I thought Will and Rob did a fantastic job. A combination of Family Fortunes and Finance 101 covering the big picture items to focus on. Will seemed to focus on strategies of how to build wealth, and Rob on how to maintain wealth.
The point they hit home was the time value of money and labor. Working for someone else will never build your inheritable family capital with the fruits of your labor. Saving your earnings is important, but keeping your savings in cash will destroy your wealth through inflation. Keeping some cash is wise to smooth out the rough spots and be able to buy good value investments when they arise, or expand your private business.
However, I do have one small critique about consistency in the message. Will says avoid buying Wall St products and invest in your own private company to build capital and focus your resources. Rob’s talk was about the various investment products (stocks, bonds, cash, precious metals, real estate, collectibles), but little on valuing or acquiring private equity. I understand the need to diversify across asset classes to maintain existing family wealth, but did the wealthy families who were still building wealth instead of maintaining wealth diversify or focus their assets? If/when they did decide to diversify to maintain wealth, did they buy retail Wall St products or private equity?
Hopefully, future series will include talks on how to value real estate, rental property, private businesses based on cash flow and returns to be able to come up with a reasonable price for private equity acqisition and diversification. A P/E of 8-12 for public “value” stocks is much too high for a private equity investment, in my opinion