In a recent broadcast of Mad Money, Jim Cramer did an analysis of several retailers who cater to the affluent. One of these was Tiffany’s. Jim indicated that the company’s stock price, of course, was highly correlated with its sales and ultimately its profits. Further, he proposed that the performance of this upscale retailer is highly correlated with profits and […]
Status Symbols: John Deere versus Tiffany’s Read More »
At least once a day I read or hear journalists make statements, predictions and/or conclusions which are not supported by objective statistics. I’m not suggesting that journalists be prevented from practicing their trade without having the designation of “certified professional journalist (CPJ). But I would feel a lot more confident in judging the accuracy of a
Accreditation for Journalists? Read More »
Most professions in this country certify their members. After rigorous training, for example, accountants who wish to qualify as being “certified,” must pass the CPA exam. Lawyers who practice law are required to pass the bar exam. And so on. But there are two professions that require no certification: politicians and journalists, both of whom
Political Leaders Need to be “Certified” Read More »
In The Millionaire Next Door I quoted the words of a corporate sales professional, a millionaire whom I interviewed. He like other self made millionaires said that he had a “go to hell fund. . . just in case my employer suggests (insists) that I leave Austin for corporate headquarters in Rottenchester.” He never had to leave Austin and
Build Wealth to Control Your Own Destiny Read More »
For today only I am going to suspend the rules concerning wealth and income. I have repeatedly stated that wealth is not income and income is not wealth. Wealth is how much you accumulate. It is the net of your assets less your liabilities. Income is what you report on your personal income tax return. For
Income/Net worth-Inherited wealth Read More »
In Stop Acting Rich, I mentioned that many farmers are wealthy because they adhere to the basic rule for building wealth: whatever your income is, live below your means. In spite of being an affluent segment, it receives very little press coverage. I also briefly profiled a company that was one of my first clients in the
Marketing to the Affluent in Small Towns Read More »
Mrs. Lang, my first Sunday school teacher, often said: You should always do your best. Everything you do in this life is recorded in a big book. . . . and some day in the next life you will be judged on how you behaved on this earth. And success often goes to those
The Benefit of an Open Book Policy Read More »
The head of private banking for a large financial institution in New York shared an interesting case study with me. An attorney from small town America referred a very wealthy client couple to this banker. The couple wanted to establish a banking relationship with an out of state institution. Like many wealthy people who live in small towns,
The Family with the Most Millionaires Read More »
Over time the facts and words found in The Millionaire Next Door sometimes get twisted. It is a myth that most millionaire next door types only buy used cars. In fact, for every one millionaire that is used vehicle prone there are two who tend to buy new vehicles. Yet I am often asked why I devoted so much
Millionaire Next Door Myth #4: Used Cars Read More »
News stories and editorials which define the rich as “evil” greatly outnumber those which tell the other side of the story. Even those newspaper stories that do mention the good deeds done by the rich are rarely on the front page. As an example, consider the following newspaper [print version] headline: As a Disease-Fighting Fund Struggles, Bill
Billionaire’s Big Donation Receives Small Press Coverage Read More »