Frugal meaning

Morning Gratitude Challenge Task 6 – Frugal Meaning

Frugal meaning: To live a Frugal life means to live on less than you can effort. And that you are using fewer resources, such as energy, or money than are available to you. But how does that affect your happiness in life?

A life reduced to people’s physical basic needs

This sounds like a real pain in the ass to most people, because they rather want to have more than they need, because they think they really need it. The first problem is, most people do not know nor make a difference between what they want and what they need. But in fact, living a frugal life can be very liberating.

Consum bitches are not born as such,
but raised and educated to become ones!

How comes, that people think they need more and more?

Advertisements and the permanent presence of status symbols are probably the strongest influencers for the desire to compete with others. So, people want a bigger car, house, a shiny boat at the yacht harbor, expensive perfume, and makeup, pumped up lips and boobs, or an extraordinary loud “knalpot” as a status symbols. (Knalpot is the Dutch word for the exhaust pipe, which is also used in the Indonesian language.)

Frugal meaning: What people really need?

So, let’s go back to the physical basic needs. All you really need, are only the physical things, that would kill you after a short time if you would not get hold of them. Those are in this priority:

  1. Breath – without breathing you are only able to survive for minutes until unrepairable damage is done to your brain or you will even pass away
  2. Drink – without drinking it will be a question of days
  3. Disposal – without piing and booing you will probably get around a little longer than without drinking until the body poisons itself
  4. Eat – you are able to get around without food for a few months

Those are the basic physical needs of humans, mammals, animals, and plants. Anything else is for your convenience. There is nothing wrong with convenience. But all of that, what you might think you need is, in fact, only something you want. Why would you want to live a frugal life?

What might be the reason to live a frugal life below your financial possibilities?

Not spending all the money you earn gives you the possibility to save some money. If this saved money covers your basic needs for 3 to 6 months, it is called financial protection.

Financial Protection

This saved money can be invested and over time it can create a passive income for you. So the real reason behind it is to be able at one day to live just from the dividend of your invested assets.  As soon as this last for your basic needs, it is called financial protection. Which is the level, everybody should reach, because it is the basis for spiritual growth. Because, no one ever got enlightened, when he could not afford to eat anymore after he lost his job. To reach that, you have to move more money from consuming to investing. This is also described in the above-mentioned article about financial protection.

But how does this work?

First of all, one needs to go through the mental process to give money a higher value than material assets.
And one needs to learn the difference between what you need and what you want.
This might be:

  • Not having a car,
  • Staying at basic accommodation,
  • Living in a smaller flat then you can afford,
  • Drinking tap water, if it is clean enough, instead of expensive lolly drinks. Actually, this will have an additional health benefit, because of the reduced sugar intake.

Does Frugal Money Management Violate Happiness?

For me, frugality means that I hate to waste resources, such as time, energy, money, health, and happiness.

Frugal meaning: Stop wasting time

Wasting time is the biggest sin of all for me. For example, a waste of time for me is a day without love. Because time is our most valuable asset. Any second which is gone is gone forever, and it will never come back.

Frugal meaning: Stop wasting energy

Wasting energy is another big one for me. In fact:

Everything is energy,
And energy is all there is!

And due to that, there is an abundance of energy available. On the one hand, the energy never gets lost, it only gets changed into a different kind of energy. But on the other hand, effectiveness is a principle of nature. So, due to my respect for nature, I am a big fan to use any kind of energy as effectively as possible. For example not running the air condition or the heater if a window or the door is open. Rather using passive heating or cooling system instead of electrical ones. This also saves some money on the electricity bill.

Frugal meaning: Stop wasting money

Frugal meaningThat brings me to another kind of energy, which is money. Apart from being a conveniently exchangeable asset, money is also a wonderful communication tool for the value of something. It describes the energy of goods, services, and results. That’s why I’m having a hard time paying for something which I don’t need or to pay more than necessary. So I keep choosing goods and services which are as fancy as necessary, and as basic as possible.

Once I was traveling together with my sister to Cape Town, I booked the cheapest Airbnb place next to the place where I wanted to go to. That was near to the starting point of the Two Oceans Marathon.

