15 ways rich people think differently

[Garpal Gumnut]

Some rich and poor I know are poor, and some rich and poor I know are rich.

gg

 

[Julia]

While it's true that rich people aim high, that doesn't mean that if YOU aim high, that YOU will become rich.

While it's true that rich people dream of the future, that doesn't mean that if YOU dream of the future, that YOU will become rich.

While it's true that rich people use other people's money wisely, that doesn't mean that if YOU use other people's money wisely that YOU will become rich.

And so on...

All the points on the list are correct statements, or close to it.

All the points made give absolutely NO CLUES about how to become rich.

The list is completely useless because it's an observation of effect, not cause. The cause needs to be investigated. And the cause is hidden from view, because it always is. If it was as simple as following a list, don't you think everyone would have done it by now?

There's similarities in trading advice one reads here. "Just do this!!" "Know your R:R!!!" say the experts, as if doing those things makes any difference. The cause is always hidden, and people act as if the effect is appropriate advice to follow. If the game of trading was like fixing a car, don't you think everyone would be rich by now? You'd learn how to do it and you'd just damn well do it.

In social life, people make the same cause-effect error, and it's very obvious in young people. Young guys see someone having success with women, and they immediately start to mirror the successful person's *effects*. "If I dress the way he does, if I talk like he does, if I walk the way he does, if I join the football team that he is in, then maybe i will have the same success". They do this because they can't see the cause. Then one day the successful guy will suddenly change the way he dresses, and maybe even leaves the football team - but lo and behold, he is still successful with women, while his followers are TOTALLY LOST because they mistook cause for effect. So whom are YOU following like a sheep??? What will you do when he suddenly changes his approach?

Can you see the similarity with trying to mimic successful traders? You can't just do what they do and hope to be successful. It will not happen. Success is possible however, just not this way.

Interesting, GB. So how do we discover the cause?

Are some of us genetically disposed toward recognising opportunities and taking them?
Is it something we can develop?
How relevant is our early upbringing, place of education, peer values etc?

I believe much of the population never gives any of this a thought. The notion that their lives could be other than a daily grind of working in some job they largely dislike, or at the extreme, even the notion that there is a life outside of welfare, doesn't occur to them.

So do we have simple lack of aspiration as a fundamental factor?

 

[ROE]

The best way for most people to get rich is spend less than you earn and invest wisely
and let compounding becomes your friend...

that is something everyone can do without having big business ideas or risk everything, not everyone is cut out
to run business or have great ideas...those who can capitalise on opportunities and business idea good for them
they deserve it and go on to create more jobs for other people in society.

but for most if you got a job you like and you happy with your life style and you can stack a bit of cash away every month that is a rich life...why think differently or copy other people thinking when you happy with what you got

 

[Mrmagoo]

Most rich people bought property before about 2004 and that is what makes them rich.

Enough said.

 

[tech/a]

Most rich people bought property before about 2004 and that is what makes them rich.

Enough said.

Some sure.

 

[cynic]

@Tech/a, firstly thanks for noting your agreeance with 15. Given your indisputable accomplishments in matters pertaining to wealth and its acquisition, I'd love to know your thoughts (but please make sure you type slowly for me as I'm still very much a "wannabe")

I realise that I did ask you to type slowly Tech/a, but maybe just a little faster than that would be okay as the suspenseful wait for your response is killing me!

 

[tech/a]

I realise that I did ask you to type slowly Tech/a, but maybe just a little faster than that would be okay as the suspenseful wait for your response is killing me!

Sorry missed it.

I really believe that for most it's a matter of
Placing yourself in front of your perceived opportunity
As often as you see it.

When you know it's a no brainer put the damned house on it.

[ as an example in 1996 ANYONE could buy a 3 bed home at 20 % down and rent it for a profit
Over and above the interest being paid. The huge in balance lasted far longer than it should as
Prices needed to re balance and they actually over balanced.
Then with the gulf war Gold was way out of balanced at around $350 an ounce-- it has re balanced ]

If your 20 you'll see around 20 of these no brainers in a lifetime.
Even if you don't get the full ride

You only need 1 to change your life.

Learn all you can about risk and how to manage it.

You can have everyone of the 15 attributes but if you do nothing
That's the result you'll get!!

Call it luck as a lot of my friends do or call it the ability to take advantage of opportunity.
Go where the money is and go there often!

 

[cynic]

Sorry missed it.

