The Role Of Luck In Wealth Creation -By Ambi Moses

Eric Arthur Blair popularly known as George Orwell wrote thus in his political-fable novel “Animal Farm”;

“All animals are created equal but some are more equal than others.”

That novel is about humans and not animals. It is basically about politics and class structure in the human society. A satire. However, I am not here to analyze Owell’s pun, but to look at it from a money perspective. Sometimes what makes some humans more equal than others is luck and opportunity! Nothing more, nothing less.

As much as it is ingrained in the psyche of humans of the 21st century to believe that everyone is born equal and we can all just work our way to the top with the right etiquette and gumption to fulfill our dreams, that has not been my observation. Follow me.

One of the most confusing, mysterious and misunderstood thing ever created on earth is money. It appears as if it has come to you all by your efforts ALONE, while in fact it is sometimes bestowed on you by nature, circumstances of birth, divine providence, natural selection or inheritance. Just look at the disparity in the world for example. Why do people born in Russia, America or China all have different levels of wealth far above those born in Africa? At birth, destinies have been decided! What do you think made these differences?

Communists thought about this for a long time. The very basis of Communism is that everybody should have the same level of income and wealth. They argued that we are all equal and no one should be rich and no one should be poor. They thought that everybody is the same and that everybody should share bountifully in nature’s gifts, but that theory has failed miserably! The principle is absolutely wonderful, logical but in reality, it didn’t work. If Karl Marx and Vladimir Lenin were to wake up from their graves, they would be terribly shocked to see the reality of their idea! They may have to re-write the whole Communist theory!

In some cases, wealth is something bestowed on you. Some are just lucky to be born into rich families. Just by being born into the Rockefeller home, somebody acquired all those billions, without any sweats. Why does this happen when somebody else has to toil all his life just to make ends meet? Isn’t this a big question? Yes, you can say someone paid the price but is the one enjoying it at the moment the one who paid the price?

The Role of Luck in Success and Money

Have you ever met a very financially successful individual say maybe a business owner, CEO, or celebrity and you were absolutely dumbfounded as to just how in the world they got where they are? On the retroflex, have you met a super intelligent individual with a strong work ethic and been similarly astonished that they never ascended to a more honourable position in life?

What separated these two individuals?

This is something that I’ve thought a lot about over the years. I’m a firm believer that luck (both good and bad) play huge roles in financial success.

Every single one of us faces the realities of luck. From birth, we are born in to different social, economic and political circumstances. Right then and there, luck has already played a major role in the course of our lives. Across the social, political, and economic pyramid, there are countless examples of luck having a profound role in one’s financial success.

If you were born from 1950 on, your odds of financial success are much higher than if you were born 1700.

If you were lucky enough to be born with no major physical or mental disabilities, your odds of financial success are much higher than if you were born handicapped.

If you were born and raised in cities like New York or Tokyo, your odds of financial success are much higher than if you were born in Jigawa or Kwara state of Nigeria.

In many ways, Americans are lucky enough to be born into the wealthiest country at the wealthiest time in human history. I could go on and on.

Making your own luck

Having said all this, I do believe that many of us are in positions to make our own luck as well. I believe that you sometimes make your own break and opportunity. Warren Buffett attributes much of his success and wealth to luck. Working smart, working hard and the law of attraction often work to turn luck to your side especially if you were not born lucky.

But what is luck? Is it just a chance or good fortune? If yes, then how do people get repeated successes? I would define self-created luck as a confluence of perseverance, prospects, priorities and preference. People who persevere to look for prospective opportunities to exploit often than not, become lucky.

Success = Hard work x Luck

Those who push through coursework with hardwork and dedication have better odds of getting the high paying job than those who don’t. Those who avoid taking shortcuts or committing crimes that land them in jail have better odds of financial success than those who don’t. Those who put in the effort and strategy of building up a strong network of friends and colleagues have better odds of landing in the right place at the right time than those who don’t.

Those who build up their communication, organization, management, mental, emotional, presentation, technological, and creative skills have better odds of financial success than those who don’t.

Yes, Sergey Brin and Larry Page got lucky in many ways, but they also nurtured some tough programming skills to put them in the position to get lucky. Kevin Durant was born with the genes to grow to 6’9″/240 lbs., but that alone couldn’t have made him an NBA star – he put in countless hours in the gym to sharpen his skills and talent. In the luck equation, it pays to be an active chaser than a passive spectator.

Roman philosopher, Seneca, once said, “Luck is what happens when preparation meets opportunity”. I do think there’s a bit more depth than that phrase portrays, but it’s not a bad motto to live by so you don’t become too passive in waiting for luck to fall in your lap.

What I hope people take away from this is an understanding that we are not born on equal footing and that both good luck bad luck do strike, so we should practice empathy and compassion towards each other. An understanding that luck (both good and bad) has very real consequences in our lives. An understanding that life can often be a series of random, unforseen and unplanned events. Sometimes things break your way, sometimes they don’t – how we respond is more important. A belief that we can influence and make our own luck through our efforts, and the hope that comes along with that.