When my sister saw our basic accommodation she asked me: “How much do you value yourself?”
The low price of the accommodation and the convenient location was essential for me. But she would have loved to have a big pool and a fancy apartment.
On the one hand, I believe that I only can save money, which I don’t spend. On the other hand, my sister believes that anything she spends will come back to her a thousand times. Actually that’s a pretty clever method. And curiously, it seems to work for her! Unfortunately, I have not understood yet, how she does it. If someone is able to explain it to me, I’d be more than happy to listen and learn!

Frugal meaning: Stop wasting resources

Not wasting resources means to me also, to protect the environment, by creating as little trash as possible. I do that by buying the most simple things that are just being able to fulfill their purpose. And to avoid buying expensive branded clothes. Or to walk or to choose the smallest possible vehicle, that can bring me to my destination.

Frugal meaning: Stop wasting your health

Even eating healthy is not violating my frugalism. Because fresh fruits and vegetables are usually the cheapest food you can buy. Walking instead of driving or jogging instead of going to the gym improves my fitness and still saves money for transport and the gym.

How Frugal Money Management Violates Happiness?

And finally, don’t save on your fun and pleasure. Most people consider happiness with spending money. I consider this as complete nonsense. Because being happy is a choice. And This choice is completely free of charge!

And whoever believes that a new pair of shoes, jewelry or a Ferrari makes you happy, is wrong, at least in the long-run. All of those status symbols serve your happiness only for a short time. Being happy comes from continuous growth.

Continuous and never lasting growth is the best method I have found so far. This means:

  1. learning,
  2. exercising,
  3. sweating,
  4. implementing,
  5. finally, to embody it!
  6. And then repeat and go for the next you want to grow into!

Here are some pretty good thoughts from Cherry Tung about being happy while spending less.

Source: Youtube

Even if I don’t agree with her, that one should not care about the money one spends on security, apart from financial security. Because security is only an emotion, which you can train, e.i. by training your mental strength to increase your comfort zone. And this will rather transform you, than any life insurance or any other products that promise you safety and security.

Master Fears And Worries – Master The Crisis to Finish as a Winner

Your Gratitude Challenge Task For Today:

Share gratitude by distributing this link to the members of your challenge:

https://vitality4happiness.com/benefits-of-gratitude/

Write down five things you are grateful for:

1. I am grateful for …, because …
2. Further, I am grateful for …, because …

5. Finally, I am grateful for …, because …

Please remember that as your self-esteem grows, due to a feeling of gratitude, your feelings of helplessness and your fears disappear.

And here comes your present for the participation in the gratitude challenge:

A Gratitude Meditation from Dr. Deepak Chopra

Confirm that you finished your task of today - Click HERE

Confirm that you finished your task of today – Click HERE

Like Heat Turns Ice Into Water,
Gratitude Turns Fear Into Abundance!

Vital and happy regards
Klaus Forster

Last Hour Decision-Making Meditation 4: Investments in The Stock Market

Last Hour Decision-Making Meditation 4: Your Investments in The Stock Market

Currently, we are in a crisis. And due to that, one question drives me: What will be the development of my investments in the stock market? I would like to discuss this with you. In complex situations like this, I utilize a Last Hour Decision-Making Meditation, which is a part of the Decision-Making Meditations.

Today’s Last Hour Decision-Making Meditation utilized death as your consultant! That gives you access to your subconscious mind and emotions, which make better decisions in complex situations. It will lead your imagination into the last hour of your life. If this is emotional to challenging for you, just imagine your 100th birthday instead.

So, today I did the fourth Decision-Making Meditation about the question:

“What should I do with my investments in the stock market?”

This Last Hour Decision-Making Meditation goes like that:

You are walking in the countryside. The birds are singing, the sun is shining and you enjoy the warmth and energy it gives you. In the distance, you see a little, white house and you are heading towards the small building, which is a chapel. You know this is your last journey, but you are grateful for the wonderful life you lived. You enter the building and in its center is a bed, and you lay down on it. As your view goes around, you see a clock, which indicates 11 p.m.

