Money & Mindset - Book of the Month July 2025

I’m a big believer that the best investors are lifelong learners. Each month, I’ll share a book that’s made me stop and think, whether it’s a new strategy, a fresh perspective, or just a better way to look at money and investing.

My goal? To help you learn from the wins (and mistakes) of others so you can invest smarter, with more confidence.

Think of this as your shortcut to sharper thinking and better decision-making, one book at a time.

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The Psychology of Money: Why Financial Success Is More About Behaviour Than Numbers

When we think about money, we often focus on numbers: income, savings, investment returns, market performance. But in his bestselling book The Psychology of Money, author and former Wall Street Journal columnist Morgan Housel argues that financial success isn’t primarily about how much you know, it’s about how you behave.

The Psychology of Money written by Morgan Housel

This book isn’t your typical finance guide. It’s not filled with charts, formulas, or hot tips. Instead, Housel explores the deeply human side of money, how our emotions, biases, upbringing and habits shape the way we earn, save, spend, and invest.

What's the book about?

The Psychology of Money is a collection of short, engaging chapters each illustrating a key principle or behaviour that influences our financial lives. Housel weaves together stories, research and observations to challenge conventional wisdom and help readers think differently about wealth, success, mindset and decision-making.

Money, Mindset & You: Key Lessons from The Psychology of Money

1. Wealth is What You Don’t See

People often equate wealth with luxury... fancy cars, big houses, designer watches. But true wealth is the money not spent, the freedom built quietly in the background.

“Wealth is the nice cars not purchased. The diamonds not bought. The watches not worn.”

2. Compounding Is a Superpower

Long-term thinking and consistency beat flashy short-term wins. Time, more than intelligence or skill, is the greatest factor in wealth building. Warren Buffett became one of the richest people in the world not just because he’s a great investor but because he started early and stuck with it.

3. Personal Finance Is Personal

There’s no universal right answer when it comes to money. Your financial decisions should align with your values, goals, and life circumstances even if they don’t make sense to someone else.

“You’re not a spreadsheet. You’re a person. A screwed-up, emotional person.” 

4. Luck and Risk Are Always in Play

Success is never entirely earned, and failure isn’t always deserved. Understanding the role of chance helps foster humility and better decision-making. It also encourages us not to judge others’ financial choices too quickly.

5. The Most Important Skill is Managing Your Own Behaviour

You can’t control the market but you can control your savings rate, your investment horizon, your expectations, and your reactions.

“Good investing is not necessarily about making good decisions. It’s about consistently not screwing up.”

6. Knowing “Enough” is a Financial Superpower

Many financial missteps come from not knowing when to stop. Chasing more... more returns, more status, more money... can lead to burnout or disaster.

“The hardest financial skill is getting the goalpost to stop moving.”

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Final Thoughts

The Psychology of Money is a powerful reminder that how we feel and our mindset about money is just as important, if not more so, than how we think about it. This book encourages reflection, patience and a deeper understanding of what we’re really trying to achieve when we pursue financial independence or success.

Whether you’re a first-time investor or a seasoned professional, Housel’s insights will challenge your assumptions and help you develop a healthier, more sustainable relationship with money.

Have you read this one already? Tell me what you think!