Photo by denis harschi on Unsplash.
The investor mindset is a positive way of thinking about money that is always looking for growth and wealth.
What is your relationship with money?
Do you simply work to earn it then spend it?
Or, do you work and save and hope that one day you’ll have enough to retire in comfort?
Or, do you understand how to make money, control it and use it to build the world you want for yourself and your family?
I have been through each of these stages. From the worker, to the saver, to now the investor. And I have to say, since becoming an investor, I’ve got a whole new outlook on life. Being an investor is a whole different mindset – it’s one of growth and strength. It’s a mindset that leads to positive aspiration and living.
And I absolutely recommend that you all become investors and get the investor mindset.
What is an investor?
In its broadest sense, an investor is someone who invests resources into ventures that will provide a positive return.
We generally think of it in terms of money.
Invest in money
“An investor is an individual, company or any entity that invests capital with the aim of making a profit. The investor’s main concern is to maximize return while minimizing risk. … There are several types of investments, including real estate, commodities, currency, derivatives, bonds, stocks, etc. Even time (which costs money) is a form of investment.”MarketBusinessNews
So, we take our earnings and that part that we can save, we don’t bury it under the mattress, or in savings with almost no return, we use it to buy assets that make money.
We can buy shares in companies, pieces of land, a rental property, bonds, businesses or whatever. We put our money into assets that make money.
The investor mindset here is that we make money work for us. For the investor, money makes money. The investor doesn’t want to work for it. And if they know what they’re doing, in time they won’t have to work.
The investor mindset is always looking to save as much as we can, so we can grow our pool of assets, and then we can use our time the way we want.
This is the start – but from that insight, we learn that we have even better resources to invest than just money.
Invest in time
Time is the greatest resource we have. It’s the only one that really counts. And once the count is up, well all the work and money and material goods mean absolutely nothing.
The investor mindset is very clear on this point.
We don’t build masses of wealth because we are greedy. We do it because we want to spend our time the way we want. I would rather spend my days playing with my kids than working. Simple as that. But we all live in the real world and we need to work. Well, unless you invest your way free.
And so, we invest our time, like me now, working full time, saving and investing full time, and writing part time, so that I can build my investment machine so that I can get all my time free.
Limits of time
The investor mindset also knows that while time is the greatest resource, it’s also the greatest limitation.
We only have so many hour in the day. So I may want to work full time and then do a side hustle and then do a little extra, but the most I can do is 20 hours a day. (And I’m now getting too old for that kind of hustle.)
And so we know, if we trade time for money, we are limited by how much we can do. But if we invest in assets, and we hire others, then we can make money while we sleep. We can actually create more in the same amount of time. And so we overcome the limitation of time and we scale up our possibilities exponentially.
Invest in skill
Speaking of limitations, the investor mindset is not just about maximizing our money. Once we can see how the proper allocation of money can affect our monetary returns, we know that investment in our skills can drastically improve our return on time investment.
And so the investor looks to invest in their mind, their abilities, their bodies and to max out their ability to be the best and to get the most out of life.
So the investor sharpens their saw; their mind, their muscles, their expert knowledge, and continually looks for ways to improve output, efficiency and return.
The investor mindset is about improving outcomes and getting better.
Invest in the future
Another thing we invest in is the future. The investor is always looking to the future. The investor doesn’t mind struggle today to get the big return tomorrow. The investor mindset looks to see what the future needs and what it will bring.
And for the investor, that future is one of finding wealth and opportunity and more good stuff. We invest in the future so that we can get what we want. We envision comfort and luxury and wealth. We don’t look to the future and worry that we won’t have enough. And we don’t count out our remaining life and try to count if we have enough savings. We look to a big beautiful future and we plan ways to get it.
We invest in making our lives better, but we also look to make other’s lives better.
Invest in others
And for those who hate all this talk about money, well just think of all the good things you can do with money. So instead of imagining piles of money, do as Bill Gates and imagine all the extra medicine you can provide to the poor, or the books to illiterate children, or baby formula to the nearby orphanage.
But more than that, think of all the great things that the mighty capitalists have done.
The charitable funds, public libraries, scientific research and so on and so on.
The investor mindset goes beyond greed. It’s about investing what we have to grow more good. And once we have too much, then we can look to invest in others so they can grow the good of the human race.
So this is what it means to be an investor.
It means we look to the future, we save our excess today to create mechanisms so we can have the world and the life we want in the future.
This is the investor mindset. A way of seeing the world as full of opportunity. It is positive, bold and adventurous. It plants seeds and grows things and builds things and makes things better.
The advantage of the investor mindset
So even if you are not an investor, you should take on the mentality of the investor mindset.
What’s the alternatives?
The preset mindset
Most of us don’t like to think about these things. That’s the way I used to be. I used to work, make enough money and then pay the bills and use the rest to party. At that stage life is easy. And as long as the bills are paid and you can have fun, then it’s easy to just live in the preset; just go along earning and spending.
But then one day you will realize that you can’t work forever. And so you realize you have to save.
The saver mindset
The saver is easy. You work for others, or maybe for yourself, and you put away an amount every week and allocate that for future living. It takes little responsibility to hold on and count, and in the end you stay above the line, hopefully for as long as you survive.
The problem with this mentality is that you don’t know how long you will survive. You don’t know how much you will need? You don’t know what unexpected things will happen in the future.
The investor mindset
The investor mindset, on the other hand, is one of building. It’s about building a machine that will keep working for you, even when you are old and grey. So in the future, instead of worrying if you have enough, you are excited because the longer you play the more you have.
And it’s about building from small to large. You may start tiny, saving just a few dollars, but year after year you grow smarter and better and wealthier. And as you grow your assets you feel empowered gathering even those small assets. You look at your account of shares and you celebrate the tiny dividends. You buy that tiny plot of land and you feel like a king knowing part of the Earth is yours.
The investor mindset is about empowerment. Instead of placing responsibility elsewhere, we take control of our time and our money and our future, and we build something that we can control.
The investor mindset is about ownership. You are not just working day-in-day-out for the ‘Man’ or for your customers. Every day you are building your fortune and the sky is the limit.
And so this is the positive, empowering mindset that means you look to the future with confidence and you start to feel stronger and wealthier every day.
We started our mission with investing about 2 years ago.
We invested our money, our time, our skills and our thoughts, hopes and desires, into building the life and the future we want.
(Read more about our experiences with investing here.)
And we have completely changed.
Get the investor mindset and start to take control of your lives for the better.
Mission to Success
The mission for success is to take our life to the level of awesome. We are actively learning the lessons that will bring us more success, that will improve the future for our children and will help make the world a better place.
If that’s something you want for your life, feel free to come join the mission for success by clicking here: Mission for Success!
All the best, and remember to keep striving for success.