How Investing Occurs For Coached vs A Not Coached Investors
by: Brendan MageeHow does the world of investing occur to you? When you think about investing what are the words you would use to describe how you feel or relate to investing? This was a question I posted on Facebook and got back a few responses that show there is a clear difference between how investing occurs for a coached vs a not coached investor.
One gentleman responded by saying investing occurs as disciplined and a well defined philosophy. I think that this gentleman feels pretty confident and focused in regards to what is happening with his money. I would imagine he feels pretty secure about his and his family's financial future.
Now the truth be told, I know this gentleman. I have been coaching him for the better part of seven years. He has put in the time and energy it takes to understand what prudent investing looks like. He has taken the time to understand what imprudent investing looks like and what it takes to avoid it.
Now another lady responded to the Facebook posting and honestly responded that investing occurs to her as risky. That it is for people who can risk to lose money and that it is scary.
I have known this woman longer than I have known the previously mentioned gentleman. She has not taken advantage of the coaching that has been offered to her and as a result the impression she has about investing hasn't transformed too much over the years.
Now the importance of the contrast in how investing occurs between these two individuals is huge. Their perspectives will be the driving force behind the actions they take or don't take over their lives which will have a huge impact on how their lives turn out.
Think about the American Dream as most people see it. It is embodied in family, and what we want to provide our families with, opportunity to attend good schools, live in a decent neighborhood, take nice vacations, build up financial security, have a say in the causes we value the most, and have a pleasant retirement. What fuels all that? Money, and unless you can play basketball, football, or can sing like Michael Jackson your paycheck won't cover all that. You will need to invest.
Imagine how successful you would be as an investor if you saw investing as something painful and to be avoided? The most prudently engineered portfolio won't do you any good if you avoid it like the plague. You simply can't achieve your dreams on savings account interest rates.
Now the coached investor's actions are consistent with achieving their American Dream. The "not coached" investor's actions are not consistent, in fact they are in direct conflict, with achieving their American Dream. They are at the mercy of a story about investing they believed to be true, but really isn't.
Brendan Magee is the founder and president of Inevitable Wealth Coaching. With questions and comments e mail brendan@coachgee.com or call 610-446-4322.
