The World Cup may be over, but we are still reliving the moment. Not only have the games been exciting, the strategies deployed by various teams also have some lessons to teach about investing.
After all, managing money and playing professional football needs skills.
Let’s get to it:
Set your goals
Every team came to the World Cup with a goal – to score the most goals and win the game. Similarly, while investing, you should have your goals mapped out. Your goal could be to retire wealthy, be able to realize your dream of that home, car or business you want through an investment in the Money Market Fund account, or fund your children’s education to the highest extent possible.
The French team had more than half of their squad of 22 players being people from African descent hence the talk of their win being a win for Africa. Belgium likewise allowed ethnic diversification to get the best from their World Cup efforts.
In the investment world, you should also think diversity. Depending on your risk appetite, different investment products can help you reach your desired goal, some faster than others. Don’t box yourself and wealth in, be open to diversification because you never know when you hit the big win.
Hire a good manager
A manager can make or mar a football team. The Croatian team gave accolades to their Coach Zlatko Dalic for bringing out the best in them with his words of motivation and workable strategies. He helped them perform better as a team bringing Croatia to the second-best team at the 2018 World Cup.
In the same way, when it comes to managing your money, your best bet is to rely on expert advice and pedigree of your investment company.
Be consistent with your strategy
A team’s strategy for a match will amount to nothing if the players don’t stick with it. Just like football, if you don’t stay consistent with your strategy to achieve your goals (which is steadily topping up your investments), it will be difficult to achieve it.
Even the most experienced forward stands the chance of missing a simple shot or penalty under pressure. The same is true with investing. Staying calm is beneficial to you as an investor especially when you have a proven investment process already working for you. The ability to stay focused on your investment objectives can mean a big difference for your long-term ability to optimize returns.
Bottomline: Just like France, you can win at investing if you employ the right strategies and stay consistent.