BEING RICH BUT NOT RICH ENOUGH – My memory eludes me as to where I heard it but someone once said that for every multimillionaire there was a frustrated billionaire screaming to get out.
For most of us the chance of using a private jet as a mode of transport or the luxury of taking a cruise on a super yacht is but a dream.
Yes I know there are those who think such things are grossly offensive considering world poverty and that some simply have more money than they will ever need; but at what point would you be satisfied?
Being a millionaire is a bit cheap these days; especially when the world now considers someone wealthy if their fortunes run into billions.
I can remember a time when a very nice home could be purchased in London for a mere £5,000. Of course going back then the average weekly wage was £32.00 and you could by a brand new Mini for £600.00; so £5,000 was actually a vast sum of money.
The world has changed and along with it the cost of living. In the 1970’s having a million pounds in the bank was considered ultra rich but today a million pounds wouldn’t buy you an up market pad in Central London.
A study was recently undertaken by the investment bank UBS which revealed that less than 30 per cent of those people worth between $1 to $5 million felt they were rich but 60 percent of those with fortunes over $5 million did feel that they were indeed wealthy.
People often assume that those with money have an easy life; and it would appear to be the case on the surface with fancy cars, private jets and being able to travel whenever it suited them.
One of the underlying issues with anyone who has money is actually keeping hold of it. It really doesn’t matter what income scale you happen to be on we can all acknowledge that money is easy to burn through if not managed properly.
Rich people, regardless of nationality, are always targeted by people in need. There are many very wealthy people who give but it remains a very careful balancing act so as to ensure there is enough to give whilst retaining a lifestyle they are comfortable with.
It never ceases to amaze me the amount of ridicule rich people get just because they are wealthy. A recent study suggested that those who create wealth through business are less likely to face ridicule for their wealth whilst those who win or inherit money are often targeted as simply being lucky; there appears an awful lot of jealously is involved as if but for some cosmic event it could have been them.
I’ve talked about envying the wealthy before; especially the envy that revolves around lottery winners. With the myriad of articles written about lottery winners it never ceases to surprise me that some quarters will always resort to envious rants at the winners.
Winning the lottery is of course blind luck and who are we to berate anyone for that luck; after all most people I know bet on that luck each week.
Let’s go back to the question… “How much would it take to make you wealthy?” I think most of us have a figure in mind. For me it’s £15 million. This sum of money would allow me to invest and provide for charitable funds without having to touch the principle.
Think about why some millionaires with fortunes below five million dollars feel they are not wealthy. I think if you examined this closely it would be because the returns on such a sum wouldn’t really provide a very high annual income; such is the way when interest rates are very low.
Investing money is a risky business and therefore any investment has to create as little risk as possible; if an investor continuously lost money it wouldn’t take long before they burned through their principal capital.
Now £15 million is a vast some of money; well it is for a working guy like myself. In real terms however such a sum wouldn’t allow me to use private jets or jump on a super yacht; however it would allow for a reasonably comfortable living and knowing there would be some left over to help others.
What exactly is wealth? If a homeless person is given £20 by a passer-by in which increases his or her wealth by 100 per cent then surely they are wealthy?
My mum once told me that a man without a pound note in his pocket is a man simply looking for an opportunity whereas a man with ten pounds in his pocket found and grasped that opportunity.
Wealth is all about perspective but according to some studies wealth can be measured as when you have sufficient liquidity that there are no financial constraints on activities.
I disagree with that statement for the fact that even the richest man in the world, Mr. Bill Gates, Chairman of Microsoft, couldn’t afford the Crown Jewels and therefore there will always be some constraints regardless to the wealth an individual accumulates.
Whilst I don’t do the lottery; I just don’t like the odds, I do dream of being wealthy. My worst fear of having wealth is that of falling into the so-called ‘Jone’s Trap’. You’ve heard the expression of ‘keeping up with the Jone’s’ and it’s no different with extremely wealthy people; in fact I would venture to say the competition is increased exponentially.
Take someone like Roman Abramovich, a multibillionaire with no less than five super yachts. Each yacht purchased was bigger than the last and all in an effort to stay on top of the ‘Jone’s Trap’.
Recently it was announced that a Middle Eastern buyer commissioned The Azzam, a super yacht at a staggering 590ft long. This dwarfs anything that Roman Abramovich has but it has already been reported that he is secretly having another one built that will no doubt be larger.
Yes it appears it’s all about size; well boys will be boys.
The truth is that having $5 million in the bank is not actually a vast amount of money. There is a huge array of homes worldwide that cost ten times this amount. The Azzam is reported to come in at $400 million and a private jet can set you back tens of millions and that’s even before you considered using it and having it maintained.
Wealth, what is it and how much do you have to have before you are considered wealthy? The answer to that question really comes down to the individual and of course the lifestyle they would like to live.
When I was a boy I’d never heard of a billionaire. The term back then for very wealthy people was either millionaire or multimillion. As the years moved on the term mega millionaire and multi-mega millionaire become better known.
Today we have billionaires and multibillionaires in abundance and it seems every kid with a computer is an internet billionaire.
I wonder now how many years it will be before we hear the term trillionaire? I suspect it won’t be that long but regardless to the wealth people are able to create there will always be those who want more.
Does it bother you that some people are wealthy? What would be your ideal amount of wealth? Please leave your comments below.