Transcript for:
Wealth Creation Strategies Overview

Let's face it, okay? There are a gazillion ways to make money, my friend, but only a handful of them are guaranteed to actually make you rich. So, today we're doing a full deep dive into five proven methods of wealth creation. Literally, thousands of people have become millionaires and even billionaires from applying these because they really work. If you manage to get even one of these methods right, trust me, okay? You'll never have to worry about money for the rest of your life. So, let's get started, shall we? Welcome to Alux, the place where future billionaires come to get inspired. All right, so the first method of wealth creation is investing in stocks. But before we get into it, you need to know that these methods are only guaranteed to make you rich if you do them right. And to show you why, did you know that around 62% of Americans invest in stocks? And if you look at the S&P 500, it's nearly doubled in the last 5 years. So you would think that everybody's getting rich, right? Well, no. Unfortunately, not. Wall Street has a little nickname for most Americans. They call them capital donors because 75% of regular people actually lose money investing in stocks, which just ends up making rich people richer. In reality, the wealthiest 10% of Americans own nearly 90% of the entire stock market. So clearly, there's a massive difference between how regular people invest and how rich people invest. for you to actually get rich with stocks, you need to understand this. All right, so let's start off with how regular people invest in stocks because in order to understand why the wealthiest 10% of Americans are so successful at investing, you need to get a grasp at how investing looks at every level of wealth. So, like we mentioned, around 75% of retail investors who are just regular people buying and selling stocks by themselves actually end up losing money in the long run. This is because they think they can outsmart the market. But, as they almost inevitably find out, you can try to pick your stocks, time your trades, and get ahead of trends by trusting random people on Reddit. But picking stocks isn't as easy as it looks. The truth is, most retail investors buy high when everyone's hyped and sell low when the panic finally sets in. That's why Wall Street bros call regular people capital donors. Over time, they basically just end up donating their money to the professionals on the other side of the trade. But, you know, that isn't the case for everyone. Most people treat investing like gambling. But there are plenty of regular investors who do manage to build real wealth through the stock market. And that's where we're starting this journey, okay? With the basics of sound investing and then all the way up to the advanced strategies of the ultra rich. All right. So most people will start their investing journey with blue chip stocks. These are the Apples, the Microsoft, the Coca-Cas of the world. companies with massive scale, global presence, and a history of surviving just about anything the market throws at them. They're not flashy, but they are reliable. So, the strategy here is simple. Instead of constantly trading, you let your money sit in companies that continue to grow, earn profits, and pay dividends year after year. Just buy, hold, and let it compound. That's the foundation for how everyday investors actually win in the market. Seriously. Okay, if you had just bought Apple 5 years ago and held on to it, you would have doubled your money. But here's the thing, all right? When you put all of your money into just one company, even if it's a solid one, you're still taking a risk. If that company underperforms or gets hit with a scandal or just gets left behind by the market, your portfolio takes a full hit, too. And that's why a lot of regular investors think, why own just Apple when you could own a little bit of every major tech company? Well, enter index funds and ETFs. Now, these will let you do exactly that. Okay? You're buying tiny slices of hundreds, sometimes thousands of companies all at once. Most people get into index funds and ETFs through their 401k or Roth IAS, which means they also get the tax advantages that come with retirement accounts. And here's the best part. Just like blue chip stocks, you don't have to do anything fancy. Again, the strategy just comes down to buy, hold, and let it compound. It's low effort, it's low cost, and historically, it's high reward. This is one of the few investing strategies that actually works for the average person. Not just in theory, but in real life. Now, even with index funds doing a lot of the heavy lifting, some regular investors still take things one step further, they start thinking about how their money is spread out. And that is where diversification comes in. So, instead of putting everything into a single stock or even just one type of fund, many people like to spread their investments across different sectors, regions, and asset classes. some domestic stocks, some international ones, maybe a few bonds or a real estate investment trust in the mix. The goal here isn't to chase higher returns. No, it's to make sure all of your eggs are not in the same basket. And that's a really smart move because if tech stocks drop, maybe healthcare holds steady. If US markets stumble, maybe international ones will pick up the slack. Over time, diversification helps to smooth out the bumps along the ride and keeps things more consistent. It's simple, it's stable, and it gets the job done. Blue chip stocks, index funds, ETFs, and diversification is where things usually top out for the average investor, right? They work, but there's a reason the wealthiest 10% of Americans own nearly 90% of the entire stock market. Their strategies are a lot more advanced and a lot more powerful. So, let's see how millionaires invest in stocks, shall we? But here's the twist. The first move millionaires make is actually the same one that causes most retail investors to lose money. They pick individual stocks. But the difference is they're not chasing hype on social media or trying to swing trade their way to a Lambo. Millionaires do it with strategy. They look for companies that are undervalued or poised for serious growth or pay out consistent dividends. Some of them follow a value investing philosophy like Warren Buffett. Others try to find the next Amazon before the rest of the world catches on. Either way, they're not just buying what Reddit tells them to. They're researching fundamentals, analyzing earnings, and studying long-term trends. It's a much more focused, disciplined approach to stock picking. But here's the thing, okay? Even the best stock pickers cannot predict the future. That's why millionaires don't just try to make money. They focus just as much on not losing it. And this is where derivatives and hedging strategies come in. So, one of the best examples of this is Mark Cuban. Back in 1999, after selling his company to Yahoo, he ended up with a billion dollars in Yahoo stock. But he knew the.com boom wasn't going to last forever. So, he used a strategy called an options caller. So, first of all, he bought something called a put option. This gave him the right to sell his Yahoo stock at a fixed price. No matter how low the stock went, he could still cash out at the price written in the option. Then to help cover the cost of buying that, he sold something called a call option. This gave someone else the right to buy his Yahoo stock from him at a fixed price, even if it went up. So basically, Cuban gave up the chance to make more money if Yahoo stock went to the moon. But in return, he guaranteed he wouldn't lose money if it went down. When the.com bubble burst and Yahoo stock came crashing down, he didn't lose a scent. All because he planned ahead. Millionaire investors use strategies like this to keep their money safer. Sometimes it's to protect a big investment like Mark Cuban did. Sometimes it's to protect their overall portfolio in case the entire market takes a hit. And you can even use these strategies to earn a little bit extra by collecting payments in exchange for agreeing to sell a stock later. Those are strategies to protect yourself from risk, but not every investor is trying to play it safe. Some actually thrive on risk and they use it to their advantage. And that's what margin and leverage are for. So, it works like this. Okay, imagine you want to make an investment. You've got $1,000 and you borrow another $1,000. Now, you can invest $2,000 in the market. If the investment goes up, you win almost twice as much because remember, you have to pay back your loan with some interest. But that also means if it goes down, well, you lose more than twice as much. It's a high-risk, highreward strategy, and it is not for everyone. But when you use that borrowed money well, it becomes a powerful way to grow wealth even faster. But here's the thing. A lot of wealthy investors are busy running businesses, managing teams, or growing other parts of their wealth. So, they don't have the hours to watch the market. At the same time, putting their money into index funds just doesn't cut it. So, instead, they put their capital into a hedge fund. Now, a hedge fund is basically a private investment firm for high- netw worth individuals and institutions. It's managed by professionals who use advanced investing strategies, and they're often aiming to make money in