Accumulate Assets And Avoid Liabilities: Best Assets To Buy

Anything that appreciates (value increases) over some time is considered an Asset. Anything that depreciates (decreases in value) over some time is considered a Liability.

Why Accumulate Assets And Avoid Liabilities?

When you start and don’t have any money, I highly recommend improving human capital. Your human capital would be your best asset to leverage to achieve financial freedom.

Since assets increase in value over time, they either appreciate or provide continuous cash flow. Invest the generated cash flow to buy more income generating assets.

Best Assets To Buy

When you consider investments, there are several assets to invest in. Each asset has some pros and cons.

While we may not agree with everything he says, there are nine decades of wisdom buried in Warren Buffett’s quotes.

How To Buy Assets

Real estate assets in the form of a primary home or rental properties are available to everyone depending on your creditworthiness.

Commodities are widely traded on most exchanges. Do not fall into the trap of using underlying ETFs to buy commodities if you do not understand the ETF structure.

Ranking Best Passive Income Producing Assets

Each asset is scored on all these individual areas in a range of 1 to 10 with 10 being the highest to determine the best income producing asset. So a rating of 10 for risk means that the asset is riskiest.

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