Top 10 Proven Investment Lessons from Cricket to Grow Your Wealth

investment lessons from cricketHelp You Grow Your Wealth

Top 10 Proven Investment Lessons from Cricket

Cricket is a game that’s loved by millions of people in India specially in this T20 and IPL era. It’s a sport that requires a lot of patience, strategy, and skill. And believe it or not, it can also teach us few very important things about investing! So, grab a hot coffee, put on your cricket gear, and here are top 10 proven investment lessons from cricket that help you grow your wealth.

Lesson 1: Don’t Put All Your Money On One Player

In cricket, it’s never a good idea to rely on just one player to win the game. Even if he’s the best batsman or bowler in the team, he can get injured or have an bad day. Similarly, in investing, you should never put all your money in one stock or investment. Diversification is key! Spread your investments across different sectors, asset classes, and geographies. That way, if one investment gets any down movement, you still have others to fall back on.

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Also Read: Has IPL Destroyed Indian Cricket
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Lesson 2: Be Patient, Grasshopper

Cricket is a game that requires a lot of patience. A batsman has to wait for the right ball to play his shot. He can’t just swing his bat at every delivery, like a madman, to hit boundary or over-boundary. Similarly, in investing, you have to be patient. Don’t get swayed by short-term market movements or the latest investment craze. Stay invested for the long haul and let your investments grow over time. Just like a batsman needs to play a long innings to score big runs, you need to have a long-term investment strategy to create wealth.

Lesson 3: Take Calculated Risks, Not Suicidal Ones

In cricket, a batsman sometimes takes risks to score quick runs. But he doesn’t take suicidal risks. He assesses the situation, the field, and the bowler before playing his shot. Similarly, in investing, you should take calculated risks. Don’t invest in something just because your neighbor’s uncle’s cousin’s dog made a killing in it. Do your research, assess the risks, and invest only if you’re comfortable with the potential returns and risks.

Lesson 4: Learn From Your Mistakes, Don’t Cry Like A Baby

In cricket, even the best batsmen get out sometimes. They may get caught behind, bowled, or run out. But they learn from their mistakes and improve their game. Similarly, in investing, you’re bound to make mistakes. Maybe you invested in a stock that tanked, or you sold your investments at the wrong time. Don’t cry like a baby or blame the stock market gods. Instead, learn from your mistakes and use that lesson to make better investment decisions in the future.

Cricket and Investment comparision
Photo Credit: blog.phonepe.com

Lesson 5: Have a Game Plan, Not Just A Game Face

In cricket, a team has a game plan for each match. They know which bowlers to attack, which ones to defend against, and which fielding positions to use. Similarly, in investing, you should have a game plan. You should know your investment goals, your risk tolerance, and your investment strategy. That way, you can make informed investment decisions that are aligned with your goals and risk appetite. And please, don’t just have a game face. That’s just creepy.

Lesson 6: Keep Your Emotions In Check, Don’t Be A Drama Queen

In cricket, a player’s emotions can get the better of him. He may get angry at a bad decision or get overexcited after hitting a six. But that can cloud his judgment and lead to mistakes. Be like MS Dhoni. Similarly, in investing, you should keep your emotions in check. Don’t get greedy when the market is up or panicked when it’s down. Stick to your game plan and stay disciplined. And please, don’t be a drama queen. Don’t make rash investment decisions based on emotions.

Regular invest ment help you build up big score
Photo Credit: utimf.com

Lesson 7: Don’t Follow The Crowd, Think For Yourself

In cricket, sometimes the crowd can influence the game. They may cheer louder for their home team or boo the opposition. But a good player doesn’t get swayed by the crowd. He thinks for himself and makes his own decisions. Similarly, in investing, you should think for yourself. Don’t blindly follow the crowd or the latest investment trends. Do your own research, analyze the data, and make your own investment decisions. That way, you can avoid being caught up in market hype or herd mentality.

Lesson 8: Stay Grounded, Don’t Get Carried Away

In cricket, a player can get carried away after hitting a big shot or taking a wicket. But that can lead to self-satisfaction and mistakes. Similarly, in investing, you should stay grounded. Don’t get too excited after a good investment performance or too depressed after a bad one. Keep your emotions in check and stay focused on your investment goals.

Lesson 9: Have A Team, Not Just A Solo Act

In cricket, it’s a team sport. A team’s success depends on the performance of all its players, not just one. Similarly, in investing, you should have a team. That means having a financial advisor, an accountant, and other professionals who can help you make informed investment decisions. Don’t try to do it all alone. Seek advice and guidance from experts who can help you achieve your investment goals.

Lesson 10: Practice, Practice, Practice

In cricket, practice makes perfect. A player has to practice his skills and technique to improve his game. Similarly, in investing, you have to practice your investment skills. That means reading up on investment strategies, analyzing market trends, and keeping up with the latest financial news. The more you practice, the better you’ll become at making informed investment decisions.

Bonus Lesson: Enjoy The Game

So there you have it, friends! 10 very important investment lessons from cricket. Remember, investing is a long-term game, just like cricket. It requires patience, discipline, and a sound investment strategy. And always remember to keep a sense of humor. After all, investing can be a bumpy ride, but it doesn’t have to be a boring one, in my view 🙂 .

Answers to Common Questions About Investment

What should I learn to invest?

– Consider the long run, not just immediate gains.
– Emphasize diversification.
– Remember the importance of cash.
– Stay focused on your financial objectives.

How do I start investing?

– Start investing as early as possible
– Decide how much to invest
– Open an investment account
– Pick an investment strategy
– Understand your investment options

Source: nerdwallet.com

What type of investment you can consider?

1. Stocks
2. Mutual Funds
3. Bonds
4. Fixed Deposits
5. Retirement Plans
6. Real Estate Investment
7. Insuarance
8. PPF

What is the important lesson in investment?

In simple terms, remember this: No rewards come without risks. When you invest, you have to take some chances to earn returns. Risk means there’s a possibility of losing some or all of the money you invest.

What is the most important part of investing?

The amount of time your money stays invested is the most important factor in successful investing.

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Top image by: Mohamed Hassan from Pixabay.com

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