Differences between an investor and common man!

[Finestream]

Likely I said,investors take loan only if they want to make more profitable investments but others take loans to buy things which becomes again liability to us.So we are getting more expenses by taking those loans.

For those that are taking loan not for the purpose of investment, do you think that they are really happy taking such loan? Nobody will be in his clear state of mind to just take loan to buy liability, but they have no choice than to do that because that is the only way that they can pay for those liabilities that are very necessary which their salary alone would not be able to solve.

If someone can't able to lead their life with their salary they are not supposed to take loans to buy liability because it will add the interest rate so it just adding extra burden and making us to be poorer.

Admit it or not,most of us are spending more than the amount of our salary and this is the reason why we tend to be poorer and poorer.But for those investors they are able to control their money and put it into investments wherein they have all the chances to double or triple their capital after their investment had succeeded.

[Rooster101]

Many of the investors I met for the past several years have to take loan first before they start investing. Most of them lacked funds but determined to try their luck in business so they resorted to take a loan from the banks or from someone who can afford to loan them. Taking a loan to use in their investment are risky but many of their business are now profitable and they able to pay loan gradually. I think it is important to use a loan only when you are really sure on how to run the business that you planning to invest.

[maxreish]

A great investor chooses assets than liabilities. They will put considerations about the future returns. For example, an investor will buy a car to use in a business or buy an apartment to be rented. Know the risks of investments and decide wisely.

Meanwhile, a common man will choose liabilities instead. Taking loans, buy things that will not gonna benefit him in return. Know the risks but hastily decisions were made.

[ethereumhunter]

The main difference is the financial education and how a person works and handles money. Common man views money as a spending potential while an investor sees it as growth potential. If we talk about the majority, not everyone is like that

We see common people are not investing in anything because they use the money to buy what they need. But if they can think about their future, I am sure that they want to split the income that they get and then they can use it to buy the investment. Many people don't know about the real reason why the investor still invest their money in many things because they don't have much information about the investment and they still busy to search more money from another source.

[sana54210]

I think putting money in work so that your money could work and make you more money is the biggest difference.

Common man works himself and makes money with his work, investor puts his money to work and makes more money thanks to it, that means the more money you have the less you have to work, of course its not going to be instant but that is the roadmap.

You start off with whatever amount you have, you keep working on your regular job to keep making money but eventually you put aside lets say 50 bucks (the smallest I can think of) and then that makes you like maybe 1-2 dollars a year, then you save up more and put another 50 bucks and that makes you another 1-2 dollars a year too, as you can see its too small to realize or even care, as long as no emergency required you keep doing that for a long time and eventually you will have thousands of dollars in some investment that gives you enough to never work again.

[Schirer]

What are the things differ from mindset of common man with investor,please share your thoughts.

IMO,investors never want to take loans for their consumption like home loan,car loan,etc then just save money and will buy the things for their needs but common man like you and me will buy the things immediately when we get the desire of it using loans but we are paying 20% of interest to those kind of loans.

taking loans vs not taking loans is not the difference between investor and everyday Joe.
There are many stupid people who take those small loans and then get trapped for very long time periods,just because they want a new phone or shoes.

Also investors do take loan and many ! The whole stock market is based on those who take loans and then invest in stocks, this is why stocks are strongly correlated to FED interest rates.

[bitbunnny]

All investors were common men once, don't forget that. It's the moment when you decide to take the step further that decides.
People that want to become investors need to have good feeling for risk, ability to think quick and with cool head and make quick and bold decisions. Also to be able to recover fast and get on the feet again after a loss or bad investment. These are some characteristics that differ investor from a common man.

[Janation]

The common man splurges too much and doesn't think long term. The investor tries to make financial decisions based on increasing his money over the future.

Not all of them though.

There are a lot of people out there that is not even an investor but they know a lot of things they should do and not should do. To be honest, I don't even know what is the requirements or a classification of a person to achieve that kind of being an investor, can anyone explain that?

