The real wealth of nations

The World Bank published a report in 2006 entitled ‘Where is the Wealth of Nations?’.

The findings of the World Bank report suggest that “human capital and the value of institutions (as measured by rule of law) constitute the largest share of wealth in virtually all countries.”

The report suggests that the wealth of a country isn’t in its natural resources, or even its productive capital such as machinery, buildings and infrastructure. It’s the way a way a society organises itself, and the knowledge and skills of the members of that society, that are the real drivers of wealth.

Invisible factors, like the level of trust between members of a society, are what really make us wealthy.

That’s food for thought.

Sonnie Bailey

Sonnie is the founder and principal of Fairhaven Wealth.

Before founding Fairhaven Wealth, Sonnie worked in the legal and financial services industries for over a decade.

Sonnie first became involved with financial advice as a specialist financial services lawyer. For many years, he was an “adviser of advisers”, reviewing thousands of advice files prepared by hundreds of financial advisers, and providing feedback in relation to the quality and appropriateness of advice; industry best practice; risk management; and regulatory compliance. He has published work in industry publications and spoken at various financial advice conferences.

Sonnie has also worked with banks, investment management firms, insurers, and derivatives providers.

Sonnie has worked as a private client lawyer, focusing on succession, estate planning and trusts. He ran his own legal firm in Australia before relocating to New Zealand. He has also acted in independent trustee and company director positions.

Sonnie is passionate about helping people achieve their goals and manage the risks to which they are exposed.

He has written extensively on his blog, New Zealand Wealth and Risk, which can be found at www.wealthandrisk.nz.

Sonnie is married to his wonderful wife Chrissy, and has two young children, Ben and Anna.