We all know this woman when we meet her. Extremely confident, radiant with optimism, and knows she’s got it all together.
She’s fierce, fearless, and female, in total control of her life, her money, and her decisions. Hope is not a strategy for her. Not ever. She’s intentional about her goals and plans for the future, but at the same token, she’s enough of a realist to know when to course correct or make a major change necessary for own personal growth.
How do I define this financially fearless woman?
The financially fearless woman knows who she is and where she’s going. Who is she? Not some mythical, clip arty business women wearing a red cape, superimposed on top of steep, snowy mountain. On the contrary. She’s you. And she is many of the women you already know.
Being financially fearless does not mean you have to be an expert in investments, finance, or economics but it does mean that you possess a certain mindset and characteristics that exemplify investors in this category. Recently, I identified many of these attributes on a multi-speaker web presentation entitled “Women, Wealth and Empowerment” sponsored by Chaikin Analytics and optionMonster® with six other female financial professionals including Sandy Chaikin, host of the Financially Fearless podcast (I was her first guest). The webinar succeeded in its goal to empower women to take control of their financial future and invest with confidence, simply and easily.
You can watch the entire webcast with all #Fearless7 here or access my presentation above. You’ll soon discover that financially fearless woman share many of the same characteristics, among them:
She invests in herself. It was billionaire investor Warren Buffet who said, “Invest in as much of yourself as you can. You are your own biggest asset by far.” The financially fearless woman is bullish on her own identity and success. She makes the biggest investment in her own professional development and education, realizing the gains and return on investment will be immeasurable. She is involved in making financial decisions. Financially fearless women share in the financial decisions of their household rather than let others make decisions exclusively. Making decisions in this fashion fosters open communication and a commitment to results. The likelihood of achievement is also enhanced when decisions are made jointly. She stays informed. Keeping abreast of the economy and business news put financially fearless women at an advantage. They understand what is going on in the markets and how that may impact their own financial position, without overacting. They also make decisions from a position of strength. She doesn’t make excuses. Financially fearless women don’t play the blame game when things don’t go their way. Instead, they take full responsibility and accountability for their decisions, good and bad. She knows her credit score. The financially fearless woman knows her credit score and how the quality of that score affects the rate of interest she can borrow money. Maximizing her credit worthiness is a priority and affects her bottom line. She knows what she owns. Financially fearless women understand what assets they own, the ownership structure of those same assets, and constraints. Related Financial Self-Defense for Women Part 2 Some assets, like real estate, have less liquidity than cash. Assets on a balance sheet are not the same as cash in the bank. She controls her debt. Her debt does not control her. The financially fearless woman knows exactly what she owes, to who, and the interest rate attached to that debt service. She is making more than just the minimum payment and using credit for convenience. She’s got goals. The financially fearless woman has committed her goals to writing, quarterly. She puts these goals into SMART format – Specific, Measurable, Attainable, Realistic, Time-Sensitive, and knows that she has to take action for their achievement. Related Goals Cheat Sheet for the Uninspired . Rather than trying to accomplish too many things all at once, she is clear about her priorities. She has an emergency fund. Having at least 6 months of living expenses in the bank is essential to the financial fearless woman. She is partially insulated against an unexpected event, such as a loss of job, a medical emergency, or a family crisis, giving her enough of a cushion to ride the storm. She is investing for the future. The financially fearless woman knows there are only two ways to make money: by going to work and/or by putting your money to work. Inflation, the increase in prices of goods and services affects the purchasing power of what we can buy for those same dollars. Not to mention, there is a finite amount of energy and time each of us have. The financially fearless woman invests her money so she can work smarter not harder. So quit trying to make it harder than it is.
