If you want to be rich, first stop being so frightened

[Cheese]

Quote from Bernoulli:

This is from the bottom of the same page:

These are all the 'rules' I am aware of. The biggest error most folk make when going into business for themselves is to believe single-mindedly in their 'idea'. Ideas are literally ten-a-penny. Execution is the real key and to achieve it requires talent. But Not Necessarily Your Own Talent . I have employed hundreds and hundreds of people more talented than I am in my business career. If you can persuade the talent to work for you, you are virtually home and dry - as long as you give such individuals their head (delegate!) their due (pay them and praise them!) and refrain from interfering too much (the hardest thing of all!) Making money is a knack, not rocket science. The three key qualities required are desire, stamina and perseverance.

This is an excellent point.

Ideas are a dime a dozen. They can be good but are not important unless you are going to test, research and work at implementation. Often just a little rigorous thinking and actual checking will show up the hurdles and difficulties attending faulty ideas. Even if do-able in some fashion, no success or no big success can be guaranteed.

Ideas for most individuals don't do much more than feed the dreamworld of their imaginations.

 

[traderguy02]

Quote from sim03:

Sounds like this will be a cool book to check out, in a month.


"DENNIS'S WEALTH GUIDE

Total assets

£1m-£2m The comfortable poor

£2m-£5m The comfortably off

£5m-£15m The comfortably wealthy

£15m-£40m The lesser rich

£40m-£75m The comfortably rich

£75m-£100m The rich

£100m-£200m The seriously rich

£200m-£400m The truly rich

£400m-£999m The filthy rich

More than £999m The super rich"


So, what would be an apt description for the vast majority, the conspicuously missing "0-£1m" category? "The uncomfortable working poor"?

this list is the top .005% of wealth in the world....its funny how its broken down....ooooh the misery it must be to be on the bottom of that list

 

[inflector]

He's spot on with two of the most important ideas about becoming super rich. First, that you need to be willing to take risks that expose you to potential failure and ridicule to make a lot of money, and second that it is execution not ideas that count.

I'm always amused by people who look down on others who have made a lot of money and then stumbled at something else for a bit; as if it were possible to have success without the possibility of failure along the way.

These are the same guys looking for the 90% success rate trading systems that have no risk and return 1,000% per year. The "critics" of Teddy Roosevelt's famous quote on risk and failure:

It is not the critic who counts, not the man who points out how the strong man stumbled, or where the doer of deeds could have done better. The credit belongs to the man who is actually in the arena; whose face is marred by the dust and sweat and blood; who strives valiantly; who errs and comes short again and again; who knows the great enthusiasms, the great devotions and spends himself in a worthy cause; who at the best, knows in the end the triumph of high achievement, and who, at worst, if he fails, at least fails while daring greatly; so that his place shall never be with those cold and timid souls who know neither victory or defeat.

Very few billionaires have not taken large risks to get there. Its not a coincidence that many of the richest billionaires have been college dropouts. They believed in their own success enough to leave the traditional path, a risk most would not take.

I've seen a lot of well executed mediocre ideas make money and many very good ideas crash and burn in my days in high-tech startups. Microsoft is a great example of mediocrity well executed. Apple pre-jobs-return was an example of great ideas very poorly executed.

Any failures in my own startups were invariably failures in execution not ideas.

- Curtis

 

[Cheese]

Quote from inflector: ..
Very few billionaires have not taken large risks to get there. ..

Risk is misunderstood by many in the context of money.

If risk is being taken larger than usual then it needs to be calculated risk with ALL outcomes assessed beforehand and with expected consequences understood.

More generally and firstly risk frightens most. But secondly there are still many capable of outright stupidity where making money is concerned .. from utter crass stupidity in risk taking through to simple unnecessary risk taking.

Look at trading where amateurs enter without barrier. How often will they start without the thorough preparation, research, relentless testing and acquired skilled of understanding the market? Answer: often.

Look at size of stake or position size. Very important after knowing you have an accurate methodology. How often does an amateur or even longer term wannabe get the urge and hit the market hard to score big or better without a really accurate methodology? You put the answer.

 

[rimshaker]

Quote from myminitrading:

Becoming rich, what a crock of crap. Being happy enjoying life and your family and children, thats success.

Being a father and mother to your children, spending more time with your family, thats success, lasting success.

Ummm... ok. Now let's say for a moment that the family income is below poverty levels, or you have massive debts and relying on public services, or just flat out broke with no options.

How can you provide a happy, successful, loving environment without the means to provide it then? How are you and your spouse supposed to spend more time with family when you both HAVE to work 2 jobs all week long?

Having lots of money doesn't mean you have to flaunt it and turn snobbish. It's the fact that you have the means to provide what you said in the first place. Hell if it were the other way around, then the happiest places in the world would be all the 3rd-world countries! They all got tons of kids per family and all the time in the world to stay at home to "enjoy" them.

 

[nzbryant]

Thats a great piece - thanks. I ordered the book already.

 

[nzbryant]

Quote from TA4ME:

One problem I've had in controlling my emotions is to not take anger of a lost trade out on a significant other.

This is off topic, but dont take out trading anger at your partner, or you may not have a partner anymore.

 

[myminitrading]

Quote from rimshaker:

Ummm... ok. Now let's say for a moment that the family income is below poverty levels, or you have massive debts and relying on public services, or just flat out broke with no options.

How can you provide a happy, successful, loving environment without the means to provide it then? How are you and your spouse supposed to spend more time with family when you both HAVE to work 2 jobs all week long?

Having lots of money doesn't mean you have to flaunt it and turn snobbish. It's the fact that you have the means to provide what you said in the first place. Hell if it were the other way around, then the happiest places in the world would be all the 3rd-world countries! They all got tons of kids per family and all the time in the world to stay at home to "enjoy" them.

The key to success, is to stay out of debt. Why is the suicide rate higher with the affluent, then the poor.

Wealthy people have nothing to look forward to, how many jets or diamond rings can you buy.

Poor folks have much more to look forward to.

 

[timmyz]

is the person who wrote that a rich guy? i think for every 1 person who gets rich doing it that way, there are 20 others who get rich doing the exact opposite. cheat, don't work hard, mislead, take credit for other people's work, politics, etc.

 

[coolweb]

Quote from timmyz:

is the person who wrote that a rich guy? i think for every 1 person who gets rich doing it that way, there are 20 others who get rich doing the exact opposite. cheat, don't work hard, mislead, take credit for other people's work.

classical thinking of a piker for life.

"Everybody who is rich stole it , poor people are the most honest fellas"