I really believe that for most it's a matter of
Placing yourself in front of your perceived opportunity
As often as you see it.

When you know it's a no brainer put the damned house on it.

[ as an example in 1996 ANYONE could buy a 3 bed home at 20 % down and rent it for a profit
Over and above the interest being paid. The huge in balance lasted far longer than it should as
Prices needed to re balance and they actually over balanced.
Then with the gulf war Gold was way out of balanced at around $350 an ounce-- it has re balanced ]

If your 20 you'll see around 20 of these no brainers in a lifetime.
Even if you don't get the full ride

You only need 1 to change your life.

Learn all you can about risk and how to manage it.

You can have everyone of the 15 attributes but if you do nothing
That's the result you'll get!!

Call it luck as a lot of my friends do or call it the ability to take advantage of opportunity.
Go where the money is and go there often!

Thanks for that Tech/a. I'm particularly glad that you've taken an interest in this thread as your opinions combined with your accomplishments lend validity to many of the assertions being made by the OP.

P.S. Also glad that you'd genuinely overlooked my original request as I was becoming worried that I might have graduated to your ignore list.

 

[tech/a]

Ignore the Cynic!

NEVER

 

[Gringotts Bank]

Interesting, GB. So how do we discover the cause?

Are some of us genetically disposed toward recognising opportunities and taking them?
Is it something we can develop?
How relevant is our early upbringing, place of education, peer values etc?

I believe much of the population never gives any of this a thought. The notion that their lives could be other than a daily grind of working in some job they largely dislike, or at the extreme, even the notion that there is a life outside of welfare, doesn't occur to them.

So do we have simple lack of aspiration as a fundamental factor?

The cause is genetics and upbringing (learned factors).

Genetics might be altered to some small degree with a lot of effort. Genetic markers for 'sensitivity' and anxiety would be reliable factors in the causation of failure. And the same is true for all those negative values and beliefs you learned as a kid and took as gospel. Beliefs and values are extremely hard to change, because any attempt to do so will bring you face to face with deep identity fears. Ask a hard core Muslim to "just relax and forget about praying for one day". Even if our Muslim friend wants to have a more peaceful life, there's just too much fear. Eternity is hell - **** if I believed that, I'd be praying 100 times a day. Westerners mock their ridiculous ways (see religion thread), and yet everyone has fears that need to be faced. Our fears are just different. Fear has a million faces.

The less fear, the more success (in general). The wealthiest people I have met own their own businesses. But they were able to do that and make it work because - at cause- they were relatively fearless and free of guilt. Such negative emotions tend not to enter their heads. They just go for it. But if you tell an anxious, timid person to "just go for it and get that loan, be bold, open that store, buy the stock, market like crazy"......he will lose the lot. Most small businesses fail as you know. Small business failure is not about having a useless accountant, and it's not about cash flow issues.... it's about WHO YOU ARE. The accountant, the cash flow etc. are effects, not causes.

There seem to be quite a lot of very wealthy people who by and large are bold and relaxed and confident in business, but their intense desire and drive for material wealth is a compensation for never feeling loved as a child. That's their particular fear. If you were to negotiate a deal with them or watch them set up a factory from scratch, you'd marvel at their power, ingenuity and confidence. But ask them to speak gently and intimately with their children about school, friends, life, and you'd trigger intense fear. They'd run a mile to avoid it.

So fear is the enemy. And it has a million faces.

 

[burglar]

... Placing yourself in front of your perceived opportunity ...

Yes. Agree completely!
Old saying, "Opportunity has a slippery tail !"

 

[cynic]

Yes. Agree completely!
Old saying, "Opportunity has a slippery tail !"

So do cobras!

But, definitely agree, just the same.

 

[Julia]

The less fear, the more success (in general). The wealthiest people I have met own their own businesses. But they were able to do that and make it work because - at cause- they were relatively fearless and free of guilt. Such negative emotions tend not to enter their heads. They just go for it. But if you tell an anxious, timid person to "just go for it and get that loan, be bold, open that store, buy the stock, market like crazy"......he will lose the lot. Most small businesses fail as you know. Small business failure is not about having a useless accountant, and it's not about cash flow issues.... it's about WHO YOU ARE. The accountant, the cash flow etc. are effects, not causes.

