Thinking Like A Millionaire
What is the millionaire mindset?
The millionaire mindset is about taking a risk, but doing it intelligently. Millionaires are people who have made the right choices over time. Very few people get rich just by being lucky. The way to think like a millionaire is to have confidence in yourself, whether it's starting a business or making an investment or buying a home. Taking that risk, but not chasing a dream that you know will never pay off.
What rules do millionaires live by?
The fundamental thing that most rich people will tell you is that they got there because their money was working for them. Whether it was an investment, whether it was a business, whether it was literally other people who were out there, working at this company that they own, it's that things were happening that they put in place. They planted a seed, a financial seed, that's now growing, or grown to be a big tall tree. That's the thing that's going on. They're not wildly speculating in things, they're not wasting their money, they're watching it grow.
How does fear keep people from getting rich?
Fear is probably the single greatest factor that's preventing people from being rich. We're afraid to take risks and so there's always a reason you can talk yourself out of doing something with your money. You may have it in an interest checking account that doesn't even pay interest, for example. But you know it's safe there and you can see it in your bank statement. You know, that's not a good idea. You have to do something with your money. At some point you have to write the check to the mutual fund company, you have to start up that 401k program, you have to commit to buying a house or another piece of real-estate. You have to make that commitment. But just make sure that that commitment is an intelligent one. It's well thought-out, it's researched, all the underpinnings, the economics of it make sense, and you're not over-extending yourself. And that's how you'll get rich.
What opportunities should I look for to make millions?
The world is always changing. It's amazing how much it changes just when you're not even looking. There's lots of investment opportunities out there. There's lots of opportunities to make millions, even within whatever particular business you're in now. Look around. What's the fastest growing job? Where can you advance quickly in the organization? Where might you be able to start a business that serves this new emerging need? You have to keep your eyes and ears open and be looking for the next growth opportunity - not chasing fads but making longterm strategic bets about what you think will be the businesses of the future.
Do I need to be aggressive to make millions?
You don't need to be aggressive. You need to take risk however. You need to, at some point, write that check and make that investment. But you make sure that you've done your research and that all the fundamentals of that investment make sense to you. And then figure out where you are on the risk spectrum. Would you prefer to just, you know, gradually grow your money over time or take a little more risk? There are all different kinds of investment you can make within a whole scheme of them. And figure out where you are and then take as much risk as you feel comfortable taking.
Do millionaires value the U.S. dollar differently?
There's a lot of focus nowadays on the dollar because other currencies are appreciating so much, and international investing is a really important part of your portfolio. I think successful investors do think globally, and they think about having assets that aren't just in U.S. dollar denominated securities and investments. But at the end of the day, chances are you live in the U.S., and so, for better or worse, we're tied to what happens here domestically.