any market, not just when things are going up. Hedge funds come in all shapes and sizes. Some focus on buying and shorting stocks. Others look for specific events like mergers, bankruptcies, or regulation changes. And the biggest hedge fund in the world is Bridgewater Associates, founded by billionaire Ray Dalio. Now, Bridgewwater makes macro bets on global trends like how interest rates in China will affect oil prices or how inflation in the US might impact corporate earnings in Europe. They look at entire systems, not just stock tickets. However, there is one category of hedge fund that is especially wild, and that's quantitative trading. Now, these firms don't rely on gut feelings or market commentary to choose their stocks. They rely on math, code, and massive amounts of data. Take Renaissance Technologies for example, founded by former mathematician Jim Simons. Now, Renaissance uses algorithmic models to make thousands of trades per day. They look for tiny inefficiencies, patterns in price movement, volume, volatility, things that happen over and over again in ways most people would never even notice. And then their algorithms buy and sell their stocks for them. Like for example, one quant algorithm might notice that when a certain tech stock rises by more than 1.5% in the first hour of trading, it tends to dip slightly by the afternoon. So the algorithm automatically shorts the stock for a few hours and then exits when that pattern plays out. Another algorithm might notice that when satellite images project monthly rainfall dropping by 2% over the American Midwest, fertilizer companies have massive surges one week later. So, it analyzes the satellite data to try and find that signal as early as possible. This isn't done by a person staring at a screen and reading the Wall Street Journal. No, it is done by machines running around the clock making split-second decisions based on probability and statistics. And the returns, well, for certain funds, like Renaissance's Medallion Fund, we're talking 66% annual returns before fees year after year. It's the world's best performing hedge fund, which is why even most millionaires can't get in. All right, so by now you've probably noticed a pattern here, right? The more money you have, the more complex and powerful your strategies get. For millionaires, hedge funds are the next level. You get access to institutional-grade strategies that require teams of analysts, physicists, engineers, and models more complicated than a NASA launch. But even a hedge fund has its limits. At the end of the day, the fund chooses the strategy. The fund decides the risk. They even put limits on how much you can invest. And sure, you can go to another hedge fund, but they're not doing your taxes. They're not building your estate plan. They're not optimizing your portfolio for long-term family wealth. At a certain level, even hedge funds don't cut it anymore. But that's where the family office comes in. This is how billionaires invest in stocks. Now, a family office is like a private wealth empire. It's a full-time team of investors, analysts, tax lawyers, estate planners, and legal strategists, all working for a single individual or family. So, imagine having your own personal hedge fund, private equity firm, and tax optimization machine under one roof playing the market for you. That's what a family office is. And apart from doing everything else a hedge fund already does, it goes way deeper. So let's talk about some of these strategies, shall we? We'll start off with private equity. Now, this kind of investing means buying into private companies, startups, growing businesses, or even entire takeovers before they're listed on a public stock exchange. Now, obviously, you're making a bet that the company will grow. That way, you can either keep its profits, sell it down the line, or the way to make the most money, wait until it becomes a public company. Billionaires do this all the time. Take Jeff Bezos for example. He invested in Google back in 1998. Peter Teal turned a $500,000 bet on Facebook into over a billion dollars. Even Elon Musk got on Stripe long before it went public. The catch, of course, is that these deals are locked behind closed doors. You need massive capital and the connections to get in. But when you're wealthy enough for your own family office, that's pretty much a guarantee. Now, next up is tax loss harvesting. One of the smartest ways billionaires keep more of what they earn. So, let's say one of your investments goes up and another one tanks. No matter how wealthy you are, it does happen. But what most people do is hold on to the loser, hoping it bounces back. But not billionaires. Instead, their family office would sell the underperforming stock, which technically counts as a loss that they can then use to cancel out the gains they made on another investment that did better. When it comes time to pay taxes, this means you pay less in capital gains taxes. That is tax loss harvesting. If you do it well, and family offices usually do, it means less money goes to the government and more gets reinvested. All right. Now, this next one might sound like a meme or something, but it is real and billionaires swear by it. It's called the buy, borrow, die strategy. Elon Musk is notorious for this. He's got a bunch of shares in Tesla, but here's the thing. All right, he's been holding on to those since basically the start of the company. So, if he sold them, he would have to pay a huge capital gains tax. So, instead, this is what he does. Let's say he's got $100 billion worth of Tesla shares. He never sells them. Instead, he takes out a $100 million loan using his shares as collateral in case he doesn't pay the bank back. He pays a small interest rate, but he gets to use that $100 million for anything. Investing more, buying real estate, even just funding his day-to-day life. And those $100 million are not taxed as income. Then when he dies, the stock passes on to his kids and the capital gains tax bill. Well, disappears thanks to a rule called the step up in basis. So basically, you buy the stock, borrow against it, and die without you or your heirs ever paying tax. It's controversial, sure, but it's completely legal, and it's one of the most effective wealth strategies the ultra rich are using today. Now, billionaires, they do sometimes decide to part ways with their stocks, but when they do, they don't sell them, they donate them. Not out of pure generosity though, at least not entirely. You see, when you donate appreciated stock instead of cash, you avoid paying capital gains tax. And you get a tax deduction for the full market value of the stock. So whatever income you do earn, you pay less tax for it. This is why Warren Buffett has donated over $50 billion in Berkshire Hathaway shares and why Mark Zuckerberg and Bill Gates have given so much Facebook and Microsoft stock to their own foundations. That's what giving looks like when you're thinking in terms of billions. In the ideal case, the value of that stock goes to actual charitable causes though, not just the tax benefits. So there you have it, my friend. That is how you get rich by investing in stocks. That was a massive deep dive, right? And it's only the beginning. Becoming rich and successful is about learning and applying stuff just like this. And that's exactly why we built the Alux app. The foundation of your wealth is your education. So, we packed the Alux app with everything you need to learn to become the most capable, most confident, and most successful version of yourself in every area of life. Inside the app, you'll find a library of expertled lessons, daily insights, and personal growth tools designed to help you achieve your goals. So whether you're focused on getting your mindset right, improving your habits, starting a business, or building generational wealth, the Alux app will give you the knowledge and structure to make real progress. So download the Alux app, scan the QR code on screen right now, and you'll get 25% off your yearly plan. Don't be afraid to invest in yourself, my friend. It's the only investment that will last forever. Moving on, our next proven method of wealth creation takes things to the next level because it's something you can actually see and touch in the real world. That's right. The second wealth creation method is real estate. Now, you probably don't think about this every day, but somebody owns every building you've ever stepped into, and it's making them rich. Real estate has created more millionaires than any other asset class in history. And you don't even need to be a millionaire to get started. Right now, we're showing you a real path that real people have followed to become really wealthy from real estate. And the best part about it is you can actually start literally with no money. So, we're going to break this down into levels, okay? We're going to start off simple because getting rich through real estate doesn't necessarily mean owning skyscrapers or flipping million-dollar properties. No. In fact, most people's first move often looks almost like an accident. At level one, you're a house hacker. So, imagine you're living in a two-bedroom apartment. You're splitting your rent with a roommate. Life is decent, and the bills are manageable, but one day your roommate decides to move out, and your landlord needs someone else to fill the room. Of course, you could sit back and let them handle it. But instead, you tell