Want Wealth?  Think Like a Champion.

Suzanna De Baca -- Expert Business Source, 8/15/2008 8:48:00 AM

“We only think about winning.”  That statement was made today by Misty May-Treanor, the champion U.S. volleyball player during an interview with a reporter at the Olympics in Beijing. The reporter had asked May-Treanor and her partner what worries they had about an upcoming match.  She didn’t ponder the question at all or waver in her answer; she looked the reporter in the eye and said evenly and with confidence: “We only think about winning.”  And then she went on to tell the reporter about their strategy for success.

Champions concentrate on victory.  In an earlier post, “Wealth Lessons from the Olympics,” I wrote that I was struck by the desire, focus, and persistence of the Olympic athletes and I asserted that those same traits are necessary for individuals to reach their financial goals.  Upon hearing this comment today from May-Treanor, my theory was further confirmed.  Defeat is not an option for true winners. You cannot harbor doubts that you’ll achieve financial security or success, or you will be likely to undermine your objectives.

“What doubts?” you might ask.  But you know what I mean.  I can’t speak for everyone, but I think most of us (me included) have questioned our ability to succeed, to thrive, or to prosper beyond our dreams.  How many times have you looked at your credit card bills with a defeated attitude and think “I’ll never pay these off!”  Have you driven past beautiful homes and found yourself muttering, “Those are lovely but they’re only for rich people.”  Have you seen a CEO or entrepreneur on TV and felt a stirring of longing to achieve the same career success, but then dismissed it as impossible?  These reactions are commonplace, but they are not the thoughts of champions.

Belief that you can achieve your financial dreams is the first, and perhaps most important, step to actually accomplishing them.  You must be convinced that you can save, that you can pay off debts, that you can earn more than you are earning now, that you can make good investments.  If you are convinced your desires are possible and that you deserve success, then it is easy to create a concrete, practical plan to make those dreams happen.  You can save your goal amount every month.  You can pay off the amount of debt each month you’ve committed to.  You can get a promotion or a better job or find alternative sources of income.  You have the ability to select wise investments or to find a trustworthy advisor to help you.

It weakens your resolve to save if you think, “I’ll never be able to live without that amount this month.”  You’ll put it off this month, then next month, and then your goal will spiral down into non-existence.  It weakens your resolve to tell yourself, “I’m trapped by this debt,” or “At this rate, we’ll never retire,” or “I’m no good at handling money.”  

Do you think Donald Trump is besieged by self-doubt?  Hardly.  Do you think Warren Buffett wakes up at night questioning his ability to pick great investments?  Not likely.  These men, and others, embody self confidence. If someone had told me at Harvard Business School, where I earned my MBA, that the secret to financial success is in a person’s mind, I would have fallen off my chair.  But the longer I’m in business, and the longer I watch individuals achieve their financial dreams, the more I realize it is the result of their focused, determined attitude.  Now, to be sure, their attitude or focus on making money may have lead them to pursue a potentially lucrative career, but many financially successful people succeed in those careers by adopting the same “winner” mentality as a world class athlete.  Many entrepreneurs have achieved amazing success without formal education and in businesses that are far from glamorous, high paying, or free from risk.  And many business owners have persisted against all odds. Desire, focus, discipline, and persistence are the recipe of champions.

So if you want to retire early, embrace that goal.  If you want to save a certain amount, commit without question.  If you want to own a fantastic house, you can do it.

Think only of winning.  And then describe your strategy for success.

Suzanna de Baca is president of Private Capital Solutions Group. Securities offered through Broker Dealer Financial Services Corp. Member FINRA & SIPC. Investment Advisor Representative of Investment Advisors Corp., A Registered Investment Advisor. Material discussed is meant for general illustration and/or informational purposes only and it is not to be construed as tax, legal or investment advice. Although the information has been gathered from sources believed reliable, please note that individual situations can vary, therefore the information should be relied upon when coordinated with individual professional advice.