What a Wealthy Retiree Can Teach Viswanathan Anand
Douglas Goldstein, CFP®
While chess pundits try to figure out why the reigning world champion, Viswanathan Anand, can’t seem to catch a break in this tournament, we might be able to find a clue by looking at the way experienced and wealthy investors handle their portfolios.
Imagine if you worked your whole life, saved vigorously, invested well, and found yourself at the doors to retirement with a substantial nest egg. A young, well-dressed salesman sporting a Rolex approaches you and says, “Hey, Pops, have I got a deal for you!” Wouldn’t your first instinct be to shoo him away and protect what you have? Would you perhaps say to yourself, “I’ve got all that I need. Why do I need to risk it?”
Has Anand had enough of being World Champion?
Can we really dig into the psychological makeup of Anand? At this level of chess warfare, both competitors approach the table with substantial training, strong support teams, and, of course, their own brilliance. The outcomes of the game, however, rely a great deal on the emotional fortitude and raw desire of the participants.
Lewis B. Cullman, philanthropist and founder of the Chess in the Schools Program, asked, “What would I possibly do with more money?” He wasn’t kidding. Obviously, everyone wants to build wealth. However, with years of experience comes the wisdom to realize that a large fortune is not an end in and of itself. Oftentimes when successful investors are reaching their retirement years, they decide, or they are encouraged by their financial advisors, to cool off. There’s nothing wrong with resting on your laurels, appreciating what you’ve done, and allowing the next generation to have its turn.
Is that what is going on in this tournament?
Has Anand chosen, perhaps subconsciously, not to fight for even more riches, but to protect his core assets and decline the offer of the ‘salesman’? After all, what is fame upon fame?
On the other hand, of course, the tournament is not over and Magnus Carlsen should not think that Anand is simply going to hand him the trophy.
The amazing parallels between grandmasters and sophisticated investors can help ordinary people who aren’t chess champions and billionaires better understand themselves.
What is it that you want more of? What are you willing to fight for? When are you satisfied with what you have?
Susan Polgar and I are always interested in hearing new stories about how people apply the wisdom of chess to investing. We’ve researched the concept for several years to write our book, Rich As A King: How the Wisdom of Chess Can Make You a Grandmaster of Investing. Add your story on www.RichAsAKing.com.
Douglas Goldstein, CFP®, co-author of Rich As A King: How the Wisdom of Chess Can Make You a Grandmaster of Investing (by Susan Polgar and Douglas Goldstein, Morgan James Publishing, 2014)
Anand is a rich world champion.