I read this article recently about a powerball winner who wanted to be the next billionaire. How you might say would he accomplish that through investing his money. After he won he had rounded up a group of financial advisers to give him ideas about where to invest to maximize his money. So I got to thinking if I used the same investment plan he had, with 10,000 dollars will I make 100,000 dollars. Here's how he's investing his money, and his story.
(Fortune Magazine) -- Brad Duke, 34, a manager for five Gold's Gym franchises in Idaho, pocketed a lump sum of $85 million after winning a $220 million Powerball jackpot in 2005. He spent the first month of his new life assembling a team of financial advisers. His goal: to use his winnings to become a billionaire. Here's what Duke has done with his money so far.
On the right side is the percentage of investment from the 85 million
1. $45 million: Safe, low-risk investments such as municipal bonds 53%
2. $35 million: Aggressive investments like oil and gas and real estate 41%
3. $1.3 million: A family foundation 1.5%
4. $63,000: A trip to Tahiti with 17 friends .0007%
5. $125,000: Mortgage retired on his 1,400-square-foot house .0014%
6. $18,000: Student-loan repayment .0002%
7. $65,000: New bicycles, including a $12,000 BMC road bike .0008%
8. $14,500: A used black VW Jetta .0002%
9. $12,000: Annual gift to each family member .0001%
So I broke down what Brad Dukes is investing in through percentages and using 10,000 dollars as a base for investments. I wanted to see what I can invest in and how much I have for leisure, car, vacation trip, gift to family. If he wants to use this system to become a billionaire, then I can use this system to make 100,000 dollars.
1. $5100 dollars in safe long term stocks like municipal bonds, mutual funds
2. $3900 high risk stocks oil, gas, real estate
3. $147 for family foundation
4. $7 to take a trip with family, friends
5. $14 for mortgage
6. $2 to pay back to student loan
7. $2 to buy a car
8. $1 to give to family
9. $8 for myself to buy whatever
so general is invest all you have use nothing for yourself and you can make it happen I think I can be a financial adviser. Brad of course has more money for leisure , friend , and family but it just shows if you want more then what you have you need to invest in real estate or stocks. Also quick note of how he said he won the lotto he has a lotto numbering system, if you want to learn more about that go to Fortune to read up on it.