them, "Don't worry about it, okay? I'll pay 100% of the rent, and I'll do all of the work of finding somebody else to live here." So, you post a listing, you meet a few people, and lock in a new roommate, but instead of going 50/50 on rent, you pay a little extra on top, something like $100 to $200 a month. This is called subleting, and it's a nice chunk of change. Only now you're thinking, "Wait a minute, what if I owned this place?" Well, fast forward, you make a down payment on a small duplex. You live in one unit and rent out the other, which covers most, if not all, of your mortgage. Now you're basically living rentree. This is called house hacking. One of the most accessible real estate strategies because it's not super expensive. But the best part is you're building equity in your own home every month and that money is going straight into your net worth. This is how the game begins. And speaking of your net worth, do you know what that is? We just built a calculator that would show you exactly how much your net worth is and what it will be when you die. It's totally free and pretty fun. And I mean, who doesn't want to know what their net worth is? If you want to try it out yourself, just go to alux.com/worth and you'll find it in there. But anyway, house hacking is how the real estate game begins. When your home stops being your biggest expense to your first investment, and once you realize your home can make you money, the next move becomes obvious. Level two is where you become an entrylevel landlord. So, fast forward again and now you've moved out of that duplex, but instead of selling the place, you're now renting out both units. You've now got two tenants and they're sending you money every month. Now, this isn't exactly passive income. Okay, maybe you have to repaint the occasional wall, upgrade the fridge, or fix a leaky faucet. But now, rent checks keep coming in every month. And most of the time, you're not even thinking about them. You just wake up, check your phone, and see two deposits from your tenants. Congratulations, my friend. You've just made money in your sleep. You're officially a real landlord now. And this is where a lot of people fall in love with real estate. But it's not completely handsoff, though. You've got to collect payments, respond to issues, maybe deal with a late rent here and there. But the money is consistent. You're not just working anymore. Your property is working for you. All right. So, by this point, you've got a rental in a decent city. Nothing fancy, just clean, cozy, and in a neighborhood that's safe and walkable. You've been renting it out for a while now, but lately you've noticed something. The place down the street is always buzzing with different people, travelers, weekenders, digital nomads. So, you do a little digging and realize it's an Airbnb and it's making triple what you are per month. The owner of that place is an Airbnb entrepreneur and now it's your turn, too. So, you furnish a new place, take some good photos, and you list it. Suddenly, your weekends are booked out months in advance, and people are paying way more per night than you ever paid with a long-term tenant. Sure, now you've got more to clean up, handle check-ins, and respond to the occasional 11 p.m. Where's the Wi-Fi password message, but the money is worth it. This is the short-term rental game. According to AirDNA, Airbnbs in high demand cities like Miami, Austin, or Lisbon are generating two to three times more monthly income than regular long-term rentals. Get the location and experience right, and you've got a property that prints money, even if it sits empty a few days a month. All right, so by now you've gotten a taste for the rental income game, right? Naturally, you start to think, how do I get more of this? And the answer is becoming a BRR investor at level four. And trust us, this strategy really does make the money printer go. So, here's how it works. All right, so imagine you're driving around in a great neighborhood and you spot a house that's worn down and outdated. Most people would pass without a second glance, but you see potential. So, you buy that house for well below market value. You spend a few months upgrading it. Nothing too fancy, but enough to turn it into a place that people want to live in. And just like before you rent it out, but this time something's different. Now that the property looks better and brings in more income, it's actually worth a lot more than what you bought it for. And here's the best part. You can actually go back to the bank now, refinance the property as its new value, and come out with most or even all of the cash you originally put into it. You still own the property, so it's adding to your net worth. It's still generating income for you with rent, but now you've got your money back and you can do it all over again. This is the BRR strategy. Buy, renovate, rent, refinance, repeat. It's one of the fastest ways to build a real estate portfolio because instead of waiting and saving, you're using the value you just created to fund your next move. At this level, you're not just making money. You've unlocked a system that literally creates wealth. But at some point, you start to notice something, right? Your residential properties are fine. They're steady. But you're getting tired of dealing with late night plumbing issues, missed rent, and annoying tenants. Then you meet somebody who's in commercial real estate. They don't lease to people. They lease to businesses. These kinds of investors are commercial specialists. That is at level five. When you're dealing in commercial real estate, your tenants aren't calling about clogged drains. They're signing five-year contracts with automatic rent increases. In some cases, the tenant, not the landlord, pays for property taxes, insurance, and maintenance. That means higher margins and more predictable income for the owner. So, you take the leap. You buy a small office building, a warehouse, and a retail strip with three units. The leases are longer, the income is higher, and the tenants, well, they treat the space like it's their own because it's their business. That's the beauty of commercial real estate. You're not just collecting rent. You're locking in revenue for years at a time with fewer management headaches. That is long-term thinking. Okay, so there's definitely more to real estate than just homes and apartments, right? The deeper you go, the more it becomes clear. Most people are only scratching the surface. At level six, you start exploring those opportunities and become a specialty investor. So at this stage, smart investors start looking into places that others ignore. Mobile home parks, farmland, RV parks, self storage, billboards, even laundromats. These properties aren't glamorous, no, but they're simple, predictable, and often wildly profitable. Take mobile home parks for example. Residents pay rent to park there and because they own their homes, they tend to stay for years. In many of these deals, investors don't own the homes, they just own the land underneath. So, simply put, expenses are low and cash flow is strong. Self storage is another big one. There's no tenants living on site, the upkeep is minimal, and there's no toilets, so it's one of the easiest real estate assets to automate. In fact, the self- storage industry has delivered an average annual return of over 16% over the last 25 years. And then there's farmland. Quiet, stable, and surprisingly consistent. Everybody needs food and there's more people every day. So, the land produces income and it appreciates over time. Just look at Bill Gates. There's probably a reason that he's the biggest owner of farmland in the US. This level is all about realizing that wealth doesn't always look like a luxury high-rise. Sometimes it looks like a cornfield, a gravel lot, or 40 rows of storage lockers. But look, okay, here's the thing. You can only buy so many properties on your own. Eventually, you're going to hit a wall, not because you're out of ideas, but because you're out of cash and you can't even borrow anymore. But don't worry. If you decide to go into level seven, real estate mogul, this is exactly where things get interesting. So, instead of waiting years to save up, you can raise money from other people to buy properties. They find a great deal, usually something big like an apartment complex or even entire malls and then bring in investors to help fund the purchase. You handle the work. You find the deal, negotiate the price, set up the legal structure, and manage the property. The investors just write the checks and collect returns. It's like a 1 + 1 equals 11 kind of situation. You build equity and earn fees without putting in all of the money yourself. And your investors get access to deals they couldn't do on their own without having to deal with tenants or toilets. So at the end of the day, you could go it alone and keep it simple. Or you could turn real estate into a team sport and win the big game. And as the old saying goes, alone we can do so little, together we can do so much. So, now that you've built the kind of real estate empire that would make the Monopoly man jealous, at a certain point, you have to realize you spend years looking for the perfect property to buy and you never find it. Right? At level eight, that's not a problem because you become a real estate developer. If your perfect property doesn't exist yet, well, you can always just