Trends come and go in all parts of our lives, from food and fashion to politics and even finance. Unfortunately, while some trends are harmless, others can have a negative impact if we let them override common sense. A good example of this is the popular genre of self-help financial books. While there have been some excellent financial books published in recent years, there have also been plenty of less effective missives which were made popular by good marketing (vs good advice). This is clearly seen in the myth of the millionaire mindset – essentially, the idea that the only thing between a person and great wealth is their attitude.
A potentially harmful illusion
Let us begin by stating that there is nothing wrong with having a good attitude and a positive mindset, of course – it’s something we should all strive for. That said, there is danger in believing that a positive mindset – on its own – is the secret to growing and preserving your wealth. This concept has been circulated in a plethora of ‘get rich quick’ types and so-called ‘investment gurus’ who encourage people to think themselves rich. These ‘gurus’ also claim, what separates the rich from the poor is their mindset and that they need to create a mantra and a vision board1. The only hurdle is your own belief in yourself, they say – accept that you are meant to be a millionaire and your behaviour (and bank account) will follow suit2.
It sounds lovely, but it simply isn’t effective or true.
In wealth management, you must separate fact from fiction in order to thrive. While there are some reasonably good points within some of these books – for example, identifying your goals that you wish to pursue,- the benefit often stops there. Unless you’ve won the lottery, wealth is something you build with discipline and skill. A millionaire mindset does not create wealth – it is simply a dream and desire to do so.
We cannot stop the rise of misleading information, but we can choose to ignore it – and we will.
Wealth is possible – but it’s not something you dream your way to
A millionaire mindset isn’t a strategy – it’s a marketing ploy that allows the purveyors to get rich (not the consumers who buy their books and products). Having a vision is important, but it’s nothing without strategic action to propel you there. Your financial goals can be achieved through diligence, a proven investment process and the guidance of an experienced wealth advisor – something that any critical thinker will recognize and appreciate. If you’re interested in learning more, we can help – no schemes attached.
1 https://www.bloomberg.com/view/articles/2018-04-06/a-millionaire-mindset-never-made-anyone-rich
2 http://psychologyformarketers.com/how-to-develop-a-millionaire-mindset/