Would you believe that in a study of 1,000 affluent US individuals (The Millionaire Mind, Dr. Thomas J Stanley, PhD), 733 had attained millionaire status, while the rest only appeared wealthy? Further, these millionaires by and far had not graduated from prestigious colleges, had not obtained fabulous MBA entry level jobs, did not wear fabulous jewellery, did not live in luxurious nouveau riche neighbourhoods, very seldom owned or drove ultra-expensive cars and had not inherited wealth.

What are some of the attributes of a self-made millionaire, otherwise known as a high net-worth individual? They embraced hard work, reliance on self, continuity in marriage, developing large networks of business and social acquaintances, absolutely loving their job, seeing and taking opportunities where others would not; they preferred spending entertainment time at home with friends and extended families, and participating in a personal faith. Above all, they always endeavoured to live below their means, because to paraphrase one interviewee, you cannot enjoy life if you are addicted to consumption and the use of credit.

The Difference Between High Net Worth and High Income Earners

If it is true that you can never tell a financial statement (book) by its cover, the dollars and cents appearing on high net worth reports reveal the real numbers, and readers, the truth will surprise you. One would not think it possible to be a low-income earner with a very high net worth; conversely, many of those who appear very wealthy are spending and mortgaged to the hilt, living up to the standards of their neighbours. See comparison of high net worth and high-income earners.

HNW (Wealthy) individuals by definition are serious targets for the investment industry; however, millionaire minds made very clear distinctions about whose financial advice they value. Primarily, they relied upon their own research, and as has been true across the investment industry feeds lately, it was not investment advisors they used for independent expert advice, but Certified Public Accountants and tax attorneys.

Life Labels and How They Hurt

While touting the concept of wealth and success in America, this wonderful book is far more about whom America's financial elite are and how they arrived. What were their school days like? How did they respond to negative criticism? What kinds of serious relationships did they establish? Where did they draw resilience to overcome obstacles?

It is also about individual and parental values, overcoming negative definitions with courage, risk taking and positive concepts of self, while rejecting the concept that young individuals can only be considered smart by virtue of successful test-taking (analytical intelligence). It was appalling to read, even though we like to think otherwise, that students then and too often today are still early on in life labelled: slow learners, unable to keep up with peer groups, not college material, will never make it into professional ranks, i.e. doctor, lawyer, accountant, etc. Many cannot reject such assumptions and perform exactly as defined, falling away, never to achieve their full potential.

Overcoming Negativity - Never Allowing Anyone to Define Who You Are

With so much against them, how did these millionaire minds make it to the top? Even today, some seemed embarrassed that they had not attained the formal education that many of their employees possessed. Many were very poor performers in school; so many of the interview group undershot the United States SAT (Standard Aptitude Tests - a score of at least 1200 or more a requisite for college admittance), that the author came to call them the 900 club.

Another very real secret seems to be healthy sense of self-worth. They rejected labels imposed upon them in grammar school and elsewhere, understanding that while they would have to work much harder than a gifted person did, they could succeed. In one poignant case, one individual did not graduate from high school until he was 22 years old, and then needed another five to seven years to finish university! Along these arduous life journeys, they learned to fine-tune their unique abilities - by using their creative and practical intelligence - to seize business opportunities in niche markets. These are little known, extremely profitable industries such as used-truck parts, speciality hardware fittings, waste recycling, and a national trade publication just for pizza company owners. Would these vocations typically fit our perceived image of high net worth individuals? Not really, but they are huge success stories.

Human Intelligence Has More Than One Face

Dr. Stanley has spent much of his career studying human intelligence, and has broken the process into three distinct categories: analytical intelligence - the stuff that geniuses are made of, creative intelligence and practical intelligence - otherwise known as common sense. What he has discovered, as if we did not already suspect, is that analytical intelligence on its own will only carry the extraordinary person just so far. If the individual cannot utilise his/her creative and practical intelligence to assess business opportunities for profitability and viability, he/she will not succeed on a larger scale. It is the two second virtues that these very modest millionaires possessed in great strengths, not that their road to riches was ever easy. It was not. Today, they are the chief executive officers, and brilliant people work for them.

The Real Message, You, too, Can Succeed using Courage, Tenacity, Belief in One's Abilities, Unequivocal Support of Family, Faith, Shrewd Street-Smart Intelligence and Tremendous Hard Work -- In one outstanding and uplifting true story of love, sacrifice, self-education and overcoming adversity, a municipal bus driver (and his equally determined spouse) educated eight brilliant children through university and still managed to retire with a $3,000,000 million dollar nest egg. As a very young father, he made the decision to learn everything he could about investments - no easy task before the age of access to the Internet - by using the down time in between bus layover exchange routes. Then, every single extra dime saved was placed into an investment portfolio to grow, along with their family.

The message this book sends is that anyone can overcome obstacles, succeed if they are determined and have the courage of their convictions. It is a must read, and should be carried in every school curriculum.

lMartha Harris Myron CPA CFP(tm) is a Bermudian, a Certified Financial Planner(tm)(US license) practitioner and VP, Personal Financial Services, Bank of Bermuda. She holds a US NASD Series 7 license, is a former US tax practitioner, and is the 2001 winner -The Bermudian Best of Bermuda Gold Award for Investment Advice. Confidential Email can be directed to marthamyron@northrock.bm

lThe article expresses the opinion of the author alone, and not necessarily that of Bank of Bermuda.

Under no circumstances is this advice to be taken as a recommendation to buy or sell investment products or as a promotion for financial plans. The Editor of the Royal Gazette has final right of approval over headlines, content, and length/brevity of article.