The tennis grand slam season is well underway, and one of the most anticipated events, Wimbledon, is rapidly approaching on 29 June.
Every year, sports fans travel from all over the world to watch elite players like Jannik Sinner and Carlos Alcaraz battle it out on the famous All England Club grass courts in London.
The unique blend of high-level athleticism and psychological strategy makes tennis a beautiful game to play and to watch.
However, you might be surprised to learn of the remarkable similarities between winning play on court and effective investment strategies.
Keep reading to discover three useful investing lessons you could learn from top tennis players.
1. Play the long game and don’t dwell on your losses
The best tennis players recover from mistakes quickly. They don’t let one missed shot or double fault affect a whole game, set, or match.
That’s because they’re playing the long game.
According to the New York Times, in his commencement address to the Dartmouth College graduating class of 2024, Roger Federer said, “In tennis, perfection is impossible.” He went on to share that he’d won 80% of his singles matches, despite having won only 54% of the points. “When you lose every second point, on average, you learn not to dwell on every shot […] This mindset is really crucial.”
Likewise, when you’re investing, a degree of market volatility is inevitable, and you’ll likely experience both losses and gains. While this might feel unsettling, sticking to your strategy and focusing on your long-term goals could help you ride out the ups and downs.
As the adage goes, “it’s time in the market, not timing the market” that matters.
So, instead of panic selling if there’s a dip in the value of your shares or rushing to buy into the latest investment trend, stay consistent and remind yourself of what you’re working to achieve.
2. Develop your own strategy rather than following others
Arthur Ashe famously said, “Start where you are. Use what you have. Do what you can.”
If you’re a tennis fan, you’ll know that no two players approach the game in the same way. They develop a unique style, strategy, and on-court personality that works for them.
Andre Agassi and Pete Sampras both ranked number one in the world during their careers, but Agassi played from the baseline while Sampras relied on a classic serve-and-volley strategy. Rather than trying to copy what the other was doing, these two world-class players achieved their goals by following their own paths.
While there are some widely accepted investing principles that could be helpful, such as those we’re sharing with you, it’s important to develop a strategy that fits your specific:
- Circumstances
- Risk tolerance
- Timeline
If you see friends or people on social media exclaiming about the incredible returns they’ve made from an investment, it might be tempting to follow suit. However, what works for someone else might not meet your needs, as outlined above.
3. Build a team of experts around you
Tennis great Rafael Nadal understood the importance of having the right support when working towards his goals. He once said, “However great your dedication, you never win anything on your own.”
Similarly, after another impressive win, Novak Djokovic acknowledged the role of his team in his success: “My wife, my kids, my team, this is your trophy as much as it is mine.”
Top tennis players like Nadal and Djokovic rely on a small army of experts, including coaches, physiotherapists, trainers, and sponsors, as well as their family and friends. Surrounding themselves with individuals who each offer a different type of support helps them stay on track during challenging times, as well as celebrate the wins and major milestones.
As an investor, you may not need such a large and complex team; however, building a small network of people who can plug any gaps in your knowledge and keep you accountable could be invaluable.
For example, a financial planner can help you develop an investment strategy that aligns with your goals, tolerance for risk, and your broader financial plan. Meanwhile, a solicitor could draft legal documents such as wills and help create trusts to ensure that your investments pass to the next generation in line with your wishes.
Your exact needs will depend on your specific circumstances. You might not need to call on your team every step of the way, but knowing you have people to reach out to could provide peace of mind and help you avoid emotional and potentially costly mistakes.
Get in touch
Whether you’re new to investing or looking to develop your portfolio, you need us on your team.
Our financial planners can create an investment strategy that fits with your circumstances and goals. We’ll help you make informed, disciplined decisions, and if your situation changes, we’ll be on hand to review and amend your portfolio so that it continues to meet your needs.
Email helpme@aspirellp.co.uk or call 0117 9303510 to find out more about what we can do.
Please note
This article is for general information only and does not constitute advice. The information is aimed at individuals only.
All information is correct at the time of writing and is subject to change in the future.
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.
Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.
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