Rightly or wrongly it seems that throughout the ages the rich seem to have an uncanny knack of not just holding onto their share of wealth, but actually getting richer.
Sure there are some spectacular examples of riches to rags stories, but in the main, the rich and powerful seem to know just how to keep it that way.
So what exactly is it that super wealthy people do that separates them from the rest?
Here is a list of 8 things that the rich do successfully that others don’t!!
- Know how to back both sides.
Whether it’s new technology, science, politics or of course, that old money maker; conflict. The rich have long understood that if you back both sides of an event, good or bad, you are bound to a) win b) make even more money.
Now that’s what I call a win-win situation.
- Get other’s to take their risks.
Everyone knows that to accumulate you have to speculate. The rich go a bit further than that. They know that it’s the person who sells the mining equipment that makes the most money in a gold rush.
After all, why get your own hands dirty and take big risks when it’s not necessary.
- Know that there is safety in numbers.
If the rich know how to do one thing incredibly well, it’s stick together.
Wealthy families go to the same ‘old’ schools, universities, luxury holiday destinations, elite sports events, hotels, restaurants and night clubs. They are also members of the same gentleman’s clubs, societies, councils and exclusive associations.
This means that they not only tend to end up ‘mutually’ helping each other out, but more often than not marrying into each other’s families.
- Play the long game.
Anyone who has studied history will know that the richest families also have some of the longest family blood lines. This is no accident.
The rich know how to play the long game. They think in terms of generations rather than months and years, stick to what they do best, and invest in the future of their privileged offspring.
- Not afraid of making tough decisions.
And that includes those that might not be morally justifiable in some people’s eyes.
Unfortunately, some businesses can take this to the nth degree and became totally morally bankrupt.
However, even the good businesses and canny investors have to make tough, uncomfortable and brave decisions at times.
- Count the pennies.
We have all heard the old adage ‘count the pennies and the pounds will look after themselves’. Well it’s true, to a point anyway.
It’s pretty obvious really, if you are careful with your cash, spend it wisely i.e. buy expensive things which appreciate (rather than depreciate), and avoid getting into debt, then unless you are very unlucky you will end up with more money than you started out with.
This is just plain old economics. It doesn’t mean that all rich people are ‘misers’ or ‘parsimonious tight wads’. Far from it, there are many generous extremely wealthy philanthropists out there.
It’s just they know what and when to spend their ‘hard earned money’ on.
- Know the art of investing wisely.
One of the best ways to make money is to invest it wisely. This requires good intelligence gathering, shrewd business acumen and fiscal discipline.
It also requires the ability to delay gratification, understand risk management and of course long term planning. All qualities that the really rich understand intimately. In a nut shell, the rich know how to make their money work for them.
- Profit in times of scarcity or abundance.
Lastly, the rich have mastered the art of making money regardless of the prevailing economic conditions. They know that those times of scarcity and depression are a perfect time to buy up things cheaply like property, land and assets. In times of abundance people have lots of money to spend and rich people know how to steer that cash flow into their pockets by supplying things that people want.
There is no magic trick to any of this, and those who have successfully applied the teachings found in classics such as Napoleon Hill’s ‘Think and Grow Rich’ and George S. Clason’s ‘The Richest Man in Babylon’ will attest to this.
But be warned…being materially rich doesn’t necessarily mean your life is a rich and fulfilled one, with everything there comes a sacrifice…and a price!