Wealthy people usually feel financial stress not because they lack money, but due to the need to make the best choices. To combat this, they should develop a mindset focused on the future. This change can turn constant worry into trust and calmness, especially for those who can afford to think ahead.
Define Success on Your Timeline
Anxiety can increase when people evaluate their achievements based on random standards such as stock market performance, the returns of their peers, or sensational “get-rich-quick” tales. Wealthy individuals often find relief from this stress by establishing their own criteria for success. Rather than concentrating on the ups and downs of stocks every month, they prefer to focus on long-term goals, such as saving for their child’s education in 15 years, amassing a real estate portfolio worth $10 million by the age of 50, or ensuring there is sufficient passive income for early retirement. These targets serve as steady points of reference, rendering short-term fluctuations insignificant. For instance, a technology entrepreneur may not pay attention to the quarterly declines in their startup's value; instead, they concentrate on achieving a 30% yearly growth in users, a goal linked to their exit plan over five years. By setting their own definitions of success, they steer clear of the emotional turmoil that often comes from comparing themselves to others.
Build a “Cushion of Irrelevance”
Anxiety increases when each choice seems crucial. How can we tackle this? By setting aside a part of one’s wealth in stable assets that offer psychological comfort. This “safety net” (usually around 20–30% of the total investment) can include cash savings, Treasury bonds, or reliable real estate—investments that remain steady during market declines. For instance, a hedge fund manager might maintain $5 million in short-term Treasury bills, allowing them to meet living costs for five years without needing to touch their higher-risk investments. This security transforms market dips into chances to purchase undervalued assets, rather than causing worry. Additionally, it provides mental clarity: when basic needs are secure, it enables them to concentrate on long-term strategies without constantly doubting their decisions.
Curate Your Information Diet
The constant stream of financial news and updates on social media can heighten anxiety by adding to the drama. Wealthy individuals tackle this issue by consciously filtering the information they consume. They choose to opt out of daily market notifications, instead focusing on quarterly portfolio assessments. Rather than spending time on investment forums, they turn to a select group of trusted advisors—such as CPAs, wealth managers, and mentors—who grasp their long-term objectives. Some even engage in “news blackouts” during uncertain times, depending on their advisors to alert them to only the most important changes. For instance, a luxury real estate investor may disregard reports about a decline in housing, trusting their team to inform them only if it threatens their ten-year strategy for buying properties in developing markets. By managing the flow of information, they are able to sidestep decisions fueled by fear.
Thinking long-term is not about dismissing what is happening; it is about understanding it fully. For those with resources, it shifts financial unease into thoughtful patience, making every market decline a reminder that wealth is accumulated over many years, not just a few days. The outcome? A sense of financial freedom that is steady, rather than chaotic.
