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Hong Kong is one of the most economically unequal societies in the developed world with a Gini coefficient as high as 0.539. Unless you were born with a silver spoon, building wealth can be very hard.
What were the millionaires’ secrets? US financial expert Tom Corley began a “Rich Habits” study on 223 wealthy individuals. All of them had at least USD 160K (~HKD 1.25M) in annual gross income and USD 3.2M (~HKD 25M) in net assets, which are believed to be comparable to the “middle class” in Hong Kong today.
During his study, he found 4 predominant kinds of people who would accumulate wealth:
<h2 id="a-the-saver-investors">A. The Saver-Investors</h2>
Tom Corley found this the easiest way to accumulate wealth which also involves much lower risk. Generally, the Saver-Investors reached their first USD 1M (~HKD 7.8M) around their mid-to-late 30s, and accumulated an average net worth of USD 3.3M (~HKD 25.7M) by their mid-50s. Just less than 22% of the millionaires in Tom’s study were the Saver-Investors.
How to become one of them?
Start investing your savings early in life! And continue to do so in a disciplined way for many years. The Saver-Investors typically had a middle-class income with a low cost of living and saved 20% or more of their income. They made saving and investing part of their routine and were constantly thinking about smart ways to grow their wealth.
Risks and challenges
The most challenging part was the enormous saving-investing discipline and long-term commitment.
<h2 id="b-the-dreamers">B. The Dreamers</h2>
The Dreamers could be successful entrepreneurs, actors or musicians, who pursue dreams and accumulate wealth at the same time. They loved what they did for a living and believed pursuing their dreams were one of the most rewarding things in their lives. Approximately 28% of the millionaires in Tom’s study were the Dreamers. They accumulated an average net worth of USD 7.4M (~HKD 57.7M) over a much shorter period of about 12 years.
How to become one of them?
To become a Dreamer, you must be willing to work long hours and able to handle financial stress. In average, Dreamers worked more than 61 hours per week before finally achieving their dreams. Weekends and vacations were almost non-existent.
Risk and challenges
At first, getting a steady income is harder than you think. Some of the dreamers even had to sell their assets to finance their dreams. If you are not a risk-taker, this path may not be for you.
<h2 id="c-the-company-climbers">C. The Company Climbers</h2>
About 31% of the millionaires Tom studied were the Company Climbers. The Company Climbers were individuals who worked for big companies and had climbed to the top, for instance, landing a senior executive position. They took an average of 22 years to accumulate a net worth of USD 3.4M (~HKD 26.6M) or more. Most of their wealth came from either stock compensation or a partnership share of profits.
How to become one of them?
To be a Company Climber, you must have strong relationship-building skills. Networking and making lasting connections with powerful people in your industry is essential.
Risks and challenges
Like the Dreamers, you also have to be willing to work long hours. Despite that, the biggest risk is that if your company struggles financially, your time and effort there might not be rewarding to the extent you had expected.
<h2 id="d-the-virtuosos">D. The Virtuosos</h2>
The Virtuosos are among the best at what they do in their profession. They are paid a high premium for their knowledge and expertise, which sets them apart from the competition. About 19% of Tom’s study group were the Virtuosos, with an average net worth of USD 4M (~HKD 31.2M).
How to become one of them?
The Virtuosos are not necessarily geniuses. To become a Virtuoso, you must invest a lot of money or time before seeing any payoff. You have to spend many years continuously studying and learning. Formal education and advanced degrees are usually required.
Risks and challenges
Not everyone has the ability to devote significant hours every day practising their skill or the financial resources to pursue advanced degrees.
<h3 id="thinking-of-starting-to-invest">Thinking of starting to invest?</h3>

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Important information:
Investment involves risks. This information is intended to be educational and is not tailored to the investment needs of any specific investor. This information does not constitute investment advice and should not be used as the basis for any investment decision nor should it be treated as a recommendation for any investment or action. Past performance is no guarantee of future results. The value of investments and the income from them can go down as well as up, so you may not get back what you invest.

American financial expert Tom Corley studied 233 millionnaires to understand how they got rich - he divided them into four categories to help people understand how they can grow their wealth

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