Then your loved ones and friends come and enter the chapel. With gratitude you appreciate the part of your journey, you had together with them. You are taking a deep look in their eyes, shaking their hands, giving them a warm hug, and maybe a sensual kiss. You feel a deep love and fulfillment remembering the good times and challenges you experienced with them. And you know, it is time to say goodbye to each of them. They are leaving the chapel and it gets quiet around and inside you. You take a look at the clock again, and meanwhile, it shows 5 minutes to midnight. Now it is time to think about the decision you wished to have taken during the current crisis. Now, you got 5 minutes until the curtain falls …


At this point, I had no doubt about, that I should have remained invested, and I felt certain, that the upward trend will start soon. So, in order to be able to take advantage of it, I will continue with the re-balancing strategy. Further, I want to switch the ETFs with the biggest losses to other providers. For example, selling the NASDAQ 100 Amundi or Comstage ETFs and reinvest in a NASDAQ 100 ETF from Invesco or iShares.

Last Hour Decision-Making Meditation 4: Investments in The Stock MarketSo far, I used to be invested in each of my assets with the same amount. I will analyze the risk of each of them, and change their allocation in my portfolio. So, each of them contributes to almost the same risk. The risks I roughly estimated are:

  • Gold 5
  • Swiss Market Index 10
  • S&P500 15
  • China 20
  • NASDAQ 30
  • Berkshire Haddaway 40

So that means I should limit my investments according to the equation

100 minus risk index
—————————————- = maximum %age of your assets
number of positions

to a maximum of

  • Gold 19%
  • Swiss Market Index 18%
  • S&P500 17%
  • China 16%
  • NASDAQ 14%
  • Berkshire Haddaway This is an individual stock, so the maximum should be only 5%!

So due to the fact, that the sum of the percentage only adds up to 75%. I should have 25% of my assets to invest in something else. This could split between individual stocks, with a maximum of 5% each of my assets. For example artificial intelligence, Virgin Galactic and 2 other ones.

A result is always a consequence of an action. That means one needs an action plan. The action plan looks like that:

  • Calculate the maximum amount of each ETF
    To make the calculation easy, I decided to limit

    • Gold to 20%
      and the other ETFs
    • Swiss Market Index
    • S&P500
    • China
    • NASDAQ
      to 12.5% each.
  • Check if I am over-invested or under-invested
    – Use my re-balancing strategy to slowly but continuously get to an equal risk distribution.
    – Invest almost 100%, because I assume, we are almost at the bottom and the only way is up … earlier or later, anyway!
    – find and invest in up to 3 other stocks and invest up to 5% in each of them.
    – And finally, take action. Because the best plan is not even worth the paper it is written on, in case it does not get executed!

So, go ahead and think for yourself and share your thought in the mastermind or the comments below. These are my thoughts. They are base on my investment situation and best guess what is about to happen. It just reflects what my subconscious mind came up with, during the last hour decision-making meditation. Your risk tolerance and investment situation are different and due to that, your strategy should and will be a different one. Which means you need to find out what resonates with you. The last of the decision-making meditations will help you to do so.

Decision-Making Meditations

These decision-making meditations are under development and will be available soon. To become a Beta-Tester, please send a WhatsApp message using the WhatsApp button on the bottom right of the screen.

Vital and happy regards
Klaus Forster

Mentoring Decision-Making Meditation 3: Investments in The Stock Market

Mentoring Decision-Making Meditation 3: Investments in The Stock Market

Currently, we are in a crisis. And due to that, there is one question, that drives me at the moment is the development of my investments in the stock market. I would like to discuss this with you. In complex situations like this, I utilize a Mentoring Decision-Making Meditation, which is a part of the Decision-Making Meditations.

Today’s Mentoring Decision-Making Meditation gives you access to your subconscious mind and emotions, which make better decisions in complex situations. So, today I did the third mentoring decision-making meditation about the question:

“What should I do with my investments in the stock market?”

This mentoring decision-making meditation goes like that:

I am overlooking the ocean at the white beach of Rawai on the island of Phuket in Thailand. A sailboat is coming my way. It is anchoring and a person gets off in a dinky and rows the last meters to the shore. I recognize my friend Mario, he is my medical doctor and health mentor, and we became good friends over the years. We give each other a welcome hug and take a seat at the waterfront. We enjoy the beautiful view during sunset across the turquoise waters at the sands of Rawai Beach.

Mentoring Decision-Making Meditation 3: Investments in The Stock Market

I ask my mentor Mario:

“What should I do with my investments in the stock market?”

