Here's How The Rich Invest Their Money

This video looks at how rich people invest by looking at data from Vanguard in the US and here in the UK from different studies. I look at what kinds of assets they invest in and if we can learn anything as normal investors. Do rich people invest in exotic and risky assets and is that how they got rich, or is there something else that we are missing that we might never be able to achieve?

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[barbarar]

I think there is also a big difference between old and new money and how the wealth was generated to begin with.
I think the key to becoming wealthy is via a business. Investing in mutual funds and pensions is to make sure you continue to stay wealthy.
Curious about the people at the bottom. If tomorrow I bought a house most of it would still be owned by the bank. How would I rank?

[ChrisShawUK]

Time is the biggest asset that most people squander. You really only have 5 chances from age 25 to embark upon a low risk 30 year investment journey towards financial independence.

After that, it's certainly possible but gets harder the longer you leave it

[sumitsagaonkar]

Thank You very much for this excellent educational video. By the way, what is your trading set up that I see in the background of your video? (CPU configuration).

[LiamR]

Dave Ramsey did the largest study of millionaires in America. They play it smart and play it safe. Most millionaires have a paid for home and a healthy retirement fund.

[pyug]

Great research & presentation. Thanks.

[wtftequila]

Fantastic interesting video. Thank you for this concise breakdown 😊

[LB-sjli]

Very good breakdown of how people at different levels of wealth invest and parse their assets. It is also encouraging that those of us who start early and have a realistic plan will wind up comfortable and maybe even rich by steady investing in broad index funds. Excellent advice.

[russellpetrie]

so a little cash big etf and a few individaul stocks even a slow on the uptake person should get that right

[superslip]

Another Banger Toby. Best personal finance channel on YouTube

[akn]

How does the report handle businesses that contain real estate or stocks? I assume wealthy people will shelter assets in LLC or businesses to reduce their taxable income.

[samhemmati]

Thanks Tony. Very useful. Not interested to become rich/super rich etc. I’m just keen to be financially comfortable, support my family, get my kids on the property ladder and enjoy my retirement when it arrives. I guess, the good old consistent diversified investment is way forward. Cheers

[jonathanhowson]

If you are using Vanguard as an example, then you cant actually buy individual stocks like Tesla, so of course they are going to be invested in the Vanguard portfolios, because they are the only options. You should have used HL or similar as an example where investing large sums in individual stocks is actually possible.

[vinay]

Interesting video and interesting comments too! I’d have guessed the super rich would’ve had more in bonds than in equities; logic being that 3% of 10 million is 300k - plenty of money to fund a lavish lifestyle but 3% of 100k is only 3000!

[knowledgeseeker]

Bro simply brilliant video. Your contents are amazing and very inspiring for me. I can’t wait for next one ❤️👍

[stuartdonald]

Interesting video. I did a spreadsheet some time ago to see what assets and liabilities my wife and I have. It did not include her pension, our house represented 60% Investments 20%

I often wonder how some, likely not to be in as strong financial situation afford the nice cars etc I do believe it is debt. So for that reason it does not impress me that they have a nice car but the nice car will impress, if that makes sense?

Most of my clothes come from a supermarket. Liking expensive stuff can make you poor very quicky especially if funded on credit cards.

I am happy on the capital side of my money but I still think I am low on income hence dividend investing.

[LewisHorsley]

Greta video Toby! I’m still torn between investing lump sums into my S&S ISA or get my first BTL 🤔

[yousuf]

What’s the best platform/app to buy American stocks for someone living in the UK?

[daniswelt]

Thank you for the video.
The interpretion of the picture at 7:56 may be misleading, though. If you only have $10K, but you need a car, even the cheapest car will take a big part of your budget. When you have $1B, even several very costly cars are only a narrow line in the diagramm. It is even worse... many of the billionaires do not own any cars, but get them as a service from some of the businesses they own.
But, even for the $10K people, the question is how you can spare and invest at least 20% of your income.

[IvanCapitani]

Which investing platform would you suggest for European residents?

[carlyndolphin]

I’m a British citizen with a net worth of around £4.2m

I’m invested in the following

1. Residential property
2. Commercial property
3. VWRL and VUSA
4. I own a company.