Financial Freedom Series: The 10-20-70 Principle (Part 4)

Welcome back to our Financial Freedom Series, where we’re looking into God’s Blueprint for Building Wealth and Managing Your Money Well!

We dive into biblical principles and cutting-edge money management wisdom to help you…

• Honor God with your money
• Build wealth
• Shrink your debt
• And build toward financial freedom

“But remember the LORD your God, for it is he who gives you the ability to produce  wealth.” (Deuteronomy 8:18) 

“Good planning and hard work lead to prosperity, but hasty shortcuts lead to poverty.” (Proverbs 21:5) 

“I will guide you along the best pathway for your life. I will advise you and watch over you.” (Psalm 32:8) 

“The wise man saves for the future, but the foolish man spends whatever he gets.”  (Proverbs 21:20) 

“The rich rules over the poor, and the borrower is the slave of the lender.” (Proverbs  22:7) 

“But blessed are those who trust in the Lord and have made the Lord their hope and confidence. They are like trees planted along a riverbank, with roots that reach deep into the water. Such trees are not bothered by the heat or worried by long months of drought. Their leaves stay green, and they never stop producing fruit.” (Jeremiah 17:7-8) 

“Hope deferred makes the heart sick, but a dream fulfilled is a tree of life.” (Proverbs 13:12) 

It is your time to dare to dream. 
It is time to reset your goals. 
It is time to rekindle your passion. 
It is time to aim high. 
It is time to attempt great things with God. 
It is time to live on purpose. 
It is time to reignite your vision. 
It is time to be fruitful. 
It is time to get positioned for God to 
catapult you into your destiny. 

Your best days are ahead of you.

Today, I want to encourage you to MANAGE YOUR MONEY LIKE A PRO. 

To manage your money like a pro, you need to…

• Wipe out your debt
• Dare to dream and have goals and a vision for the future
• Get your priorities in order
• Create a financial plan that you can stick to in order to build toward financial freedom

If you want to manage your money well, you need to know where your hard-earned money is going. A good starting point is to create a budget.

“Good planning and hard work lead to prosperity, but hasty shortcuts lead to poverty.” (Proverbs 21:5)

The 10:20:70 Principle in a Nutshell…

Managing your money like a PRO consists of three simple steps…

Two weeks ago, we looked at the 10% component of the 10-20-70 PRINCIPLE and encouraged you to put God first and give him your best.

Last week, we looked at the 20% component of the 10-20-70 PRINCIPLE and encouraged you to save and invest.

Today, I want to examine the 20% component of the 10-20-70 principle and a few investment principles you need to consider when building your Wealth Portfolio.

Markets Go Through Cycles

Markets can be volatile. They can do through times of peaks and troughs, hills and valleys. 

It is important to get advice. 

Stick to your long-term strategy.

Understand Your Options

Make sure that your investment portfolio is aligned with your unique objectives.

• Set short-term savings in cash investments that are available and accessible.
• Invest your long-term investments in a well-diversified growth portfolio that can generate wealth over the long term. Try not to draw your long-term investments. Give them time to benefit from compound growth over time.

A deeper look into equities…

Equities can be volatile over the short term, but they give you the potential to generate good growth over time.

Diversification

Don’t keep all your eggs in one basket.

If you put all your eggs in one basket and trip and fall, you may be left in a broken mess with nothing but shattered dreams. It is, therefore, essential that you spread your risk. 

We will look into various diversification strategies in the weeks to follow.

Get Advice

It is vital to get your financial priorities in the correct order. 

Put God first. Save before you spend and live on the rest.

In the coming weeks, we will examine various investment strategies and principles aligned with the Word of God that you can apply to help you grow your money using God’s wisdom. 

By sticking to a 10-20-70 PRINCIPLE…

• You will be honoring God
• You will build up a cash reserve
• Over time, you will build up a Wealth Portfolio to help you attain financial freedom

I encourage you to MANAGE YOUR MONEY LIKE A PRO.