In the world of wealth creation, there’s a key concept according to Robert Castiglione, the creator of the Leap System. It revolves around understanding a significant flaw in our financial system. The Flaw is that “Money is not math, and Math is not money”! Let’s dive into this concept to dispel a common misconception in your financial world.
Money as a Commodity: A Living Entity
“Money is a commodity. It changes in value and can erode over time. This revelation, once you accept it, will increase your chance of having long-lasting financial success. If you think money acts like math, as many financial advisors do, you will always be vulnerable, and chances are that you will not succeed.”^1
To illustrate, consider this example: If I give you 3 oranges today and 3 oranges tomorrow, you’d have a total of 6 oranges. Adding another 3 oranges the following day would bring the count to 9. Now, if I stop giving you oranges for the next 5 years, mathematically, you should have 9 oranges. However, in reality, you’d have none. External forces like rotting, consumption, or sharing would deplete them. Just like the oranges eroded away the same applies to wealth. This highlights that math and money are distinct, primarily because external factors work against the math causing wealth to fade away beyond your control.
External Forces at Play: The Wealth Eroders
What are these external forces? They include inflation, taxes, technological change, planned obsolescence, financial expenses, lost-opportunity cost, interest rate declines, stock market declines, interest charges, loans, and lawsuits. Despite their significance, the financial planning systems often overlook these eroding factors, leaving consumers at a disadvantage. The financial system appears stacked against individuals, with financial institutions more interested in garnering money for commissions.
In our macroeconomic model system, we aim to show you where you might be losing and how to recover your wealth. When substantial sums of money are at stake, models are typically built. Builders use models for bridges and ships before the actual construction begins. However, the financial planning realm tends to neglect this approach.
Breaking the Mold: Our Macro-Economic Model
The reason behind this negligence in financial planning remains unknown. In economics, the focus is on identifying inefficiencies and rectifying them. Our approach involves building a model of your financial world so you can visualize it before making decisions. We conduct tests to unveil the certainty of loss, aiming to protect and grow your wealth without interference.^2
In our system, we grasp the essence of “Money is Not Math, and Math is Not Money!” The understanding of the living nature of money and its susceptibility to external factors allows us to navigate the financial landscape, safeguarding your wealth and ensuring its growth.
- Castiglione, Robert. Leap System.
- For further information on our macroeconomic model system and its benefits, feel free to reach out to us.