“Thank you!” – Find out how this expression means so much more in the financial aspect of your life. [Wednesdays: The Independent Investor]
Miles Everson’s Business Builder Daily speaks to the heart of what great marketers, business leaders, and other professionals need to succeed in advertising, communications, managing their investments, career strategy, and more.
A Note from Miles Everson:
A lot of people want to achieve financial freedom in the future. In fact, many of my colleagues said one of the reasons why they’re working to boost their careers is so they could achieve financial stability when retirement comes.
One of the things I think about when I’m in these kinds of conversations?
Investing! I believe this is a great vehicle that will help us grow our monetary wealth and build our financial future.
Do you know there are several mindfulness factors that affect how you invest, use your money, and make financial decisions?
Today, we’ll focus on the benefits of gratitude and being a “thanks-giver” in your financial life. Have fun reading!
CEO, MBO Partners
Chairman of the Advisory Board, The I Institute
The Independent Investor
These are some of the common dishes prepared during Thanksgiving Day, an annual national holiday that’s originally celebrated on different dates in the US, Canada, Grenada, Saint Lucia, Liberia, and other parts of the world.
The holiday began as a day of giving thanks for the blessing of the harvest and of the preceding year. In 1863, in the midst of civil war, former US President Abraham Lincoln proclaimed that Thanksgiving Day be held every November.
While there’s a dedicated month and day to celebrate Thanksgiving, it doesn’t necessarily mean we should only exercise gratitude during those times.
Think about this: Should you only be a “thanks-giver” every November and not the whole year round?
We don’t think so…
According to Professor Joel Litman, Chairman and CEO of Valens Research, the entire idea of giving thanks relates to appreciation. If a person knows how to appreciate, he or she can give thanks.
In other words, being a “thanks-giver” requires being a “thanks-haver”―this is a powerful state of mind.
Thanksgiving and Investing
Professor Litman agrees with the fact that making decisions when angry or frustrated can lead to negative outcomes in various aspects of your life.
For example: Negative or exhausted states of mind contribute to troubled relationships and losing investment decisions.
… but here’s good news! You can overcome poor decision-making by using the power of gratitude!
Several researches support that claim.
- A study from the University of Kentucky showed that people who scored higher on tests of gratitude are less likely to hold grudges and more likely to be compassionate towards others.
- A research led by the University of Pennsylvania’s Psychology Professor Martin Seligman found that grateful people are more likely to experience an increase in overall happiness compared to others.
- A study from the academic journal, “Applied Psychology: Health and Wellbeing” found that practicing gratitude is one of the most effective ways to improve sleep quality.
Based on the results of these studies, you can see that thankfulness has positive impacts on your health and decision-making. It also leads to less anger and frustration towards your family, friends, colleagues, and even in the management of your funds and finances.
Here’s how the benefits of gratitude relate to your financial life:
- Greater Satisfaction
According to psychologists Robert Emmons and Michael McCullough, people who exercise gratitude have a more positive outlook in life and are more likely to help others.
Additionally, psychologist Nathaniel Lambert said that stronger feelings of gratitude are associated with lower materialism. The more you are satisfied with and thankful for your life, the weaker your desire to buy stuff is.
… and when you buy less stuff, you’ll save more money in the long run!
- Stronger Willpower and Improved Decision-making
Gratitude enables you to be more patient in handling and earning money.
In a study conducted by a team of researchers from Northeastern University, University of California, and Harvard Kennedy School, participants who exercised thankfulness showed greater self-control and were more willing to wait for higher amounts of money in the future.
Patience and control over your emotions and desires are ingredients for effectively building wealth. Through gratitude, you can avoid impulsive financial choices and make better long-term decisions.
- Higher Productivity and Better Relationships in the Workplace
Gratitude inspires both the “thanks-giver” and “thanks-receiver” to be more productive at work.
In a research conducted by psychologists Adam Grant and Franchesca Gino, when the boss of a fund-raising call center expressed gratitude to employees for all their efforts, the number of calls made by these workers increased by 50% the following week.
See? That makes a positive impression not only on the boss but also on the employees and the call center in general.
It’s also important to note that expressing gratitude is a two-way street. Grant and Gino’s study found that those who helped someone and received an expression of thanks were more likely to help again in the future.
This shows that giving thanks to your workmates or supervisors can also be a way to earn continuous support in advancing your career and potentially increasing your income.
- Wiser Use of Money
One of the goals of financial planning is to allocate money towards the things people value most, including the welfare of others. Studies on gratitude show that it facilitates generosity.
Those who exercise thankfulness are more likely to share their money with those in need AND spend their money wisely.
Gratitude essentially costs you nothing yet it offers valuable benefits. Expressing thanks such as:
- Thanking the chef at your favorite restaurant
- Appreciating a colleague who helped you on a project
- Telling your family that you recognize and appreciate their expressions of love
… can lead to better sleep, less anger and frustrations, and a general state of happiness and satisfaction that translates into better decision-making and investing outcomes.
So, be a “thanks-giver” today and every day―not just on Thanksgiving Day!
The more time you spend on gratitude today, the more you’ll experience physical, emotional, social, and financial outcomes that you’ll be grateful for in the future.
(This article is from The Business Builder Daily, a newsletter by The I Institute in collaboration with MBO Partners.)
About The Dynamic Marketing Communiqué’s
“Wednesdays: The Independent Investor”
To best understand a firm, it makes sense to know its underlying earning power.
In two of the greatest books ever written on investing, the “Intelligent Investor” by Benjamin Graham and “Security Analysis” by David Dodd and Benjamin Graham (yes, Graham authored both of these books), the term “earning power” is mentioned hundreds of times.
Despite that, it’s surprising how earning power is mentioned seldomly in literature on business strategy. If the goal of a business is wealth creation, then the performance metrics must include the earning power concept.
Every Wednesday, we’ll publish investing tips and insights in accordance with the practices of some of the world’s greatest investors.
We make certain that these articles help you identify and separate the best companies from the worst, and develop your investing prowess in the long run.
To help you get on that path towards the greatest value creation in investing.
Hope you’ve found this week’s insights interesting and helpful.
Stay tuned for next Wednesday’s “The Independent Investor!”
Head of Marketing
Valens Dynamic Marketing Capabilities
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