Wealth that lasts: a third, a third, and a third

In the heart of Rome is Palazzo Colonna, a private palace owned by one family for 31 generations. How has the Colonna family been able to keep their castle and great wealth intact for over 900 years?

Author Jim Rickards writes of an experience at a private dinner in Rome with some of the world’s wealthiest investors:

“Here was a family fortune that had survived the Black Death, the Thirty Years’ War, the wars of Louis XIV, the Napoleonic Wars, both world wars, the Holocaust, and the cold war…

“I knew the Colonna family were not unique; there were other families like them throughout Europe who kept a low profile. These families are only too happy to be overlooked by Forbes 400. That type of wealth and longevity could not be due merely to good luck…

“I turned to a striking Italian brunette to my right and asked, ‘How does a family keep its wealth for so long? It defies the odds. There must be a secret.’

“She smiled and said, ‘Of course. It’s easy. A third, a third, and a third.’ She paused, knowing I needed more, and continued, ‘You keep one third in land, one third in art, and one third in gold. Of course, you might have a family business as well, and you need some cash for necessities. But land, art, and gold are the things that last.'”

You and I may not want a family castle that lasts a millennium, but we may be interested in crafting a life that sails us safely through the rough waters of family crises, economic downturns, and financial upheaval… Something that endures through whatever storms knock at our door. The principle for long-term financial foundation is the same: invest in real assets.

Let us practice shifting what resources we do have towards things that last.
#producersVSconsumers
#thinkdifferentlyspenddifferently
#investinthingsthatlast

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