build it yourself. Now, obviously, it's much easier to buy a home than it is to build one. It takes permits and planning, contractor's capital, lots of time. But just imagine how tough it is to build a stadium or a mall. If you do it right, though, it could be the kind of move that sets you and your grandkids and your grandkids grandkids up for life. Now, it usually starts with a piece of dirt in a location that's about to grow. Maybe a new highway is about to be built, or a big company announces they're opening a facility nearby. The land might look empty right now, but as a developer, you see what it could be. With the right timing and execution, a wellplanned project can 10x your original investment once it's finished. This is how some of the biggest fortunes in real estate are made. Not by buying what's already profitable, but by turning raw land into something the world is hungry for. All right, so if you wanted to reach the top of the real estate game, you pretty much made it by this point. But there is one more strategy you could implement and it's a little bit crazy like a maniacal evil genius, but it's currently making ultra-wealthy people crazy rich and crazy powerful. At level 9, you become too big to fail. You see, at the top, the real estate food chain are institutional investors. Take Black Rockck for example, a massive fund backed by literally tens of trillions of dollars in capital. These guys aren't looking for a home to raise the kids in. They're buying thousands of homes in bulk. Sometimes scooping up entire neighborhoods before they ever hit the public market. This is part of the reason why buying a home feels impossible these days. To the average person, it looks like a housing shortage. To Black Rockck and to others like them, it's a strategy. Now, you would think these funds would be really careful about what they buy because if the real estate market crashes, well, they are the market. But here's the thing, okay? These funds are not afraid to make mistakes, to buy aggressively, and to get in debt. That's because they know that if and when the crash comes, the government is 100% going to bail them out. Otherwise, the ripple effect could destabilize everything from local housing to the entire financial system. So, simply put, there's effectively no downside for them. They can just get insanely rich without any consequences. At this level, real estate is not about cash flow anymore. It is about power. All right, Elixir, this should give you a pretty good grasp of how to go from nothing to omega rich with real estate and maybe also become a crazy evil genius along the way. If you're learning and gaining value from this video so far, give us a like, subscribe, and drop a comment with what you found the most helpful. We would love to know. All right, now here's the thing, okay? We've looked at stocks and real estate so far, and while yeah, they 100% will make you rich if you do it right, it can still take years. If you're looking for a proven way to get rich as quickly as possible, you need to understand this. Okay? Throughout history, the quickest way to get rich has been to ride the wave of a new revolutionary technology. And that's a proven method of wealth creation. It happened with the printing press, the steam engine, the telegraph, the computer, the internet, you name it. But today, people are using AI to create wealth at a scale that's never been seen before. There's a modern age gold rush happening right now. And whether it's employees doubling their income, people launching apps that print money in their sleep, or trillion dollar companies literally building giant AI laser cannons, someone somewhere is making loads of money because of AI. These days, my friend, the world is moving faster than ever, and you do not want to get left behind. So, let me show you how AI is making people rich at every level because you can get rich with it, too. It's actually a lot simpler than it seems. So, unless you've been living under a rock for the last 3 years, you've probably noticed that AI has reshaped nearly every aspect of our lives, right? What's been happening under the surface, though, is that it's making people insanely rich. I mean, just to give you a sense of how deep the AI gold rush goes, have you noticed how every new AI tool uses aai domain instead of? Well, theai country code belongs to Anguila, a tiny island nation in the Caribbean, which has made millions selling domain names to all the new startups riding this wave. Pretty lucky, huh? It's a literal gold rush. So to give you a full picture of how this is happening, let's go level by level from everyday workers to the companies building the backbone of tomorrow's economy. And we're going to start off small here, okay? Because not everyone building wealth with AI is launching startups or training models. Some people are just doing their jobs, but better than they ever could before. Take someone working at a marketing agency, for example. Their job might involve coming up with ideas for ads, making presentations, and sending more emails than any person should be writing manually. But now with Chat GPT, they can do all of that in seconds and probably with better quality than they could do alone. This is what AI unlocks for the average person. Just pure productivity. But here's the thing, okay? For 99% of people nowadays, this isn't a way to get rich. It's just what you have to do to keep your job in this new economy. If you're doing the same work at the same speed as last year, you are already being left behind. Being good at your job isn't good enough anymore. AI has shifted the baseline because the person sitting next to you isn't working harder. They're working smarter and five times faster. And that is just the bare minimum. So, if you're not plugging AI into your workflow, you're simply just well not relevant anymore. Now, on the other hand, the people who are using AI to do more than just the bare minimum, they've got a huge competitive advantage. Think about what a freelance web developer's workflow looked like just 2 years ago. If a client asked for a new feature, they'd have to sort through documentation, write the code from scratch, troubleshoot every bug, and test everything themselves. It could take days, sometimes weeks, just to ship a simple update. But now they can tell a coding tool like GitHub or Copilot what they need in plain language. It'll generate everything and like magic, it'll just work. Instead of juggling two clients at a time, now they can handle 10 without sacrificing quality. All because they're using the tools that everyone else is still sleeping on. And that's the thing about AI. When you control your own income, whether you're a freelancer, a consultant, or a solo builder, it's not just a way to keep up. It's a way to scale your output, deliver more value, and make a ridiculous amount of money in the process. Now, of course, now that we've got godlike, super intelligent chat bots that don't take breaks, don't complain, and have the answer to literally every single question you could ever come up with, there are much better ways to get rich than by adding a new button on a website. Most people, employees and freelancers, are using AI to either not get laid off or to be able to do more. But the people who are actually taking AI seriously, well, they're thinking bigger. Because once you understand what this technology can really do, you start to realize something. The AI gold rush is already changing everything at every level of the economy. And if you can be a part of that change, you can build wealth like no other time in history. So, let's break down exactly how people are using AI to build real scalable wealth from solo creators to trillion dollar corporations. So, let's start off with the base of the pyramid, okay? The oneperson business. You see, it might not seem like it, but some of the most profitable businesses in the AI economy are run by a single person who just happens to be using 10 tools that work like employees. This is where things get interesting, okay? Because AI isn't just helping you do your job faster, it's helping you to rethink how a business runs from top to bottom. Take a fitness coach for example. A few years ago, they might have had a dozen clients, and every part of the business depended on them personally, answering emails, writing reports, chasing follow-ups, and manually onboarding every new client. But now, well, on the marketing side, they use AI to generate personalized outreach emails, build full content calendars, write valuepacked newsletters, and even repurpose long videos into dozens of short clips ready for every platform. On the operation side, AI tracks client data in real time, flags issues before they happen, and autogenerates progress reports based on performance trends. It predicts which clients are falling off, what content drives the most engagement, or which offers are being converted the best. On the service delivery side, well, they've built an AI agent trained on their own knowledge base, so clients can get their questions answered 24/7. Even client reports and progress updates are drafted and sent out automatically. The advantage used to belong to companies with money to hire people. But AI has erased that gap. It's not about staff or scale anymore. It's about stacking the right tools. This is the new model of entrepreneurship. One founder, 10 automations, infinite reach. The people who see that and