And Mario responds:

“In general you should apply the same strategy, you are following during calm market periods. Additionally, the crisis offers some chances, you can take advantage of. But it depends on, how you are currently invested.

Re-balancing: Keep selling the earnings of those stocks, which are above the average, and buy some more that are below the average market trend. That means, for example, if you are invested in a NASDAQ ETF and a Gold ETF with the same amount. ETFs are reproducing the market index. Let’s say, now during the crisis NASDAQ is 30% down and gold is 20% below your initial investment. Just sell 5% of the gold stocks and by for the amount of cash you receive for it, you buy additional shares of the NASDAQ ETF. So the value of those two will be equal again.

Mentoring Decision-Making Meditation 3: Investments in The Stock MarketThis works even better if you are more diversified, for example with a China ETF and an SMI ETF, the swiss market index. Due to the diversification within those big market indexes, it is highly unlikely that one of them drops to zero. Other than individual stocks. Even Warren Buffet’s company Berkshire Haddaway could go bankrupt, as Air Berlin did. And due to that, the Berkshire Haddaway stocks may fall to zero. It is pretty unlikely but possible. But an S&P 500 ETF, which is invested in 500 companies, even if some of them do not survive the crisis, will never drop to zero, but will always grow in the long run. So, you do not want to play that re-balancing game with individual stocks! Anyway, you should invest in individual stocks only a low percentage of your assets, 5% or less.

You can take advantage of a tax optimization strategy during the crisis, if you are invested in ETFs, for example, the NASDAQ ETF. There are many NASDAQ ETFs from different providers available on the market. If you have a huge loss with it, you just can switch from one provider to another one. So that you sell with a big loss, which you are able to write off against earnings in the future. That means if the value of your NASDAQ ETF is currently 10,000 € below the price you bought it, you can take out 10,000 € tax-free earnings in the future. As you know, here in Germany, we have a tax rate of 25% for earnings on the stock market. So that may save you 2,500 € in the next years.

You may check your portfolio for equal risk distribution. That this strategy makes sense, you should be invested in at least 5, better 10 different positions. That means that you check for the likelihood that a position can go bankrupt. You only need a rough measure for the risk. A risk index of 0 means impossible to drop to zero, 100 means already bankrupt.
For example, you are invested in 7 positions, which are:

  • Gold 5
  • Swiss Market Index 10
  • S&P500 15
  • China 20
  • NASDAQ 30
  • Berkshire Haddaway 40
  • Air Berlin 100

If you got a risk index of 30 for NASDAQ, you should be invested at the most

100 – 30 risk index NASDAQ
—————————————- = maximum 10 % of your assets
7 number of positions

You also might think about your cash-investment ratio.

  • On one hand, in times of a crisis, when the market is really down, you should continuously increase the percentage invested in stocks. Ideally, you are almost 100% invested when the market is at its bottom. Apart from your financial protection. As you know, you should never ever invest the financial protection. The problem is, that you never know if the market is at its lowest point … until it is over.
  • On the other hand, if it is going too well, while the markets are booming and overheating, you should continuously take out your profits and accumulate it in cash.

And if it is looking too bad, it is time to reinvest your cash. Even leveraging with foreign money is an option if the market is down. Yes, you even can go negative with your cash-investment relation. If you are really confident, that the market is near to its bottom you may invest borrowed money. But you need to have high self-confidence and a big risk tolerance, actually mental strength to do so. This is nothing for you if you are a thin-skinned, nervous investor! If it is going against you, your broker will close some long positions for you, which will cause a high loss!

You know your passion and meaning or your source of pleasure and adventure. And due to that, you might have your favorite stocks and fun stocks of some business, which really makes sense to you or excites you. For example, artificial intelligence serves your passion and rocket science satisfies your need for adventure. So you might want to have a small position of an artificial intelligence company or ETF and Virgin Galactic stocks in your depot. Just for the sake of having a meaning in life … and in your investments.”

Finally, it is time to say goodbye. I am expressing my gratitude to Mario for sharing his thoughts and I guide him to the waterfront to help him to move the dinky back into the water. While it slowly gets dark I can see him rowing back to the sailboat and sailing away, until his boat disappears in the darkness of the night.