Failure can also be a result of being slapdash, not doing the appropriate due diligence before buying a small business, projecting its future trajectory etc. So, although I agree with your concept of fearlessness, I think that trait needs to be tempered with common sense and proper investigation.
Plenty of people have failed when they've proceeded on a confident whim.

There seem to be quite a lot of very wealthy people who by and large are bold and relaxed and confident in business, but their intense desire and drive for material wealth is a compensation for never feeling loved as a child. That's their particular fear. If you were to negotiate a deal with them or watch them set up a factory from scratch, you'd marvel at their power, ingenuity and confidence. But ask them to speak gently and intimately with their children about school, friends, life, and you'd trigger intense fear. They'd run a mile to avoid it.

That seems to be rather a wide generalisation. I'm reminded of Rupert Murdoch's eulogy at the funeral of the late Dame Elisabeth, where he described the love and acceptance, encouragement, he received in his formative years.

I don't at all hold myself out to be any sort of successful, but I grew up with heaps of encouragement and affection, absolutely tempered with rigid discipline and expectations, and above all the advice that to get anywhere I'd have to take responsibility for my decisions and their outcomes.

So fear is the enemy. And it has a million faces.

Agree essentially on this. There was a great book, probably now entirely passe, called "Feel the Fear and Do It Anyway" many years ago. The essential message was "give it a go". That's great advice, but only on the basis that you thoroughly investigate the potential downside of any venture.
Just imo of course.

 

[Gringotts Bank]

That seems to be rather a wide generalisation. I'm reminded of Rupert Murdoch's eulogy at the funeral of the late Dame Elisabeth, where he described the love and acceptance, encouragement, he received in his formative years.

A generalization, yes, so it won't apply to everyone.

I've seen success come both ways - 1) by having all the essential personal ingredients and 2) through intense striving, work-through-the-night attitude and by sacrificing everything. The second way seems to appear in those who fear not being ok in themselves, and the wealth seems to be a bit less stable, like there's enormous effort required just to sustain momentum. Dame Elizabeth appeared to have a very nice way about her, so one could imagine success might be almost inevitable if one was born into that family.

The fact that wealth runs in families, with very few exceptions, is further proof.

On the other point, how many people can change from being a "slap dash" style of operator into a disciplined and efficient operator? It's like when Gordon Ramsay goes into a run down restaurant and changes all the protocols, procedures and menus and so on. While he's there it works just fine - a miracle!! Fully booked!!! Even the marketing works. How long can a slap dash dude keep it up once Ramsay leaves? He slowly reverts to the old patterns. That's why Ramsay rarely re-visits those restaurant owners whom he 'helped'. It doesn't last. Ramsay is all about effect, not realizing the cause. Ramsay himself created the success, not the procedures and protocols and menus.

 

[McLovin]

Yes. Agree completely!
Old saying, "Opportunity has a slippery tail !"

And that goes back to my point; stating the commonsense.

Placing yourself in front of your perceived opportunity

Do you really need someone to tell you that's how you make money?

Finding the opportunity is a whole different ballgame. And where most fall down.

 

[cynic]

And that goes back to my point; stating the commonsense.



Do you really need someone to tell you that's how you make money?

Finding the opportunity is a whole different ballgame. And where most fall down.

So what do you think it is that stands in the way of most people finding opportunity?
(Please don't insult my intellect by telling me it's because they spent too much time in church, I've known several high wealth churchgoers in my time.)

 

[Garpal Gumnut]

I insist this is a complete wank of a thread.

I've been poor, and rich then poor and now rich again.

And I do not fear being poor again.

This is a Tony Robbins/Storm Financial thread.

Wake up to yourselves.

It's the Vibe that is more important.

gg

 

[tech/a]

So what do you think it is that stands in the way of most people finding opportunity?
(Please don't insult my intellect by telling me it's because they spent too much time in church, I've known several high wealth churchgoers in my time.)

The minister and parish for starters!
Opportunity right there!

 

[Smurf1976]

So what do you think it is that stands in the way of most people finding opportunity?

Many people can "see" opportunities in all sorts of things. It's just that most don't do something with them.

It's like spotting an attractive woman/man by her/him self at the nightclub, pub or wherever. Seeing what's in front of you is the easy bit but it's not going anywhere if you simply ignore her/him. You have to do something, taking a risk in the process, in order to achieve any benefit from the opportunity presented.

 

[notting]

The minister and parish for starters!
Opportunity right there!

Unless of course your running the greatest REIT in the history of the world.