How Basic Chess Tactics Can Help You Make More Money

How Basic Chess Tactics Can Help You Make More Money

Applying basic chess tactics to running your finances can help you become a better investor. How? Here are some examples: Look at the whole board One of Grandmaster Susan Polgar’s most important lessons when coaching chess is to “look at the whole board.” In both chess and investing, you need to base your decisions not only on your current situation but also on the big picture. While the squares directly in front of you may seem to be totally clear from any danger, other squares that are slightly further away may be more perilous for you. Similarly, when you make investment decisions, look at the long term as well as at your current situation. Take small steps to success Very often, a game of chess is won through taking small steps rather than through sweeping, dramatic moves. A good strategy is to build up both your attack and defense gradually, accumulating small advantages along the way. Similarly, as an investor, you need to take small steps, such as putting away regular savings and contributing to retirement accounts. When you take small steps to increase savings, you let the magic of compound interest and time work to your advantage. Review your strategy Chess players continually review the tactics and strategies they employ on the board in order to improve their game. In the same way, you should review your finances on a regular basis. Life, like the chessboard, is always in motion, so make sure that your financial plan continues to be relevant for your personal situation. By making regular financial reviews, you’ll have a better grasp as to when... Click for more
What Do Warren Buffett and Susan Polgar Have in Common – Rich As A King Episode 141

What Do Warren Buffett and Susan Polgar Have in Common – Rich As A King Episode 141

What tactics do Warren Buffett and Susan Polgar use when making investing decisions and playing chess? How can an investing tactic be applied to chess, or vice versa? Discover why Warren Buffett says you should invest within your circle of competence and how building a “moat” protects your chess pieces and also the stocks in which you invest. If you aren’t already signed up to receive our newest blogs by email, sign up... Click for more
How Does a World Chess Champion Know When to Buy Stocks? – Rich As A King Episode 140

How Does a World Chess Champion Know When to Buy Stocks? – Rich As A King Episode 140

Which chess quote from Garry Kasparov inspired this financial podcast? Find out what this chess quote teaches about taking opportunities, and also why it’s important to have a specific line of strategy when you invest. Watch a free video about separately managed accounts (SMAs). If you aren’t already signed up to receive our newest blogs by email, sign up... Click for more
Here are the Steps to Success in Chess and Investing

Here are the Steps to Success in Chess and Investing

When you play chess, you need to take small steps to success rather than making grandiose moves or waiting for your opponent’s blatant blunders. A good chess player builds his defensive and offensive fortress slowly, accumulating small advantages wherever possible. The same idea applies to finance. Since it’s unlikely that you will win enough money in the lottery to support you forever, you’ll need to accrue money in reasonable, steady amounts. Over time, a collection of seemingly trivial sums adds up. The book Rich As A King: How the Wisdom of Chess Can Make You a Grandmaster of Investing suggests the following small steps to help you build your nest egg. (To watch a 3-minute video about this, click here.): Regular savings. Squirrel away $5 per day, and put it into a stock mutual fund monthly or quarterly over twenty years. If you net 6% per year on that pool of money, you’ll end up with over $67,000. (If you can save even more, great!) Lower fees and expenses. Look for ways to reduce small, recurring cash outlays. You could transfer your banking relationship to a lower-priced firm (saving $400 per year), pay off your credit card every month (or better yet, switch to a debit card) and save $2,000 per year in interest payments, and renegotiate your cable and cell phone bills (save $30 per month). Examine your budget to find other possible savings routes. Implementing these alone would allow you to sock away $3,800 every year. Get a better salary or find a second income. Could you find a job with a better salary, or perhaps work... Click for more
Two Ways Baby Boomers Can Have a Successful Retirement – Rich As A King Episode 132

Two Ways Baby Boomers Can Have a Successful Retirement – Rich As A King Episode 132

Baby boomers are approaching retirement. Find out about a strategy baby boomers can use to help them have a successful retirement. Click here to use the “lunch savings calculator” to help you prepare your finances for the future – no matter how old you are. This link is good for baby boomers as well as anyone else planning to retire one day. If you aren’t already signed up to receive our newest blogs by email, sign up... Click for more
The Best Way to Profit From Low Interest Rates– Rich As A King Episode 130

The Best Way to Profit From Low Interest Rates– Rich As A King Episode 130

If you like investing in bonds and other conservative investments, how should you invest when interest rates are low? Low interest rates and high inflation can actually lower the real value of your money if it is invested in bank savings accounts or CDs. So what are your options if you don’t want to take on a high risk (read: potentially high return) investment? Listen to this financial podcast to learn about a strategy that can help you make the best out of your investments during times of low interest. If you aren’t already signed up to receive our newest blogs by email, sign up... Click for more