So, go ahead and think for yourself and share your thought in the mastermind or the comments below. These are my thoughts. They are base on my best knowledge and investing experience. It just reflects what my subconscious mind came up with, during the mentoring decision-making meditation. So it is a way I feel comfortable. Your risk tolerance and investment situation are different and due to that, your strategy should and will be different. Which means you need to find out what resonates with you. The decision-making meditations will help you to do so.

Decision-Making Meditations

These decision-making meditations are under development and will be available soon. To become a Beta-Tester, please send a WhatsApp message using the WhatsApp button on the bottom right of the screen.

Vital and happy regards
Klaus Forster

Values-Based Decision-Making 2: Investments in The Stock Market

Currently, we are facing a crisis. One question, that drives me at the moment is the development of my investments in the stock market. I would like to discuss this with you. In complex situations like this, I utilize a Values-Based Decision-Making process, which is a part of the Decision-Making Meditations.

Decision-Making Meditations

These Values-Based Decision-Making Meditations give access to your subconscious mind and emotions, which make better decisions in complex situations. So, today I did the second decision-making process today about the question:

“What should I do with my investments in the stock market?”

Today’s values-based decision-making process goes like that:

Value-Based Decision-Making Process 2: Investments in The Stock Market

You take a walk until you reach an intersection and there are 3 possible tracks to continue. Each of the tracks represents one of your life targets. One after another, you follow you follow one of the tracks until its end. There you experience yourself having reached one of your targets. It assumes that your life targets are in sync with your values. If not, you are on a rocky road, and at the end of each of the 3 tracks, a burnout is awaiting you. In case your life targets are not serving your values, or if you have no clue, what your values are, do some research on your values. Then adjust your life targets accordingly.


Reflection on your life targets: “What should I do with my investments in the stock market?”

  1. Target: A Vital And Happy Life of 300++ Years
    For a long-lasting life in abundance and financial freedom, the short term volatility of the market is irrelevant. Just keep to the rebalancing strategy to keep your investments equally invested and diversified in the asset classes you have chosen. So that you keep selling the earnings of those, that are developing good and buying those that are down. With this strategy, you automatically sell mostly above the average price and buy below. So your portfolio grows faster than the global market.
  2. Target: Living on Spiral Dynamics Level 9 And Above
    A crisis cannot stop the development, it rather stimulates growth in the long run. The best decisions in life are taken during hard and challenging times. And they stimulate the growth of consciousness. So concentrate on the highest targets you can dream of and think of. They will guide you on the way. The higher the targets are, the better they remain visible in stormy weather and under difficult circumstances. Even increasing them is helpful, especially if it seems unrealistic or impossible to reach them.
  3. Target: Freedom
    Even if freedom has many aspects, such as freedom of mind, sexual freedom, freedom of traveling, and financial freedom. But because the question is:
    “What should I do with my investments in the stock market?”
    I will only focus on the aspect of financial freedom to be able to contribute to distinguishing the hunger in the world. The strategy is, continuously donating a part of my assets for charity. Especially during turbulent times. Because it is a valuable exercise to show your subconscious mind that you got more than enough. And that you are able to contribute to those who got less.

So the first thing I did, after writing down these lines, was a donation of 1,000 US$ to gapminder.org. Gapminder is an organization founded by Hans Roling, with the target to distinguish the hunger in the world.

Value-Based Decision-Making Process 2: Investments in The Stock Market

Source: 48th Annual AAS Conference

So, go ahead and think for yourself and share your thought in the mastermind or the comments below. These are my thoughts. They are base on my life targets, which I chose based on my very personal values. It just reflects what my subconscious mind came up with during the values-based decision-making process. So it is the right way for me to act according to my values and targets. Your values are different, and due to that, your life targets should and will be different.

These decision-making meditations are under development and will be available soon. To become a Beta-Tester, please send a WhatsApp message using the WhatsApp button on the bottom right of the screen.

Vital and happy regards
Klaus Forster

Decision-Making Meditation 1: Investments in The Stock Market

Decision-Making Meditation 1: Investments in The Stock Market

Currently, we are having a crisis. A question, that drives me at the moment is, what will be the development of my investments in the stock market due to the current crisis. I would like to discuss this with you. In complex situations like this, I utilize a series of Decision-Making Meditations.

Those meditations give access to the subconscious mind and emotions, which make better decisions in complex situations. So, I did the first decision-making meditation today about the question:

“What should I do with my investments in the stock market?”

