Financial Freedom For Doctors

Fr*ee Video on Buy to Let Property Investment

Hi there, soon to be free doctors!

You may remember that I have invested in buy to let property?

The idea is that you buy one per year for five years, and then keep refinancing them, one per year, to release the equity.

While it is natural to be a bit wary of the mortgage situation right now, the 2 UK multi-millionaires - Andy Shaw and Greg Ballard, (who are the guys who are buying my buy to lets in the South East) have produced a 10 step to property investing DVD series.

As an introduction to that, and to remind us why now is actually THE BEST time to be investing in property (where previously we would try to pay 15% below market value, now it is possible to get way lower!), they are giving away their biggest wealth secret in a free video (which you can view online instantly).

This video is creating some very serious feedback, like this:

"This extraordinary video could be worth literally hundreds of thousands of pounds to anyone who watches it..." Robert Barrett - Success & Wealth Publications, April 12, 2008

I very strongly recommend you take a look at the video (better do it quick in case they decide to remove it) and see the reason *WHY* they are sharing this incredible information...

...I'll give you a clue: it has to do with a very ill 6 year old girl who has been "abandoned" by the government

I've watched the video myself, and can safely say that right now in these days of the economic crash and credit crunch, this video is truly amazing.

I have never seen wealth creation explained so easily, and appear so achievable for ANYONE.

Here's the link, take a look yourself: Click Here

Financially Free Doctor - Stockmarket

Hi there!

What have I learned this week on my journey to financial freedom?

Let's focus on the stock market.

Having done Marcus de Maria's course, I would like to stress that there are many, many techniques for making money on the Stock market. Just learn one or two, and stick to those - and stick to the rules!

This week I really learned of the power of the trailing stop loss. If you look at the Bigcharts site (http://bigcharts.marketwatch.com/advchart/frames/frames.asp?symb=hlys) and put in "pot" as the symbol or keyword (on interactive charts - these allow you to plot the support and resistance), you will see the amazing vertical rolling stock for Potash Corporation.

Using my virtual account on Options express (https://www.optionsxpress.eu/login.asp) I bought into these shares in March at $150.07 per share. They are now valued at $181.9.

Now to use the technique that I learned with Marcus (click on the link to Investment Mastery to find out more), you start setting a stop loss below the low of that period - in this case it started at $104.46. If I hadn't been moving the stop loss up with the share price every few days, then I could have lost all those gains if there was a sudden drop in the market. It could still happen, but I have just reset the stop loss at $178.53, so should  retain some of the gain.

With the technique that I have learned, we trade on the US stock market, where there is no stamp duty to pay. It is best to trade with a minimum of $2000 for each share, as each transaction carries with it a $14.95 fee (virtual money too at present)...

This trade has risen by $445.62 on an initial investment of $2100.98 - a ROI of 21.2% in 4 weeks! Beats the bank rates, doesn't it! This is an unusual stock though...

I'll tell you next week of my adventures with CORS - Corus Bankshares Inc - where I invested without following the rules! Just too keen to get practising (but I wouldn't have done so if it had not been a virtual account!).

Have fun with your investments! I am!

KR
Alison

7 Habits of Highly Effective People

Hi there!

I am working my way through the 7 Habits of Highly Effective People by Stephen Covey.

I have found a little gem - in Habit 3 - put First Things First.

"...you simply can't think efficiency with people. You think effectiveness with people and efficiency with things. I've tried to be efficient with a disagreeing or disagreeable person, and it simply doesn't work. I've tried to give ten minutes of "quality time" to a child or an employee to solve a problem, only to discover such "efficiency" creates new problems and seldom resolves the deepest concern."

It reminds me of a saying of one of my GP trainers - "the good doctor varies his or her consultation time"

I would say that with animals, too, you can't rush or be efficient, especially with healing.

Yet the Government seems hell-bent on getting us to squeeze more and more into a 10 minute consultation. Amazing that people used to try to consult in 5 minutes!

Now we have to introduce ourselves, work out the patient's ideas, concerns and expectations, take a history, examine the patient as appropriate, make a mental list of differential diagnoses, discuss the management options, allow the patient to choose... (these were pre-existing).

Now in the same appointment we have to chase up any QOF points that are lacking, do BP, ask them to come for blood tests, remind them about the smear or childhood vaccinations, get them to come in for their diabetic, asthma, stroke & epilepsy checks & blood tests, then if they need a referral wait for the Internet connection to work, discuss the options for where they wish to be referred (most would rather be seen at the closest hospital with public transport & good parking), and book them an appointment....Which they can't get at the local hospital that they want because everything has to be sorted in 18 weeks so the hospital can only open up that many appointments... Oh and we have to give them a glossy book about choosing, and a questionnaire that tells the government whether they remember the choice conversation and were given the book....

You can see why we GPs are feeling a tad overwhelmed...

The contract was supposed to lead to performance related pay being for evidence based work that improves patient care, not improves patient wants & government votes...

And that's only the half of it!

Now, time to get positive again -

On this lovely snowy day I am so lucky to live in the countryside, where I can help my kids build snowmen, then come in to a warm wood burning stove & watch the flames over a cup of tea...

Feel better already!

Whatever you are doing, stay positive, it will help you reach financial freedom!

Alison x

Compounding - or why I am not planning to buy the recommended added years to my NHS pension...

I just love compounding! It is an essential aid to helping us doctors reach financial freedom!

Einstein is quoted as saying that compounding is the 9th wonder of the world!

Unfortunately it works both ways - if you are in debt & paying interest, you pay more interest for every month that you are in debt.

But when you are in credit, and using, say, property or the stock market to invest (rather than a bank savings account or even ISA, where your interest rate does not keep up with inflation once you have paid your tax) - wow, the sky's your limit!

For example, knowing that, if I wished to take advantage of Added Years I needed to do so by the end of March 2008 (in view of changes to the NHS pension scheme), I got myself a quote.

I am expected to earn about £73.69 per week via my state pension. Not altogether sure if this includes the NHS superannuation scheme, which is the best available (not for long..). I have long wondered whether to buy the added years. Last time I had a quote I was going to need to pay in over £500 per month. That must have been while I was still full-time....

They are now suggesting that I pay in £310.55 per month. Of course, this is a great deal, with the Government (as employer) contributing, & reduced tax payable on the income...

But - if I invested with the stock market knowledge that I have obtained, with an appreciation value of 30% per annum (that is the low time-input method) - the gains are so much greater. After 15 years I would have £532,326

If on the other hand I used the more time-intensive method that I have been practising, giving a return of 3% per month or 36% per annum (and other students are achieving 4 or even 6% per month), then compounding would lead to my investment (£10 to start, then £310.55 per month) growing to £2,104,913 over 15 years. This estimate excludes tax & brokers fees, but I doubt that the NHS pension investments could better it...

See how much difference a few percent makes over time? THAT is the power of compounding...

Think it over!

Here's to financial free*dom!

Alison