How do the wealthy stay wealthy?

First, we have to understand how Capitalism works:

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"An economic and political system in which a country's trade and industry are controlled by private owners for profit, rather than by the state."

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This is as opposed to the complete opposite - Communism and how it is defined:

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"A theory or system of social organization in which all property is owned by the community and each person contributes and receives according to their ability and needs."

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It is extremely clear that without a question, Singapore IS a capitalistic society. And which is the reason why private sectors have a huge say in the overall growth in the economy, supported by a strong and stable government. (who is pro-private)

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With that in mind, in any normal functioning economy, there will be a HUGE DEMAND for good homes which allow for these workers to live and play. And when it comes to wealth preservation (in the context of Singapore):

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From two generations above us... (our grandparents) this is what it looks like:

1. Buy property
2. Hold for 10 - 20 years (rent or stay)
3. Sell property (take the profit)
4. Buy more property (give to children and hope children dont anyhow spend or get into debt)
5. Get into larger networks of rich people (and dealers, agents)
6. Buy more property (locally or oversaes)
7. ETC ETC (cycle repeats)

Seeing this from some relatives in the past 20 years. This is one very clear way the wealthy stay wealthy.

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Wealth is power actually in a country like that, so naturally more doors open up to those at the top. Now in Singapore, we are actually getting a bloat of the 'upper middle class' society with families possessing at least 1 private property (and are also aspirationally true if you look at the lastet cycle of the cooling measures).

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Even more crazily, because Capitalism will always be the lifeblood of us Singaporeans. This is how it will always be, things which are highly valued (and in demand by others) being a strong draw for others to work for them to oil the economy).

The wealthy need to do the following:

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1) Impact Financial Knowledge / Business knowledge to their kids

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2) For the past, many wealthy people deals in property

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3) They make bolder decisions because they can afford to fail more than the others.

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4) From the failures, once 1 startup kick-off, its another blue ocean (money making opportunity)

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5) They have access to privileges investment (think Warren Buffet), which most people have no access to.

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6) Of course, insurance, being the playground of the rich to hedge their wealth. (coverage is less than 1% of their total wealth, easy to afford for them).