The decision making meditation goes like that:
You imagine climbing a mountain. On top of the mountain, you gonna meet a good friend. He asks you the question:

“What should I do with my investments in the stock market?”

So, you become his mentor and share your thoughts about the options your friend has during the current crisis.

I climbed mount Batur and to my big surprise, I am meeting my father at its peak. We are watching the sunrise and he asks me:
“What shall I do with my stocks in the depot. I have already lost 25% since its highest point about 6 weeks ago. And two days ago I experienced the most expensive day in my life. Not even my divorce has been as expensive as that.”

In the decision-making meditation 1 I shared the following thoughts with my father:

“Let’s go through the options you got with your investments in the stock market:

1. Stay invested and trust that the market picks up again.
2. Sell everything and buy it when the market is really rock bottom.
3. Take all the money out and stop investing.

But what are the up- and down-sides of these options you got with your investments in the stock market?

So please think yourself – or even better – meditate about it as well. And share your thoughts about it in the Confeneurs Mastermind Group! Let’s share our thoughts, to inspire each other how to make the best out of the given situation!

Result of the Decision-Making Meditation 1

What are the down and upsides of the options, you got with your investments in the stock market?

1. Stay invested and trust that the market picks up again.
The problem with this first option is, that it can go down even further and it might take years to recover. This is psychologically a challenge. But if you are mentally strong, you can go for that.
The positive thing about it is, that the market recovers anyway after a while. And if you will look back after 10 or 20 years, this dip will be hardly visible on the chart anymore.

2. Sell all of your stocks now and buy it when the market is really down.
The problem with the second option is, we might be already near to the bottom. Due to the massive action of the governments already took. And the news is already so bad, that it hardly can get worse. The turnaround could come soon. And due to the overreaction, there is a chance that the recovery might be almost as fast as the decline. Even if it is going deeper, you never know when there will be the best time to reinvest.
The good thing about it is, the chance to pause apart on the way down, and buy back a higher number of shares, due to a cheaper price. And this gives you some cash to do so. It enables you to reinvest. That needs to be done when the news and situation are the worst. But that needs a lot of courage.

3. Take all the money out and stop investing.
The problem with this third option is, you take your losses now. Plus you will not take apart in the recovery phase.
The positive side about it is, that the cash you are still able to get for your stocks, is most likely enough to live your life on in for the rest of your days.

So the answer is probably a combination, which takes advantage of the positive sides of the three options and reduces the likelihood of the negative ones. Let’s take an individual look into several industries, regions, commodities:

Industries for investments in the stock market

As of today (March 20, 2020) my expectations are:

  • Vehicle and transportation: drop, medium period
  • Online business: grow, short-time peak, long time growth
  • Medical and hygiene products: short-time peak, long time neutral
  • Insurances: deep drop, medium period
  • Oil and fuel: deep drop, a short time
  • Gold and silver: slight drop, short time, early recovery, likely to be the trendsetter for the expected upward trend
  • Countries ruled by the spiral dynamics red meme, totalistic governments, such as China, USA, Cuba, Rusia, … are able to make quick and consequent decisions, short deep recession, medium time recovery, they will be between the first regions to recover
  • The more bureaucratic, overconstrained, and stubborn countries on spiral dynamics blue Germany, Singapore, Japan, … will take longer to make painful decisions, then they will overreact, and they will have a longer recovery phase”

After we finished our conversation, we start the decline together in the morning sun. Then I give my father a big hug, say goodbye, and I am grateful for the conversation we had. Trusting he will take the right decision for his investments.


Have a look at the impact of the former health-related crisis on the MSCI World Market Index:

Decision-Making Meditation 1: Investments in The Stock Market

SOURCE: CHARLES SCHWAB, FACTSET DATA AS OF 2/21/2020.

So, go ahead and think for yourself and share your thought in the mastermind or the comments below. These are my assumptions, they might be right or wrong, it is just what my subconscious mind came up with during the decision-making meditation, which will help you as well to find good answers to your questions during the crisis.

Decision-Making Meditations

These decision-making meditations are under development and will be available soon. To become a Beta-Tester, please send a WhatsApp message using the WhatsApp button on the bottom right of the screen.

Vital and happy regards
Klaus Forster