When we think of emotions that can be dangerous, particularly for managing money and investing, we usually think of things like greed and fear. But there are other emotions that can get us into big trouble. Including hope.
But there’s a way to manage hope so that we’re able to have our dreams for the future, and then make them happen in the real world – if that’s possible.
Greed is a kind of hunger for things in themselves, disconnected from any genuine well-being, and regardless of the consequences. Fear speaks to the need for security – including that deep primal need for survival we talked about an earlier column.
Hope speaks to wishes for potential future flourishing.
A significant portion of our psyche leans toward the future. Our self-concept holds an evolving image of the person we want to be – always a bit better than we are now. Hope is the emotion that draws us toward that image, and the vision of the life we want to lead.
Hope lies at the heart of our aspirations and ambitions; our dreams and wishes. It fuels us to strive for goals and achievements.
It can also lead us to wish for things we cannot have, aspire to achievements we cannot reach, and fantasize dreams that we cannot fulfill.
To the degree that hope is integrated with reality, it can serve our greatest potential. To the degree that it is disconnected from reality, it can undermine that potential; keeping us floating helplessly in fantasy, unable to find traction and gain fulfillment in our lives.
Which was the case for Natalie.
Natalie had big dreams for her financial future. Between seeing some friend’s success in business, and images permeating social media of people living the high life, she could just feel that she could have it all.
She was smart, and a hard worker, and had some genuine talents and skills. But she didn’t see the path from where she was to where she wanted to be – a multi-millionaire within the next 5 years. She just knew she wanted it, and so it must be possible.
She had a good income, and some savings, and had been investing well; but her ungrounded hope was luring her to take bigger risks with her money, so she could somehow make the kind of gains she knew she needed. With bigger risks also came bigger losses, and she never felt like she was getting any real momentum toward her dreams.
And what complicated all of this was that whenever she’d look clearly into what she needed to do – for real – to fulfill her dreams, she’d feel discouraged, as though the energy she needed to do the work had drained from her.
So what she’d do instead was to focus on “positive thinking,” envisioning herself having achieved her goals, and believing that she could make her dreams come true… somehow.
What was missing for Natalie was a clear assessment of the obstacles to her dreams, and a realistic way of overcoming those obstacles.
Focusing on the positive without also identifying the obstacles, and how we might overcome them, doesn’t actually move us toward our goals. It’s soothing in the moment, but it relaxes us, lowering our blood pressure; and that relaxation only serves to decrease our motivation for doing the necessary work.
But when we envision the future wish first, then contrast it with the reality of the obstacles in the way, we’re engaging the wish and the reality together. This contrast will lead to one of two things:

After my workout, I stopped at the cliffs above Capitola, overlooking the Monterey Bay. It had just rained lightly, so the air was crystal clear, and the brownish gold of the kelp beds at low tide made a vivid contrast with the blue gray ocean. The little bit of sun that peeked through the clouds lit a meandering path across the water and through the center of the wharf.
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