I thought about going part-time in 2011. That was before I lost 1M, then another 1M. I even thought about leaving medicine in residency when I made my first 1M, and that is embarrassing when I think back on it. Maybe you have made it. Likely, setbacks are waiting for you. I think it is part of the education of an investor.
I also did not want to rain on a parade of well wishers. I want to wish all the best but one thing I learned.
- Put the money in Index funds and if the market goes down 75%, you lose only 75% and are left with the rest 25%.
- Invest in business and real estate. You are investing only 25-30% but carry the risk of the full 100%. Suddenly the easy money from the banks with only a 5-6% interest rate is not all that appealing, especially if that interest is front loaded. And they have a clause that if your business does not perform well or you don't pay the mortgage on time you are hit with higher interest rate on the loan, additional penalties or they can take the business away from you. Suddenly you lose everything.
It is easy to earn $1.4M quickly. It is just as easy to lose $1.4M quickly.
So don't ease up too much from the medical job, which not only pays you well but also helps fund these investments.
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