Stoicism – have you heard of it? It was an ancient philosophy of life very popular for hundreds of years in ancient Greece and Rome. But its wisdom applies to us in the modern world. Stoicism can help you to become a better investor and a happier, more fulfilled person. And relevant to the mission of this site, it can help you to live a life that matters.
Stoicism was not a religion. Instead, it was more similar to an ancient form of personal development and moral guidance. And Stoicism’s most famous practitioners were not monks on a secluded mountain. They were engaged in society in roles such as statesmen, writers, teachers, merchants, and even emperors.
If you’ve seen the movie Gladiator, the old emperor in the beginning was Marcus Aurelius, one of the most famous stoic philosophers. Other famous Stoics include Seneca, a wealthy adviser to the Roman emperor Nero, and Epictetus, a feisty former slave who became a famous teacher to the elite of Rome.
Stoicism has very practical ideas that you can apply starting today. And in the rest of this article, I’ll share some of my favorite practices that you can use in your roles as investor, entrepreneur, employee, parent, or partner.
But first, let’s start with the idea of why philosophy matters.
Philosophy = The Art of Living
“The philosopher: he alone knows how to live for himself. He is the one, in fact, who knows the fundamental thing: how to live.”
– Seneca, Letters From a Stoic
“According to Epictetus, the primary concern of philosophy should be the art of living: Just as wood is the medium of the carpenter and bronze is the medium of the sculptor, your life is the medium on which you practice the art of living.”
– William B. Irvine, A Guide to the Good Life: The Ancient Art of Stoic Joy
It would be understandable if your eyes glazed over when I mentioned the topic of philosophy. In modern times, philosophy has become less practical and more of an academic subject for a book or PhD thesis. But in ancient Greece and Rome, philosophy was something to be lived and applied to your daily life.
In fact, the root of the word philosophy comes from the ancient Greek words “philo” meaning love and “sophia” meaning wisdom. Wisdom in this context was less about abstract knowledge and more of a practical knowledge of life.
So, philosophers were lovers of the knowledge and art of living. I love that!
In the modern world, most of us spend a majority of our time in careers earning money. So, the practical philosophers of today also embrace money. They don’t sell out for money by making it too important or too unimportant. Instead, they learn to control and use money so that they can spend their time doing what matters.
And to control money and put it in its proper place, you have to start with the central rule of Stoicism.
The #1 Rule of Stoicism
“The chief task in life is simply this: to identify and separate matters so that I can say clearly to myself which are externals not under my control, and which have to do with the choices I actually control.”
– Epictetus, Discourses (as translated in The Daily Stoic: 366 Meditations on Wisdom, Perseverance, and the Art of Living)
The foundation of Stoicism is a simple idea. Some things you can control and some things you can’t. And in reality, the only things you can control are your thoughts and behaviors in this moment. External events, the opinions of others, the past, and the future are all outside your direct control.
If this idea sounds familiar, it’s because it’s echoed throughout history in many different traditions. For example, the Serenity Prayer of Reinhold Niebuhr has been used for decades by the addiction recovery program Alcoholics Anonymous.
“God, grant me the serenity to accept the things I can not change,
Courage to change the things I can,
and wisdom to know the difference.”
And one of the most moving modern examples of this idea is the life of Viktor Frankl. During World War II the Nazis in Germany killed all of his family and put Frankl in a concentration camp. But out of this most extreme of hardships, he learned this truth:
Everything can be taken from a man but one thing: the last of human freedoms – to choose one’s attitude in any given set of circumstances, to choose one’s own way.
While not formally a Stoic, Viktor Frankl’s ideas echo the core Stoic philosophy. And he taught millions of people through his books and lectures that you have a choice of how to respond to the circumstances of life.
So, you probably get this core Stoic idea. But how do you apply it to your life? Responding ideally to the problems of life doesn’t come naturally. Like any other skill, you have to learn it and practice it day by day, moment by moment.
I’m certainly no expert, but below I’ll share some of the Stoic practices I’m currently working on. Pick the ones that resonate with you so that you can apply them to your own life and investing.
Challenges? Bring ’em On!
Roman Emperor & Stoic – Marcus Aurelius
“We might not be emperors, but the world is still constantly testing us. It asks: Are
you worthy? Can you get past the things that inevitably fall in your way? Will you
stand up and show us what you’re made of?”– Ryan Holiday, The Obstacle Is the Way
Have you ever had a maintenance call, a problem tenant, or other investing situation that didn’t go well? I have had them a lot, and I tend to get overly anxious and stressed when they happen. What about you?
But I’ve begun to think about this and other stressful business situations in the context of Stoicism. And I realize that these “problems” are just stimuli. I can’t control a broken HVAC unit, the behavior of a tenant, or any other problem that’s already happened. But I CAN control my response.
