When you want to achieve something, the desire should be straight from your heart. You cannot change just because you think you want to change. If you are an Indian you would have been told by your parents that Goddess Saraswati is the Goddess of Learning. We have been asked to seek blessings from Saraswati to do well in academics and in life. Let me add a little more.
You need Sarswati — the Goddess of Learning, you also need a Guru — The God of Gurus is Hanuman. You need a Guru to hold your hand and make the changes. After this you also need the blessings of the Goddess of Wisdom: Parvati.
Why am I saying all this? That’s simply because you need Saraswati, Hanuman and Parvati — to change. People listen to great teachers, read good books and continue to do what they have been doing.
Change makes us uncomfortable, and we resist change.
You cannot become a great thinker by reading books by Swami Vivekananda. You can’t become a great cricketer by reading a book by Tendulkar. To become a good investor, you need to read books on investing. Then you have to see and prepare for change.
The desire to change has to be within yourself. Once you wish to change, take the necessary steps. The ability to change comes next. You can become a good investor — start reading a good book. Then change your thoughts. Change your perspective, change your thoughts, change your friends - people around you should think similarly. Then the whole body changes, the mind changes, the opportunities come, then all of these changes that you have will happen.
People cannot change just because of social pressure. Many people are advised to invest in equities, but are not explained the necessity to invest in equities. Hence the person has to want to change, find the right Guru, and then take necessary steps.
Reading books is useful, but not sufficient. Reading Buffett’s books does not make you an investor like Buffett. First is the desire to change, then the acceptance that change is good.
Not worrying about what others will think. I see doctors struggling with equity investing — they prefer real estate. Generally changing asset classes if difficult — you need to read, understand, be willing to undergo the pain of investing.
You can read books on value investing, investing history, equity valuation, but it is easy to buy real estate hoping that things will be the same.
Over the past seven years prices in real estate have moved nowhere. This ofcourse is no reason not to buy real estate, but it is a good signal to diversify your portfolio. However, as I said earlier, change is painful. People will continue to seek pleasure in eating sweets (even if they are diabetic), invest in real estate, laze around and not exercise, etc. — this is called resistance to change.
The current situation is so easy to continue that they do not think they should change. Typically like a frog in boiling water. Change is difficult, but if you want to make changes in your life, move your backside, and make things happen!
Writes at www.subramoney.com and has authored the best seller ‘Retire Rich - Invest C 40 a day’