Investing in relationships
Your most valuable asset will never be found in a brokerage account.
For the last couple of months, we’ve been learning from a team of incredible financial “coaches”. We’ve explored the psychology of money with Morgan Housel , the algebra of wealth with Scott Galloway, the art of living with Bill Perkins, the systems of a rich life with Ramit Sethi, and the simple path to independence with J.L. Collins.
None of them frame wealth as the ultimate goal. Instead, they all see money as a tool to achieve something far more valuable: freedom, autonomy, and the ability to design a life filled with purpose and meaning.
This brings us to the most important investment we can ever make - one that requires no capital, is immune to market volatility, and pays the highest dividends imaginable. It’s the final and most crucial piece of the puzzle: investing in relationships.
Why This Investment is Foundational
Financial success in a vacuum is hollow. A large portfolio means little without people to share life’s journey with. Our relationships are the bedrock of our well-being, providing the support, joy, and connection that make life rich and meaningful. As Morgan Housel taught us, the highest dividend money can pay is control over our time - and the ultimate expression of that control is choosing how and with whom we spend it.
Investing in relationships isn't a luxury you can afford once you've "made it." It's a foundational practice that should be integrated into your life today, regardless of your financial standing. It’s the "why" that gives power to your entire financial plan.
The Return on investment
The returns from investing in relationships are profound and lifelong. Bill Perkins brilliantly calls the positive feedback from our experiences "memory dividends". When we invest time and energy in our relationships, we are creating a portfolio of these memories that compound over time.
The Dividends of Life: The immediate returns are joy, laughter, and shared experiences. When you face challenges, this is the portfolio that provides your support system. When you celebrate wins, it’s the community that amplifies your happiness. Unlike a stock, the value of these dividends never decreases; in fact, recalling and sharing them only makes them more valuable.
The Legacy You Leave: Your true legacy is not the balance of your estate, but the impact you had on the people around you. It’s the wisdom you shared, the support you gave, and the memories you created together. This is the inheritance that truly endures, passed down through stories and cherished moments long after you are gone.
How to Maximize Your Returns
This is one investment where you don't need a brokerage account, just intention and presence. Here are a few practical ways to actively invest in your relationships:
Invest Your Time and Presence: The most valuable currency you have is your undivided attention. Put your phone away, make eye contact, and truly listen. Schedule regular, dedicated time for the people who matter most, whether it’s a weekly call with a parent, a monthly date night, or a game night with friends.
Invest in Shared Experiences: You don't need a lavish vacation to create a lasting memory. A hike in a local park, cooking a meal together, or trying a new coffee shop can all yield incredible memory dividends. The goal is the shared experience, not the price tag.
Invest with Generosity: Generosity goes beyond money. Be generous with your praise, your knowledge, and your support. The act of giving your time and expertise to help a friend or mentor a colleague strengthens bonds and creates a powerful positive feedback loop.
"Automate" Your Connections: Just as we automate our savings, we can build habits that ensure our relationships are nurtured consistently. A simple "thinking of you" text, remembering important dates, or establishing small rituals can keep connections strong amidst the business of life.
Ultimately, the goal of financial independence is to live a life rich in what matters most. By consciously and consistently investing in our relationships, we ensure that the life we build with our money is one worth living.
Let's Talk Money!
When you think about your ideal life, what role do relationships and community play in that vision?
How does framing time spent with loved ones as an "investment" change your perspective on how you allocate your free time?