build accordingly are unlocking leverage that most businesses still don't even realize exists. But moving on. Okay, let's shift away from people using AI tools to people building AI tools. Because as the old saying goes, during a gold rush, don't dig for gold, sell the shovels. So for a long time, the only way to make money in tech was to raise a bunch of money, hire a bunch of software engineers, and spend months, sometimes years, building a product from scratch. Today though, people are doing something called vibe coding. So, with tools like Cursor, Wind Surf, or Lovable, you can just press record, start yapping, and literally build any app you can think of without writing a single line of code. A solo developer can build a tool that takes your YouTube video, transcribes it, cuts it into short form clips, and automatically adds captions, emojis, and animations. A fitness coach could build a workout tracker that follows their specific training and nutrition philosophy. or a financial adviser builds a tool that gives users a wealth score based on their income, savings, lifestyle, and habits. You don't need investors, okay? You don't need a team. You don't even need to know how to code. You just need to spot a problem, stitch together a solution, and ship it. The best part is these are not complex businesses. They're singlepurpose tools that solve narrow problems with ridiculous efficiency. They run themselves and people are getting crazy rich by building them without hiring a single employee. Times really are changing. Now, the next tier we're going to talk about goes a level beyond vibe coding. It's where you're not just using AI to build your app, but building it into the entire foundation of your product. For example, startups like Rewind are building memory tools that actively record and organize everything you've ever seen, said, or heard on your computer and lets you search it, like Google for your brain. Companies like Runway are reinventing video production by letting creators generate complex visual effects and edits through simple text commands. Or again, these vibe coding tools like Cursor, Windsurf, or Lovable let you build apps in seconds. AI isn't necessarily how these products were built. It is the product. These companies are training their own models, collecting unique data. They're building the foundation that other businesses will soon depend on, which means they're setting the rules for how the rest of us will work, create, and interact in the future. These are the seeds of the next wave of tech giants. And because of this, investors are flooding in. So, those were the people selling the shovels in the gold rush. But what if you went one step further and sold the machines that make the shovels? Well, that's what this next tier is all about. Okay? Not just building products that use AI, but building the AI that makes everything else possible. Think about Google, okay? They're building Gemini and baking it into everything. Docs, Sheets, Gmail, search. They're turning their entire product suite into an intelligent assistant. Anthropic is building Claude to be a safer, more aligned model that excels in math and coding. And of course, Open AI are the ones who started this entire revolution with chat GPT. What 99% of people think of as AI is often just someone plugging into one of their base models. The Geminis, Clouds, and Chat GPTs of the world aren't solving niche problems like video editing or customer service. They're operating on an entirely different scale, building infrastructure, optimizing hardware, aligning models, and cutting billion-dollar licensing deals. They're creating generalurpose intelligence, and everyone else is building on top of it. If you think about the entire AI economy as a city, these companies are the electricity, and it doesn't matter what kind of building you put up, at the end of the day, you're still paying the power bill. That's why the money is pouring into this space like nothing we've ever seen before because whoever controls the base model controls the entire ecosystem. All right, so far we've talked about the tools, the startups, and the models. You'd think we've reached the peak by this point, but there's another layer on top of the AI economy that most people never even think about. The companies behind the companies, and these are the people who are making the most money from this AI gold rush. Think about it. Someone has to provide the computing power, run the factories, and design the chips that turn all of these ideas into reality. Behind the scenes, there are three main companies who, well, I mean, without them, there wouldn't be an AI revolution. And trust me, they are making bank. Okay, so let's break it down. First, you've got ASML, a Dutch company with a monopoly on the most advanced machine in the world. Each one costs over $200 million, takes years to build, and relies on a global network of 5,000 suppliers just to function. It's called an ultraviolet lithography system. Basically, a giant laser that carves billions of transistors into chips that are only a few atoms wide. Those chips are what power AI. And here's the thing, okay? ASML is the only company in the world that knows how to make these lasers so they can charge ludicrous amounts of money for them. Simply put, no ASML, no chips. No chips, no AI. Then comes the Taiwan Semiconductor Manufacturing Company or TSMC. Now, they are the world's most advanced chip maker. So, they're actually ASML's biggest client, but they don't invent the chips themselves. Instead, they focus on mass- prodducing them for Nvidia, Apple, Amazon, Google, all of the heavyweights. And nobody is as good as them. Every time a company needs the world's most powerful silicon, they come to TSMC. In the gold rush, ASML makes the equipment. TSMC runs the mine, and it's the most profitable mine in tech. In 2024 alone, TSMC cleared over $ 35 billion in profit because there is no backup plan. Okay? If they stop, the entire industry shuts down. And finally, there's the company you've actually heard of, okay, Nvidia. They started out by building GPUs for gamers. But in those chips was something even more valuable. The ability to process massive amounts of data in parallel. Turns out that's exactly what companies like Open AI need to build their models. Today, Nvidia basically owns the computer layer of AI. Their chips like the H100 are the backbone of modern AI training. Chat GPT trained on Nvidia. Google Nvidia, Meta, Nvidia. Musk's new Gro 3 trained on 200,000 plus Nvidia chips on a single run. Nvidia's market cap recently crossed $3 trillion, not because of video gamers, but because the fact of the matter is that everyone else needs their chips to be a part of the future. So ASML owns the light that etches the chips. TSMC owns the factories that scale them and Nvidia owns the power that runs the entire system. These companies aren't just part of the infrastructure, okay? They are the infrastructure in the AI gold rush. Everyone is chasing gold, but the ones making the real money aren't digging or even selling shovels. They're literally building the ground you're digging on. So, while everyone else battles it out on the surface, these three are collecting their share no matter who wins. That is how AI is making people rich. It's crazy how fast things are changing though, right? So, we hope this video gives you a good perspective on the new AI economy and where things are headed soon. So, we hope this gave you a pretty good perspective on the new AI economy, where things are heading soon, and how you can get rich by riding the wave. And if you're enjoying this video so far, Alux, remember to give us a like, subscribe for some more, and leave us a comment saying what you've learned so far. Anyway, with new technologies like AI, you're guaranteed to get ridiculously wealthy. But it's probably the most difficult wealth creation method that we're going to talk about here today. However, what if I told you there's a way that you can just get paid forever for doing something once and millions of people would have already laid the groundwork for you. Our next method of wealth creation is creating passive income streams. Because let me ask you, friend, if you stopped working tomorrow, how long would your money last? a week, a few months, maybe a year. For the rich, the answer is simple. Forever. Imagine building something once and getting paid for it for the rest of your life. That's not a fantasy, okay? It's actually how rich people operate. There are tons of passive income streams that you can create that will build wealth automatically for you. So, we want to show you all of the best ones. So, let's start off our discussion today with a banger. Because, you know, there's a strange kind of wealth that doesn't come from building or selling things, but just from being the first person to think about them. We've got to talk about patents here. Back in the 1980s, a guy named James Dyson was frustrated with how vacuum cleaners got weaker and weaker over time. So, he started tinkering. That's how Dyson, the company that makes all of those sleek, expensive home gadgets, got its start. Over 5,000 prototypes later, Dyson created a vacuum that didn't lose power, and it was revolutionary. But here's the thing. He didn't just make a better vacuum cleaner. He filed hundreds of patents for it, which meant that if any other company wanted to use that same tech, they had to pay him. He