If you want to be a successful investor you need to know how to make your money work for you,not just you are working and making money.Got the difference?

I am asking what is the classification, not what an investor aims.

There are a lot of things an investor can be and they are not always running their money, they are also using their time, their knowledge, their experience to invest. A teacher can invest his or her knowledge to his or her students for their better future, a person can invest their time to know something out of reading or maybe listening to someone. There are a lot of investors we are talking that is why I am asking what kind of an investor we are talking since all of them can fit into one. Confusing? Yes.

[RealMalatesta]

The biggest difference is investor usually is the man who has enough money to put aside and invest into something whereas common man never has enough money to survive. I don't know how that is the case and if some people are really not making enough to live with the income they have but in the end they are not really making enough to live maybe because they do not have enough salary to live or maybe they spend more than they should on stuff they should not spend money on.

Whatever the case for the common man they are not putting any money aside for the future hence they will always have to work, as long as they keep working they are usually fine and may have bad days or good days but in the end they will never be rich however investor man will have a high chance of making a ton of money.

[pratik009]

What are the things differ from mindset of common man with investor,please share your thoughts.

IMO,investors never want to take loans for their consumption like home loan,car loan,etc then just save money and will buy the things for their needs but common man like you and me will buy the things immediately when we get the desire of it using loans but we are paying 20% of interest to those kind of loans.

The main difference between investors and common man is only there mindsets. Investors all time think about how can they make money and common man don't. The common man usually try to spend there income instead of invest it and investors invest in any real estate or other places and make it double or more and enjoy profits.

[breathlessz]

What are the things differ from mindset of common man with investor,please share your thoughts.

IMO,investors never want to take loans for their consumption like home loan,car loan,etc then just save money and will buy the things for their needs but common man like you and me will buy the things immediately when we get the desire of it using loans but we are paying 20% of interest to those kind of loans.

The main difference between investors and common man is only there mindsets. Investors all time think about how can they make money and common man don't. The common man usually try to spend there income instead of invest it and investors invest in any real estate or other places and make it double or more and enjoy profits.

besides that investors do not like to save or save fiat money, they prefer to place their assets in investation, while the general public will feel proud if they have savings with a lot of balance in the bank

[mersal]

What are the things differ from mindset of common man with investor,please share your thoughts.

IMO,investors never want to take loans for their consumption like home loan,car loan,etc then just save money and will buy the things for their needs but common man like you and me will buy the things immediately when we get the desire of it using loans but we are paying 20% of interest to those kind of loans.

The main difference between investors and common man is only there mindsets. Investors all time think about how can they make money and common man don't. The common man usually try to spend there income instead of invest it and investors invest in any real estate or other places and make it double or more and enjoy profits.

besides that investors do not like to save or save fiat money, they prefer to place their assets in investation, while the general public will feel proud if they have savings with a lot of balance in the bank

Because they found that real value of Fiat money e will not be stable when you are holding it only way to make more money is by just making return of your investment that can be done by lot of waste but never think depositing your money in the bank will give profit to you because the inflation rate will kill the interest from Bank.

[barbara44]

The main difference between investors and common man is only there mindsets. Investors all time think about how can they make money and common man don't. The common man usually try to spend there income instead of invest it and investors invest in any real estate or other places and make it double or more and enjoy profits.

There is no man that would not think of how to make money in this life, you have to understand that there is still a difference between a common man and a lazy man, we have so many common men that are very hardworking, they can work to get paid, but they just don’t have the zeal for investment.

Let us just see it this way that most investors have business drive while a common man does not have business drive, and aside business drive, they don’t go or do things that will expose them to investment, but they would rather prefer to sit in that office where they will just be paying them salary at the end of the month, so I think common man too will always think of money, but how to spend the money with them rather than multiplying it is what they are always thinking.

[Reid]

Then I am also part of being an investors.
I never did want to loan even with just a small percentage of interest.

