Most self-made millionaires have been around the block.

Many made their money running their own businesses, and their skills in the business world translated over into their investments. They’re financially independent because of the way they approached their investments.

First of all, the rich got into investing because they didn’t want to run a business for the rest of their lives. Owning a successful business is lucrative and rewarding, but it doesn’t buy you more time with your family.

They saw the only path to financial independence was to create multiple streams of passive income, but as they delved into the investing world, they didn’t forget the skills and lessons learned from running their own business. We can apply these same skills into our own investing approach to invest like the rich to get rich.

Think Like a CEO.

​The CEO is in charge of seeing the big picture and coming up with the company’s business objective steering the company towards that destination.

The rich treat their investment portfolio like their company. Where do they want to take their portfolio? What’s the overall objective?

CEOs have employees and staff they have to take care of, and their livelihoods are dependent on the CEO’s decisions. The rich have their families and future generations to consider, and they approach their investments with an eye on the future, not just the now.

The rich think big picture when they invest. They think long-term. They’re more interested in reliability, consistency, and sustainability when it comes to investment returns. They’re not looking to knock it out of the park every time at the risk of striking out. That’s not to say they’re not willing to consider new investment alternatives. It just needs to fit within their overall investment objectives. And what are those objectives?

The rich have two overriding investment criteria:​

• Income.
• Growth.

Cash flow can meet current expenses as well as be reinvested into other passive income streams. Hard assets that appreciate over time only enhance long-term returns that can be preserved for future generations.

With the twin goals of cash flow and appreciation, Wall Street doesn’t appeal to the rich investor. It’s too speculative, with returns too dependent on variables that have more to do with emotions and hype than with sound economic principles.

Analyze like a CFO.

​When day traders buy and sell a stock, are they analyzing their decisions through a CFO’s lens? I doubt it. They’re trying to guess where the market’s going so they can make a move before everyone else does to make a profit.

They’re trying to time the market, which time and again has proven to be a fool’s errand. Nobody beats the market consistently over time.

The rich analyze their opportunities like a CFO. They look at the numbers, trends, demographics, economic indicators, and other metrics. They look at the long-term projections and not just at the potential payoff today.

They’re looking 3, 5, and even 7 years into the future and basing their decisions on the likelihood of success. They don’t bow to chance. They control as much as they can within their control and mitigate the potential risks that are out of their hands.

They Outsource and Partner.  

​If someone else can do it better, why reinvent the wheel?

To a business person, in the long-term, it’s more efficient to enlist the help of experts instead of doing it yourself to save a buck. The rich realize that partnering is the only way they’ll generate multiple streams of income. As long as the company they’re seeking to partner with fits within their overall investment objectives; they have no qualms about deferring to others’ expertise.

Successful CEOs, as well as successful investors, have a win-win attitude. Why does someone else have to lose like in the stock market for you to win? A win-win investment approach where complementary skills can enhance investment returns is far more desirable to elite investors.

They Don’t Need The Drama.

​Successful CEOs don’t need outside distractions. The rich prefer to invest without drama. They don’t chase shiny objects and the latest fads. They are content with good old-fashioned, reliable cash flow and appreciation. They don’t need the crypto roller coaster or the Wall Street bubble drama. They prefer the quiet of cash flowing tangible assets. Slow but steady, just like the turtle who wins the race. The rich are fine with that.

Start treating your investment portfolio like a CEO and see if your investment habits don’t change.

If you think about the future generations you have to care for, are you more or less likely to take big risks on speculative investments?

Or will you gravitate towards boring but reliable investments that cash flow and grow over time?