didn't need to run factories. He didn't need to ship anything. He just owned the idea. And that idea made him a billionaire. You see, when you patent an invention, no one else can legally copy it without your permission. Even if somebody else does all the work of building a product, manufacturing it, and selling it, if they want to use your ideas, well, they've got to pay you. So, each patent you file can create a stream of income that lasts for decades. And that is how the rich think. They don't always build the thing. Sometimes they just have the idea first. Sometimes though, the rich don't invent anything that revolutionary. Like for example, everybody loves Christmas, but if there's one person who loves it more than anybody else, it's got to be Mariah Carey because royalties. Every single year when her song All I Want for Christmas is You shoots to the top of the chart, so do her royalty checks. You've almost certainly heard this song before, she recorded it back in 1994. That's over 30 years ago. But even today, every time that song is played in a mall, a movie, a radio station, or even just a Tik Tok, she gets paid. That's why Santa's yearly present to Mariah Carey is somewhere in the ballpark of $2.5 million a year. Pretty sweet, right? Well, that is the power of royalties. Their payments you earn when someone uses your creation, like a song, a script, a book, even a photo. You don't have to sell it. You don't have to promote it. Once it's out there, it just keeps earning because when you create something valuable and lock in the rights, you don't just make art. You build a machine that pays you for the rest of your life. Now, royalties can pay you forever. But what if you could do that on your own terms without a record label, without a publisher, and without anyone in your way? Well, that's where digital products come in. And nobody understood that better than internet marketing guru Russell Brunson. Now, Brunson didn't start a million-dollar company. No, he started out with a short nofluff ebook called Do Secrets, which he promoted on his blog. He released it without a publisher or a printer. It was just a downloadable PDF that you could download digitally. And now, over 10 years later, that same book is still selling, still printing money. That's why digital products are such a gamecher. They're assets you create once, like an online course, a template, a toolkit, or a book, and you can sell them forever with literally no additional cost. And the internet gives you the ability to scale faster than anything physical ever could. There's no inventory, no shipping, no cap on how many people can buy it. Digital products are one of the most powerful ways to build income that scales without effort. All right. So, by now you've seen a few ways that rich people get paid forever. But sometimes the most valuable thing, it isn't the product itself. It's the words people associate with it. We're talking trademarks here. Nobody proves this better than Michael Buffer. Now, you might not know his name, but you've definitely heard his voice. Before any big fight, boxing match, or sports event, he's the guy that walks into the middle of the room and shouts, "Let's get ready to rumble." And I'm not going to say it like he does because then I'll need to pay him. Now, here's the thing. You might think Buffer is just some guy with a cool voice that they hired to do this, but back in the9s, he trademarked that phrase. Every time a sports league, movie, or game show wants to use it in public, they have to pay him. It's crazy to think about it, but that trademark has earned Buffer over $400 million just from five words. That is the power of a trademark. Trademarks give you ownership over a name, a phrase, or even a look. So that when somebody else wants to use it, they have to cut you in. You're not selling a product. You're selling the right to use your brand. And when that brand is valuable or attractive or it hypes up entire stadiums, the money shows up whether you are working or not. But look, okay, if five words can generate $400 million, imagine how much wealth an entire universe of ideas can create. Just look at what George Lucas did with licensing agreements. So when he dreamed up Star Wars, he created an entire world of characters, places, vehicles, lore, and creatures that, yes, make for some fun movies, right? But the real empire, pun intended, came from licensing deals. By being the owner of the world of Star Wars, Lucas was able to put his entire universe on toys, backpacks, video games, lunchboxes, you name it. I mean, just imagine how many plastic lightsabers and Baby Yoda plushies have been sold. And Lucas didn't manufacture a single thing himself. He just licensed the rights and the companies lined up to pay for the privilege of selling his world. It's estimated that Star Wars has generated nearly $30 billion in merch sales alone, which is actually twice what the movies have made. That is the power of licensing, my friend. When you own the rights to something valuable, whether it's an invention, a product, or the idea of a universe of space wizards fighting evil with laser swords, you don't have to sell it yourself. It's like being the landlord of an idea. You just rent it out, let other people do the heavy lifting, and you collect your cut. That is how licensing builds automatic income. Now, moving on. Most people build a business and get stuck running it forever, right? But the wealthy, well, they build a winning formula. once and then they just let other people copy it franchising style. And there's probably no better example of this than McDonald's. Ray Croc, the founder of McDonald's Corporation, didn't invent the cheeseburger, and he didn't invent the French fry. What he did invent was a repeatable system for a restaurant that could be duplicated across thousands of locations. You see, McDonald's Corporation doesn't operate every McDonald's in the world. No, usually it's a local entrepreneur who buys the rights to run a McDonald's system. The branding, the menu, the process, and in exchange for that, they pay fees to the McDonald's corporation. There are over 38,000 McDonald's restaurants around the world. Ray Croc didn't have to run them. He just sold the brand and the blueprint and he took a piece of the profits. That is how franchising works. You take a business that works, package it into a system, and let other people operate it under your brand. They handle the employees, the location, the day-to-day stuff. You just collect the checks because when you franchise, you stop running a business and you start scaling an empire. And that is how McDonald's grew through franchising. But let's stick with them for just a moment here because what if I told you that the money isn't in the burgers or the nuggets? You see, McDonald's does something pretty clever with real estate rentals. Every McDonald's operator has to pay rent to whoever owns the land their restaurant is built on. But here's the thing, McDonald's actually owns the land under nearly 50% of its restaurants. So, they themselves are the landlord. This means that pretty often when someone wants to open a McDonald's, they don't just get the branding and the systems. They also lease the ground their restaurant is built on from McDonald's itself. They're not just making money from burgers. Every month, those franchise owners pay rent. It's not just to some random landlord or real estate company. It is directly to McDonald's. Real estate leasing is one of the oldest and simplest ways to earn a passive income. You buy a house, a building, or a piece of land, and you let somebody else use it. In return, they pay you rent just for having access. You don't have to be the one living there yourself. You don't have to be the one running a store. And if you hire a property manager, you don't even have to deal with the tenants yourself. That is what makes real estate so powerful. When the money keeps coming in month after month, whether you're working or not, that's when you can sit back and collect paychecks for a living. But of course, you can spend an entire life building a company like McDonald's, but if you know how to play your cards right, you can make money just by owning the right ones. That is the quiet game the rich play with dividend stocks. And you know, Warren Buffett is the king of this move. He bought a huge stake in Coca-Cola like four decades ago, and he literally has never sold a single share. And why would he? Okay, when you buy a share in a company like Coca-Cola, you're not just hoping the stock goes up. You also get dividends. Warren Buffett's investments in Coca-Cola pays him over $700 million a year. And he doesn't even have to sell any of his shares. He doesn't need to show up to a board meeting. He doesn't run marketing. He just owns a part of the company and the money shows up. That's the beauty of dividend investing. Companies pay out a share of their profits to shareholders. And the more shares you own, the bigger your cut. No calls, no clients, no hours logged. It's one of the cleanest, honestly, laziest ways to build wealth. Your money will work way harder than you do. But here's the thing, all right, dividend stocks might let you earn by owning a slice of public companies. And yeah, those can grow a lot over time. But if you want to unlock real explosive growth, you have to think like the rich. Real insiders do the same thing with private companies. Welcome to private