Cricket is one of the most popular game all over the world. After an exciting season of IPL 2020 it’s time for the Cricket World Cup. Cricket world cup is one of the most popular and widely watched international championship of one-day cricket. You must be excited and busy watching World Cup Cricket Tournament.
One can easily relate a game of cricket with the financial world and learn a lot of things. In this post, I will share 5 important financial lessons to learn from the game of cricket.
5 Lessons to learn from The Cricket World Cup
Make Strategy or Plan
The first thing to learn from the game of cricket is making a strategy or plan. In the game of cricket once you know the opponent team or target you need to make a strategy for winning the match. It is generally based on the current situation and target. If you need to chase the target which is aggressive and demand higher run rate you need to play the game aggressively.
Similarly, in the financial world, if you want to achieve an aggressive target you need to prepare your financial plan accordingly. You need to consider your current financial situation and future requirement while making a plan.
Select the Right Team
The second thing to learn from the game of cricket is the selection of the right team. In the game of cricket, a chance of winning a match is very high if you have a very good team. You should have balance in the team with respect to batsman, ballers, and fielders.
Similarly, in your portfolio, you should have the right mix of investment instrument. Your portfolio should have equity, debt and other investment instrument based on your goals and risk appetite.
Chase the Target
In the game of cricket, you need to chase the target given by the opponent team. If you fail to chase the target you will lose the match. In order to chase the target entire team needs to work hard and do their best.
Similar to this, in financial life, you need to chase the financial goal. In order to do that you need to make an investment and track your investment performance from time to time.
In the cricket match, the early start with aggression will always help to set a higher target for the opponent team. The early start will also help the team to fight against any adverse situation such as loss of wicket or the lower run rate at a later stage.
In a similar line, it is always advisable to start your investment planning at an early stage. If you start investing at an early stage you are likely to reach a better financial position and accomplish your goal in time.
Keep Reviewing Run rate
In the game of cricket, the run rate is very important. It helps to know overall performance. It will also help the team to change the batting order. So, it is always recommended to review the run rate when you are playing a cricket match.
One of the important financial lessons to learn from this is to review your portfolio from time to time. If your portfolio is not performing well, you should make changes in the portfolio from time to time.
I hope above lessons learned from cricket will help you in doing better financial planning.
Do share your feedback and learning from Cricket and Cricket World Cup.