Is there a reason truly great investors have an advantage?
It appears that in today's society we're infatuated or at least somewhat interested in how to become great. There is also a perception that people are looking to become an overnight session. While it has been discussed to focus on the long term rather than short term with your finances & a theory that it can take 10,000 hours to become an expert is a key element of greatness being missed?
While it is great to have practice, a key factor often under-estimated about greatness is the ability to act rather than react. You ask what is the difference?
To highlight the difference here's a story:
Imagine that you're driving along in the car and you'd like to make a right turn in 1 kilometer (or Mile in some cases :) ). Here is the classifications between the 2
A reactive driver or person would likely not know the right street to turn down, leave it until the last minute and then force their way into the lane with the risk of forcing an accident depending on how effective the other drivers response is
If you are aware of where you are and know you need to turn in a kilometer, someone who acts would take a look around to find a gap, know the street you are looking to turn into and then plan accordingly.
While there may sound a massive difference, it's really the plan and goals, which will likely contribute to your outcome / s. This applies not only to your life as an investor but most others too.
Being reactive has been written about before as living pay-check to pay-check; while act will result in deciding based on your goals and objectives. While sure it's not likely that you are going to be able to make clear and concise decisions having the intention will give you a greater opportunity.
Although setting goals and acting will not guarantee your success in investing, it is the process, vision and knowledge that will give you the tools to do so.
A great resource if you want to learn about what could help you to understand more about how to achieve greatness in your finances and life is The School of Greatness by Lewis Howes.
What things are you currently doing to help you become a great investor?
Which areas of your finances aren't currently going so well?
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Remember to live your Money Glee!