for food will never go away as long as they are humans, which

is why billionaires across the globe, especially in the US, are aquiring farmland.

Royalties If you have watched shark tank, you are familiar

with royalty deals that are often thrown away by Kevin O'Leary.

Instead of asking for a bigger pie of the economy, Kevin O'Leary is known to go after

When you invest in a company, you become one of the shareholders.

It is in your best interest for the company to grow so that one day you eaither going

to sell your piece the pie and finally enjoy the fruits of your labour or the company will

finally get profitable and share the profits with you.

Uber is a 43 billion dollar company that is still bleeding cash.

Facebook, the largest social media company in the world, has never paid a dime in dividends.

But unlike equity, with a royalty deal, investors will always be on the winning side.

A royalty of 10% of sales on all products would mean that if a firm sells $1000 worth

of goods, they would have to pay $100 to the party they have a royalty deal with.

Even if the business is bleeding cash, the investor will still be making a profit as

Whenever a computer manufacturer sells a PC with the Windows operating system preloaded

on it, they pay a royalty fee to Microsoft.

There are different kinds of royalties, from intellectual properties such as patents to

franchise rights, that are often used by chain stores to leverage their products and services.

Royalties guarantee cash on the table regardless of the outcome of the business.

Holding bonds in the last 3 years was dumb.

Low-interest rates made bonds so unattractive that literally almost any other investment

Since the beginning of the pandemic, 10-year bond rates were less than 1 percent.