These are the two types of holdings that determine your true net worth: asset-rich or liquid-rich
Asset-rich is when you have assets that hold value. These assets could be: real estate, Cars, Factories, Intellectual property, licences, etc
Liquid is CASH easily exchanged for value
Most wealthy people have a preponderance of both, while others have a preponderance of one or the other
Which is best to hold and why
In life, it’s usually best to have a very good mix of both
Liquid is usually the first that comes, and very wise people immediately start making plans to convert it into assets to hold value
Liquid comes in the form of earnings, revenue, cash flow, salaries, fees, profits, gifts, etc
The means of converting Liquid to assets could be through investments, savings, purchase of assets, etc
Liquid, as the term depicts, is liquid – it flows, increases, decreases, eases out, dries up or sustains; its unpredictable nature makes it a very interesting customer
Asset, as the name connotes, implies sturdy, dependable, reliable and can hold and grow value
There are different qualities to Asset though – near cash like shares, debt instruments etc and long term holdings like some types of investments, houses etc
Your Financial Adviser would help you build a portfolio that would take into consideration your age, outlook and the rest to build you a customised portfolio that would balance out your financial outlook with a balanced portfolio of Liquid and Asset holdings that should see you through life
Talk to us at Barnaby&Edgar, and we can direct you to expert Portfolio and Wealth advisers as you start the beautiful journey towards life fulfilment.
Call David on +44 7444 802983 – WhatsApp only to book either a virtual or physical meeting with an advisor
Or visit www.barnabyandedgar.com
Thanks
Joseph Edgar
Founder
Barnaby&Edgar
Last modified: October 16, 2026
