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INVESTING FOR THE FUTURE. Scripture abounds with examples of successful people who began with very limited resources & accomplished great things through intelligent & disciplined investment . God loves to see the multiplication. Zech 4:10. Job 8:7. WHY INVEST?.
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Scripture abounds with examples of successful people who began with very limited resources & accomplished great things through intelligent & disciplined investment. God loves to see the multiplication. Zech 4:10 Job 8:7
WHY INVEST? • Multiply to give more • Luke 19:12-26 Biblical reasons to invest: • Meet future family needs • Prov 6:6-8 • Prov 21:20 • Further the Gospel & fund special needs • 1 Cor 16:1-2
3 IMPORTANT BIBLICAL PRINCIPLES FOR INVESTMENT • 1 • SURETY • To take on a contingent liability e.g. by co-signing for the debts of another person • Prov 17:18; Prov 20:16 2 RISK The greater the potential return, the greater the potential risk Prov 21:5; Prov 27:12 3 DIVERSIFICATION There are no sure things; diversification is essential to long-term stability Ecclesiastes 11:2
WRONG REASONS FOR INVESTING Slothfulness Prov 20:4 Greed The game of it Prov 16:2 Prov 28:6 Mat 5:29-30 Ego Prov 29:23
RISK & RETURN Don’t make quick decisions Ps 37:7 Don’t get involved with things you don’t understand Prov 24:3-4 1. GET RICH QUICK Prov 23:4-5 Don’t risk money you can’t afford to loose Ecc 5:14 2. DONT WAIT TOO LONG
3 EXCESSIVE RISK THROUGH IGNORANCE PROV 13:15 There is no honor in ignorance, provided you don’t choose to display it.
THE GOOD, THE BAD & THE UGLY PROV 18:15 “The mind of the prudent acquires knowledge, and the ear of the wise seeks knowledge” WORST INVESTMENTS 1 Commodities speculation 2 Precious metals 3 Gemstones 4 Coins
BEST INVESTMENTS 1. A home 2. Rental Properties 3. Mutual Funds / Unit Trusts 4. Insurance Products 5. Government Bonds
INVESTMENT “TIPS” FOR BEGINNERS 1 Buy quality 2 Diversify 3 Buy systematically 4 Use professional advice 5 Buy for the long term 6 Don’t fall in love with your stock 7 Keep your perspective There is an immense difference between investing, speculating & gambling
FINAL NOTE Proceed Positively Plan Purposefully Pursue Persistently Prepare Prayerfully