It is an addictive method and a lot are brought down by it. It will be better to just save money and pay it full in cash basis which is perfect since you will have any problem afterwards.
With loans being there, only those who own the loaning company will be making profit while you are paying them interest which should have been added to profit but not.

[1Referee]

With loans being there, only those who own the loaning company will be making profit while you are paying them interest which should have been added to profit but not.

Even that isn't a guarantee. Currently with so much debt circulating in the financial market, it's literally a matter of time before it implodes in the face of the issuers of the debt.

The smartest and most manipulative financial institutions will be able to hedge against this and sell a large portion of their debt to other (financial) institutions, but there will always be more victims than winners when everything comes down at the same time. Profits are privatized but the losses are socialized. The tax payer will be forced to pay for this mess. Very clever.  

[yoseph]

Then I am also part of being an investors.
I never did want to loan even with just a small percentage of interest.

It is an addictive method and a lot are brought down by it. It will be better to just save money and pay it full in cash basis which is perfect since you will have any problem afterwards.
With loans being there, only those who own the loaning company will be making profit while you are paying them interest which should have been added to profit but not.

Once you take your first loan, you will end up sometimes paying the interests accrued on the initial principle for a long time because everytime you default,  they rise the rates once again. It's better to save up no matter how long it takes than to take a loan and pay interests which really sucks.

[guoyu78]

Then I am also part of being an investors.
I never did want to loan even with just a small percentage of interest.

It is an addictive method and a lot are brought down by it. It will be better to just save money and pay it full in cash basis which is perfect since you will have any problem afterwards.
With loans being there, only those who own the loaning company will be making profit while you are paying them interest which should have been added to profit but not.

Taking loan does not stop you from being an investor, I recently was opportune to take a loan of $10,000 to be paid within 3 years with an interest rate of 5%,  the purpose of taking this loan is not to buy TV in my house, or even take part of it to feed myself, but the reason why I took that loan is strictly to establish business, and sometime if you don’t take that step, you may never move forward if you are to bank the establishment of such business on savings.

If you consider the income you get and how long it would take you to be able to raise such amount of money with the bug responsibilities at hand, you may never be able to raise it at all, so in this case you take the loan to invest which makes you investors already and not a common man.

[BITDV]

Just like you said investor mindset not think to buy something using loan for common lifestyle, they buy only when they need. They buy something that return value in the futures. Investor also not influenced by trend when an investor want to invest to something they will learn and research about that. Investing using loan is bad option for investor, except investing on land or gold.

[mersal]

Then I am also part of being an investors.
I never did want to loan even with just a small percentage of interest.

It is an addictive method and a lot are brought down by it. It will be better to just save money and pay it full in cash basis which is perfect since you will have any problem afterwards.
With loans being there, only those who own the loaning company will be making profit while you are paying them interest which should have been added to profit but not.

The fact is investors take loans to invest but not taking any loans to be considered as conservative habit from putting our future into any kind of financial risks.

Loaning company literally called as banks that is why we call them that they are making money out of thin air.

Take loans only if the ROI from the investments will be more than the interest rate need to be paid for the banks.

[Oilacris]

Then I am also part of being an investors.
I never did want to loan even with just a small percentage of interest.

It is an addictive method and a lot are brought down by it. It will be better to just save money and pay it full in cash basis which is perfect since you will have any problem afterwards.
With loans being there, only those who own the loaning company will be making profit while you are paying them interest which should have been added to profit but not.

Once you take your first loan, you will end up sometimes paying the interests accrued on the initial principle for a long time because everytime you default,  they rise the rates once again. It's better to save up no matter how long it takes than to take a loan and pay interests which really sucks.

But there are instances which you wont really have any choice but to get some loan just for you to make investment.
Saving up for long term will just waste up your time specially if you do see some good opportunity to make profits.
For sure you will consider on taking the risk because you do see some possible profitability.