When you have a clear vision of what you want to do in a game of chess, it is easier to move ahead by building on your idea. Similarly as an investor, it is useful to have a definite objective when you invest so that you can have a clear goal to measure your success.
In Rich As A King, Susan Polgar and I teach about “STRATegic goals.” Regardless of the particulars of your ambitions, make them all STRATegic. That is: Specific, Time-bound, Rigorous, Attainable, Tempting. By having a system for defining your goals, you can increase your odds of actually achieving them. In the book, too, we also give a link to an online STRATegic goal-setting tool that we built. Try it out here.
A Vision Influences Your Position
As a chess player, every move you make calls forth a counter move from your opponent. At the same time that you respond to what is happening on the board, you also provoke a response from your opponent. Your success in the game is a result of how closely you are able to follow your vision-while at the same time avoiding your opponent’s traps. Similarly, as an investor, you decide on a goal and develop a strategy to reach it It’s not enough to have a vague idea of what you want. First of all, create a vision and then decide on a concrete strategy or game plan to achieve your objective.
Having a clear goal motivates you to think beyond the existing situation. While you may not be able to follow your desired objective completely, because you are dealing with opposing forces, the presence of a vision helps focus your strategy, reinforce your decisions, build on your strengths, and compensate for your weaknesses.
Here’s another blog post that will tell you how you can build your visions in chess and investing.