equity, my friend, where you're not investing in Apple or Coca-Cola. though you're investing in the companies that might become the next Apple or Coca-Cola before anyone else even knows they exist. That's what Peter Teal did with Facebook in 2004. He spotted a great team with a great idea and they needed a bit of money to make it happen. So, he wrote Mark Zuckerberg a $500,000 check to get the company off the ground. When Facebook blew up, that one investment turned into over a billion dollars. But Teal didn't write a single line of code. He didn't come up with any features or even offer any ideas. He just owned a piece of a business and gave some gasoline to it. Same thing with Naval Ravicant who's backed companies like Twitter, Uber, and Notion from early on. And even guys like Shaquille O'Neal. He made more money off business than basketball by buying into chains like Five Guys and Crispy Cream. That's the game, okay? Private equity is about spotting potential, getting in early, and letting somebody else build it. Because when you choose the right players, you don't have to take the shot yourself. You just win when they do. All right, so by now it's clear that some income comes from owning assets. Some will come from owning ideas. But honestly, okay, the only way to guarantee that you get paid forever is by knowing the right people. Okay, your network is paramount. Let's say you've got a friend, a successful entrepreneur who wants to write a book. They've got the ideas, but not the time to actually sit down and write it. Well, you happen to know a solid writer who's done this type of thing before, and they're good. So, you reach out to them and say, "Hey, I've got someone looking to hire a writer for their book. I'll make the introduction, but I'm asking for 10% of whatever they pay you." The writer agrees because, hey, 90% of something is much better than nothing. So, you make the connection, and a few WhatsApp messages later, the deal is done. Now, every time that ghostriter gets paid for the project, you get a cut. You're not doing the writing. You're not managing the process. You just open the right door and now you're getting paid for it. That's called a referral. And once you understand how it works, you start seeing opportunities everywhere. You can do it with writers, with consultants, with interior designers for your friend's new place, even with collectors. Connecting buyers and sellers of watches, art, real estate, whatever. There's a reason people say your net worth is your net worth, my friend, because it is true. You don't need to be the expert, okay? You just need to be the guy who knows a guy, and you'll be surprised at the amount of wealth you can build this way. All right, Aluxer, those were 10 ways rich people get paid forever. Remember though, if you want to learn the wealth-b buildinging strategies and mindsets of the 1%, be sure to download the Alux app. Hundreds of thousands of people have already started changing their lives with it, and we would love to have you on board. So, that is how you build a wealth machine that just keeps on giving. Side note here, if you're getting value from this video, make sure to like it, subscribe for more, and drop a comment with what's resonating so far. We'd love to know your thoughts. Now, by this point, we've looked at stocks, real estate, new technology, and passive income. All fantastic ways to get rich. But now, let's ask the question, how do you get even richer? Well, our next and final method of wealth creation is stores of value. Because look, my friend, there's a massive difference between just being rich and being truly wealthy. Money is surprisingly fragile. Your bank accounts can be frozen, your stocks can crash to zero, and even your currency can become worthless from one day to the next. Most families lose their fortunes in just three generations. But on the other hand, look at the Rockefellers. They're still wealthy after 150 years. or the Roth Shields. They've been one of the world's wealthiest families since before Napoleon. That's because they use stores of value, assets that don't just hold their worth, but compound across centuries. So, let's break down the seven stores of value that truly wealthy people use to preserve and grow their wealth. So, you too can start thinking like old money. We'll go from the most obvious ones to the most surprising, which means you'll get to see some of these wealth creation methods we've already seen in the video in a whole new light. All right, so the first store of value we're talking about today is real estate, but we're not talking about your average suburban house. All right, take Bill Gates. Most people know him from Microsoft, but here's what they don't know. He's quietly become the largest private owner of farmland in America, controlling over 270,000 acres across 19 states. That is bigger than the entire city of Los Angeles. Now, obviously, Bill's not out there in the fields farming the land himself. This is a very strategic long-term play. You see, real estate works as a store of value because it gives you three things at once. First, it is tangible. You can touch it, live on it, and use it. Second, it generates income through rent, crops, or appreciation. And third, when everything else gets more expensive, so does property. And the thing is, governments can print more money, but they can't exactly print another chunk of prime Manhattan real estate. I mean, nobody's finding any more land, and they're not about to make it either. That's why real estate is the go-to store of wealth. on a long-term time horizon. The built-in scarcity basically guarantees that your wealth is going to be safe. Now, the wealthy don't just buy one type of real estate. They diversify across multiple categories. Commercial real estate, for example, like office buildings and shopping centers can get you some steady cash flow. Residential properties in prime locations are great for appreciation. You can buy farm and timber for long-term resource plays. And of course, those 100 million dollar pen houses and historic estates keep their value while giving you the chance to live in absurd luxury. Each kind of real estate serves a different purpose, but the end goal is always the same, putting your money where it can last forever. The second store of value is stocks. Now, in general, stocks work as a store of value because you're buying a slice of a company that earns money while you sleep. Some of these companies pay you cash every few months just for owning them. Others grow and get more valuable as time goes on. But here's the thing. The truly wealthy don't buy just any kind of stock. Warren Buffett's a perfect example of this, okay? He's been holding companies like Coca-Cola, American Express, and Apple for years. These aren't Reddit's new favorite meme stocks or even Silicon Valley's hottest new startups. These are businesses people use every day. businesses that have survived recessions, inflation, even world wars in some cases. And that is why they're called blue chip stocks. You see, when the ultra wealthy want to preserve their wealth for decades, they buy real businesses, the kind that have already been making money for decades. And to make sure their wealth is even safer, the wealthy invest in industries they know people will always need or want, like food, energy, technology, banking, and medicine. The idea is simple. If you want your money to last, put it into companies that last. The goal here isn't to get rich overnight. It is to keep getting richer quietly for the rest of your life. And if you do it right, you're basically guaranteed to be wealthy forever. Now, the third store of value, it's not something you can hold or sell, but honestly, it might be the most powerful one on this list. We're talking about education. Because here's the thing, okay? Your house can burn to a crisp. Your business can get shut down. Your currency can collapse. But as long as you are still standing, nobody can take away what you know. And when you know how money works, how to think critically, how to actually look at the world around you and make smart decisions, that is when you truly become unstoppable. But let's be real for a moment, okay? Traditional education didn't prepare you for any of that. Nobody taught you how to manage your finances, how to build a business, or how to protect your wealth across generations. But don't you worry, my friend. That is why we built the Alux app. Our app is a complete toolkit for people who know the value of real world education. Unlike university where you have to wait like four plus years to realize nobody actually ever taught you anything about the real world, we give you practical knowledge you can apply immediately. Hundreds of thousands of ambitious professionals, creators, and entrepreneurs are already using the Alux app to become the ultimate version of themselves. So, if you're serious about playing the long game, not just getting rich, but staying rich, then scan the QR code on screen to download the app and you'll get 25% off your membership and unlock everything inside. Remember, my friend, at the end of the day, the only asset that really matters is you. So the only way you're going to reach your goals is if you're actually willing to invest in yourself. That is why education is important. Now moving on, the fourth store of value is probably the oldest in human history. We're talking about precious metals. Now gold and