Unlocking the power of wealth preservation requires more than just financial acumen; it demands a strategic blend of tactics aimed at safeguarding and nurturing financial assets across different time horizons. Renowned CEO of More With David and distinguished COO of Drive Planning, David J Bradford, offers a transformative approach that transcends traditional notions of wealth management. In this exploration, we delve into Bradford’s visionary insights, which spotlight opportunities to revitalize dormant capital and embrace income-generating assets.
The Visionary Approach
Central to Bradford’s approach to wealth-building is the fundamental principle of wealth preservation. Drawing inspiration from Warren Buffet’s philosophy of prioritizing capital preservation, Bradford emphasizes the importance of avoiding losses to optimize wealth. He identifies five key wealth destroyers: inflation, taxation, market fluctuation, devastation (illness or death), and litigation. By safeguarding against these risks, individuals can ensure the longevity and growth of their wealth.
Methodology of Wealth Re-Engineering
Photo courtesy: David J Bradford
Conventional financial wisdom often champions Wall Street investments as the primary path to wealth growth. This approach, colloquially termed “crossing your fingers,” advocates relinquishing control entirely, relying on traditional financial advisors trained to endorse this methodology, as David explains.
However, a closer examination reveals a different perspective. Affluent individuals, rather than shying away from debt, actively seek opportunities to leverage it to their advantage—affluent people utilize what is commonly known as Other People’s Money (OPM). While conventional wisdom advises prompt mortgage repayment, this may inadvertently serve the interests of financial institutions, tying up significant wealth in homes with no return on investment, a commonly overlooked aspect. Wealthy individuals, on the other hand, are disinclined to let large sums of money remain idle, preferring to avoid what David refers to as “lazy money.”
Enter Drive Planning’s innovative methodology, which centers on re-engineering wealth for maximum efficiency. By reallocating resources into high-yield private investments like passive real estate funds, clients can generate substantial returns and effectively combat inflation. This proactive approach empowers individuals to make their wealth work as hard as they do, promising not only to retain more wealth but also to generate more and live more fulfilling lives.
Innovative Financial Strategies
People are urged to step away from what Bradford calls the unpredictable Wall Street roller coaster, where control is relinquished, and individuals are often advised to settle for a modest 9% annual return and stay invested for the long term. However, there exist private investment opportunities promising assured returns—no fingers crossing required—with a significant portion rooted in real estate ventures. Real estate investments offer a plethora of advantages, including tax benefits, steady cash flow, and property appreciation, all well-known facets of wealth-building among the affluent.
Drive Planning identifies where individuals’ wealth resides—whether tied up in homes, old IRAs, 401(k)s, CDs, or savings—and provides coaching on adopting a playbook favored by the wealthy, one capable of manifesting the desired future. Subsequently, wealth is re-engineered to ensure every dollar and asset is as dynamic as its owner, eliminating any traces of idle money. Leveraging other people’s money becomes integral to the strategy, along with designing and implementing plans to minimize income taxes, eliminate capital gains taxes, and even mitigate future tax liabilities embedded within individuals’ 401(k)s. Drive Planning advocates for alternative strategies that prioritize immediate cash flow over long-term speculation.
Bradford critiques tax-deferred retirement accounts as tax traps and encourages clients to reevaluate their investment portfolios. By shifting focus towards cash-flowing assets and implementing tax-sheltered plans, clients can mitigate tax burdens and secure a more prosperous financial future.
Holistic Prosperity
Bradford emphasizes that Drive Planning’s approach not only preserves wealth but also enhances overall financial well-being. Clients can enjoy greater financial freedom and security by strategically managing risks and optimizing resources. Leveraging home equity and implementing tax-saving strategies can yield substantial long-term benefits, enabling clients to live more abundantly now and in retirement.
At the core of Bradford’s philosophy lies a three-fold mantra: keep more, make more, and live more. “Keep more” emphasizes the critical importance of wealth retention alongside earning. Many individuals unknowingly hemorrhage funds due to overlooked financial leaks. Drive Planning specializes in identifying and halting these losses, a process Bradford terms “stopping the bleeding.” Meanwhile, “make more” reflects a universal aspiration, one often hampered by conventional financial strategies that favor institutions over individuals.
“We aim to rewrite this playbook, ensuring it serves the people’s interests and fosters their financial growth,” remarked David, encapsulating Drive Planning’s commitment to empowering individuals through financial literacy and proactive strategies.
Bradford champions self-education, advocating immersion in relevant literature to continuously expand one’s knowledge base. By cultivating financial literacy and adopting proactive measures, individuals can transcend outdated retirement paradigms, achieving genuine financial prosperity. Bradford’s innovative methods in wealth accumulation and financial planning herald a transformative shift in the industry. Through prioritizing wealth preservation, resource optimization, and embracing innovative strategies, Drive Planning empowers clients to secure a more prosperous and fulfilling financial future.
Published by Khy Talara
