Human Capital in Personal Finance
Publisher Description
We take personal financial decisions based on what we perceive as our assets and liabilities are. Young people who did not inherit much financial assets, often fall in the trap of a conservative mindset thinking that they do not have enough assets to take financial risks. This is faulty thinking given that the most valuable asset young people generally have is their ability to earn, i.e. dividends from their skills will constitute the largest cash-flows in their future. This is why financial thinking must incorporate the earning ability a.k.a. Human Capital as an asset. Doing this enables us to maintain and grow the biggest asset we have along with taking prudent financial decisions.
More Books Like This
The Necessity of Finance: An Overview of the Science of Management of Wealth for an Individual, a Group, or an Organization
2020
The Top 10 Things You Must Know to Guide Your Financial Decisions
2010
Mastering the Art of Managing Money
2011
Wealth
2018
Family Inc.
2016
Finance and Investing for the Long Run: Investing for Young Adults to Make the Most of Their Money
2022