From King Solomon (Part One)

 

King Solomon, the son of King David and Queen Bathsheba, is known as the richest and wisest man to ever walk the face of the earth!  He had wisdom in abundance, as well as plentiful gold and silver.  He was a righteous man who The Lord told He would endow him with riches, honour and wisdom.

 

The Queen of Sheba noted that everything his hands touched prospered. “And she said to the king: 'It was a true report that I heard in mine own land of thine acts, and of thy wisdom. 

How be it I believed not their words, until I came, and mine eyes had seen it; and, behold, the half of the greatness of thy wisdom was not told me; thou exceedest the fame that I heard.” 2 Chronicles 9, 5 – 6.

 

However like us all, he was fallible to the temptations of sin, and as such he made many mistakes and had many failures. In doing so, he left behind many useful lessons for us to learn from, regarding wisdom and riches; amongst other themes. Some of which are well documented in the Bible, specifically in the books of Ecclesiastes and Proverbs.  I will be touching on some of these lessons - financial wisdom, three in total: Diversification, Ethical Investing and Good Counsel, in three parts.

 

Part One: Diversification

King Solomon wrote, “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth” (Ecclesiastes 11:2).

 

We are presently in the worst recession since the last World War, with unemployment continuously rising, to date. Some of us were not wise enough to see this coming as the UK/world economy seemed to be doing well and we were living off the fat of the land!  For those who did see it coming, and with diversification a part of their financial portfolio, even though they have been burnt by the recession, by diversifying they have had a cushion to fall back on, as well as an asset to build back up from.

 

Financial education is the education most of us weren’t taught at school but is an important part of our day to day life; as such the term ‘diversification’ in this context may not be one you are too familiar with.  Because of this it is important to note that the term does not solely pertain to the world of investments but, also to the various ways one can earn an income.

 

Many of us are guilty of relaying totally on a J.O.B (just over broke); a job many of us would be happy to give up if it weren’t for the continuous monthly bills and never ending debt.  Nevertheless, with the announcement of council jobs being cut – the one area of the job market most people thought were safe -, today is the day we need to look at ways of multiplying our income streams; of getting creative so that we not only have a Plan B but a Plan C and D, if necessary! 

 

We all have different and unique God-given skills and interests that could possibly bring in another income; be it hosting a restaurant in your home; taking in ironing; offering a sewing/tailoring service; the potential is endless if one just thinks about it.  Why not sit down with a friend or family member and get master-minding! 

 

In regards to diversification in the world of investment it is critical, regardless of your age, income level, time frame, or personality, that you divide your wealth (investment capital) into as many parts as possible, so as not to risk it all in one place.  As your savings grow, your diversity should also grow. This, of course, does not guarantee success, but obviously reduces the risks. Invest in different types of investments and funds: bonds, domestic and foreign stocks, property; as well as different sizes. Remembering also, that investing is an activity for all, and not simply for the rich or the well off; just as well as it is never too late to get financially educated and more literate in how money works, how to make it work harder and even how to make more money!!

 

F& C Investment (http://www.fandc.com/new/aboutus) is a company I work with in my financial education and wealth creation business: Butterfly Wealth Creation; and as such I recommend them for a number of reasons, one being that they are a well established investment company, as well as because of their accessibility to all; they have investments starting from £25 a month. 

 

For further information on the above or a consultation on how to make your money work harder please get in touch with me on 07733055416 or via my main financial education blog – Becoming Financially Savvy (http://BecomingFinanciallySavvy.com) – to arrange a complimentary financial game plan to ascertain your financial situation and, potentially a budget to start a monthly investment programme.

P.S.  A great resource on King Solomon and his wisdom on wealth is the book: The Richest Man Who Ever Lived: King Solomon's Secrets to Success, Wealth, and Happiness. Click here (http://astore.amazon.co.uk/buttewealtcre-21/detail/0385516665) to purchase a copy 

 

 

(Please note I am not a financial advisor but a FSA registered independent representative with the company Genistar.)

 

God Bless! And to Your Financial Success,

Lavinia Osbourne

Financial Educator & Internet Network Marketer

Butterfly Wealth Creation - A Financial Education and Wealth Creation company