silver have worked as a store of value pretty much since the human species started trading. For over 5,000 years, they've survived the fall of empires, the rise of new currencies, world wars, depressions, even the invention of the internet. They've outlived everything, and they still hold value today. Just look at central banks. These are some of the most powerful institutions on the planet. And even though gold and silver metals don't pay dividends and they don't generate income, they're still hoarding them by the ton because it's global. It's scarce and it's immune to politics. When everything collapses, they just hold value. And that is exactly the point. When inflation hits, when currencies lose their worth, when markets start melting down, gold and silver are accepted everywhere. You don't need a passport or a banking system, and a bar of gold in New York is worth just as much in Tokyo or Dubai. That's why people call it wealth insurance. Precious metals are not going to make you rich, but they will keep you from going broke. And let's not forget, precious metals are finite and they take real work to mine. So that scarcity combined with their track record is why they still sit quietly in the background of almost every ultra wealthy person's portfolio. You don't see people flexing their gold and silver on Instagram, but trust us, okay? It is there. Now, the fifth store of value is government bonds. And out of all of the ones that we're talking about today, these are probably the most solid. You see, when the future looks kind of shaky, when nobody knows what's going to happen next, or when the entire world order is changing, the ultra wealthy don't rush into crypto or real estate, they buy government debt. For example, during World War II, when Europe was on fire and nobody knew how the continent would come out the other side, Swiss government bonds became one of the safest places in the world to park your money. Switzerland stayed neutral. Germany didn't invade it and its bonds became a kind of financial bunker at a time when investors were looking for safety more than they were looking for crazy returns. And that's the whole point of government bonds. When you buy a bond, you're basically loaning money to a government and in return they pay you a fixed amount of interest for a while and then at the end they give you your money back. Bonds are not exciting, okay? They're not sexy, but they are stable and they rarely go to zero because they're backed by entire nations which don't collapse from one day to the next, at least most of the time. The ultra wealthy use bonds for their safety. Generally, people consider US bonds to be the safest because they're backed by the world's largest economy. But German bonds, Japanese bonds, or those Swiss bonds we mentioned earlier are also considered safe bets. These countries will probably pay you back. But here's the cool thing about bonds. When stocks go down, they often hold steady or even rise in value. So, generally, you can keep them in your asset portfolio, giving you reliable income. And if the rest of your assets tank all of a sudden, they'll offset some of the losses and give you some breathing room. So, bonds are not the kind of investments that change your life or anything, but they'll at least keep your net worth from falling off a cliff when everything else turns to chaos. So, let's break down the seven stores of value that truly wealthy people use to preserve and grow their wealth, so you too can start thinking like old money. We'll go from the most obvious ones to the most surprising, which means you'll get to see some of these wealth creation methods we've already seen in the video in a whole new light. And hey, if you want to find out how much your net worth is probably going to be when you die, remember, we built a calculator specifically to help you find that out, go to alux.com/worth and try it out, okay? It's free and it's pretty fun, too. Now, let's move on to the next one because this is where things get really interesting. All right, so moving on. This is where things start to get pretty interesting. The sixth store of value is fine art and collectibles. Sometimes it's kind of tough to wrap your mind around why someone would pay millions of dollars for a painting, as pretty as it may be. But take someone like Steve Cohen. He's one of the most successful hedge fund managers in the world, and he's got like a billion dollars poured into his art collection so far. We're talking a multi-million dollar Picassos, warh halls, and bosts hanging literally in his living room. But why? Well, showing off the art is probably part of the equation, right? But more importantly, he knows that there's only one of these paintings that he owns, and there will only ever be one. Fine art can be beautiful. Yeah. But its timeless value comes from scarcity. And when the world's wealthiest people all have their eyes on the same tiny handful of pieces, those prices can reach into the millions, stay there, and even grow. Art also doesn't behave like stocks or bonds. It's not tied to interest rates or company earnings. It exists outside of the system, which is exactly why it works so well as a store of value, no matter where you are. But it doesn't stop at paintings. When you've got more money than you'll ever need, there are more than enough collectibles to choose from. Think luxury watches from PC Philippe, jewelry, or rare Ferraris that can double or triple in price over the years if you know what you're doing. These days, even rare wines, vintage sneakers, or old comic books and Pokémon cards are being treated like asset classes. Not because they're the most useful things in the world, but because they're finite, deeply desired, and in the right circles can be resold for boatloads of cash. Collectibles tell a story. That's what's fun about them. And those stories can carry millions of dollars in value, which is also what's fun about them. But some collectibles, though, they're not even things you can touch or see. And honestly, that's why cryptocurrency is such a controversial store of value. if you can even call it that. Ask around and people will tell you that cryptocurrency is either the future of money or a speculative bubble or the greatest Ponzi scheme in history. Either way, it's become impossible to ignore it. Just look at Michael Sailor. He's the founder of Micro Strategy, an investment company that's bet tens of billions of dollars on Bitcoin. In Sailor's words, Bitcoin is digital gold, except it's easier to move, harder to seize, and provably scarce. So, to him, this isn't a gamble. He sees Bitcoin as a long-term store of value. And the thing is, there will only ever be 21 million bitcoins. That is it. It's built into the code. No one can change it, and no central bank can just print more of it. That hard cap is what gives Bitcoin its value. So, like a lot of other stores of value that we've talked about in this video, it's just a matter of supply and demand. Other cryptocurrencies work differently. Some have fixed supplies, others are controlled by an algorithm. But the common thread between all of them is that they're built to be limited, safe, and decentralized. That's why more and more people, including billionaires, hedge funds, and even countries, are using crypto to store value outside of the traditional system. Now, of course, crypto is volatile, right? Its price swings are wild, and there's still very little regulation around it. But on the upside, well, the upside is potentially massive. And as a store of value, crypto also offers something no other asset does. You could hold it yourself, move it around the world on a USB stick, and without a bank's permission. That is why the ultra wealthy are putting a slice of their portfolio into digital assets. They probably don't expect crypto to upend the entire financial system. But if you want your wealth to last forever, you also cannot afford to ignore how things are changing. So there you have it, Alexer. Those are the seven assets wealthy people use to preserve their wealth forever. Hopefully one day you can get to the point where you're picking between two vintage Ferraris for your next investment. All right, so there you have it. Luxer. Those were the seven assets that wealthy people use to preserve their wealth forever and the five ways to get rich guaranteed. If you learned something useful today, make sure to subscribe for more videos just like this. Leave us a like and let us know in the comments which of these methods you're planning to go allin on. Now, if you want to keep learning some more about success, money, and realizing your potential, go ahead and download the Alux app. Scan the QR code on screen to get 25% off your yearly plan. We can't wait to have you on board. Honestly, Alexer, if you made it all the way to the end of this massive deep dive, you are the absolute best, okay? We really hope this video helps you to make some progress towards your goals and start living the kind of life that we know you're capable of, that you know you're capable of. From everyone here on the Alux team, thank you, my friend. But for now, I guess it's time to ask yourself, what are you going to do when you finally do get rich using these methods? If you'd like some ideas, well, click on the video on screen now and you'll see how you can spend $1 billion in 24 hours. All right, Alexer. We'll see you back here next time. Until then, take care, my friend.