How I respond to these problems will determine the quality of my decisions. It will also affect how my team members choose to respond in similar situations. And just as importantly, my response will also determine how I feel on a day to day basis.
Because in business, investing, or any other challenging arenas of life, you’ll always have some sort of problem. So if you don’t change your habitual response, you’ll constantly be stressed and anxious.
My practice, then, has been to shift my mindset from threats to challenges. Instead of saying to myself “oh, no!” I try to remember the mantra “bring it on!”
Essentially this practice reframes a problem from something that threatens me into an exciting challenge. Challenges are like competing in sports, doing a puzzle, or playing a game. The feeling of a challenge is completely different than a threat. And your typical response to a challenge is much more productive, helpful, and enjoyable.
And in the big picture, these daily challenges become opportunities to grow. The baby challenges of investing are training for the actual threats of life so that you can respond with more poise and calm.
Lucky for us, this is something you and I can practice every day!
Do you have any problems right now? Is there something stressing you out? Try to force yourself to pause. Look at the situation and tell yourself “This is just a challenge. Bring it on!”
Practice Simplicity and Discomfort
“Set aside a certain number of days, during which you shall be content with the scantiest and cheapest fare, with coarse and rough dress, saying to yourself the while: “Is this the condition that I feared?” … Let the pallet be a real one, and the coarse cloak; let the bread be hard and grimy. Endure all this for three or four days at a time, sometimes for more, so that it may be a test of yourself instead of a mere hobby. Then, I assure you, my dear Lucilius, you will leap for joy when filled with a pennyworth of food, and you will understand that a man’s peace of mind does not depend upon Fortune; for, even when angry she grants enough for our needs.”
– Seneca, Letters From a Stoic
I love camping and backpacking. Yes, sometimes it can be cold and wet. And my back doesn’t always appreciate a few nights of sleeping on the ground. But by practicing a simple (and even uncomfortable) life where everything I need is on my back, I’m reminded how little I need to be content and happy.
The opposite can also be true. It’s easy for us to become accustomed to better and better material circumstances. But with each move up the comfort ladder, we become unsatisfied and then “need” even more to be happy. Modern scientists have called this the hedonic treadmill. It just keeps getting faster and faster.
As a modern Stoic, you don’t need to camp in order to practice simplicity if that’s not your thing. But why not practice taking away some of the comforts and securities you take for granted? Turn the air conditioner (or heater) off for a few days. Cook all of your food instead of eating out. Wear only one or two outfits.
Does your life fall apart when you do these things? Probably not. But practicing simplicity and discomfort can interrupt the hedonic programming. And as an investor aiming to achieve financial independence, it will help you make better decisions about what’s really important in life (and what’s not).
Shoot Straight. Let Go.
“The sage, thereby, holds two complementary propositions in mind simultaneously …
1. I will do my very best to succeed …
2. while simultaneously accepting that the ultimate outcome is beyond my direct control.
It implies, ‘I will try to succeed, but am prepared to accept both success and failure with equanimity’ …”– Donald Robertson, The Philosophy of Cognitive Behavioural Therapy – Stoic Philosophy as Rational and Cognitive Psychotherapy
In ancient Greece, the patron god of philosophy was Apollo, who happened to be an archer. An archer wants to hit the target with his arrow. But he also knows that he can only control shooting the arrow straight. The actual flight of the arrow depends on outside conditions like the wind.
So, the archer’s (and philosopher’s) mantra is: Shoot straight. Let it go.
A Stoic would say “I’ll hit the target if fate will have it.” Christians later used the same idea by saying “God willing” or in Latin “Deo Volente.” Muslims also have their own term, inshallah, or “if God wills.”
It’s a beautiful concept that combines doing your best with letting go of the final outcome.
The same concept applies to your investing and business goal setting. Your goal or desired outcome is the target. The process that leads to the outcome is shooting the arrow straight.
So, a Stoic investor who wants to earn $100,000/year puts all of her energy into the process, like hustling every day to find fixer-upper properties. But she also doesn’t become overly fixated or stressed about the outcome. The only measurement that matters is the part of the process she can control – her own efforts.
In my Annual Review article, I give practical tips on the actual steps to move from outcome to process goals with investing.
Play Your Role Well
“Remember that thou art an actor in a play of such a kind as the teacher (author) may choose; if short, of a short one; if long, of a long one: if he wishes you to act the part of a poor man, see that you act the part naturally; if the part of a lame man, of a magistrate, of a private person, (do the same). For this is your duty, to act well the part that is given to you; but to select the part, belongs to another.”
– Epictetus, Enchiridion
The Stoics saw life as a sort of theater play. And as an actor in the play, you’re assigned a role. Your role may be to born into poverty and a horrible family situation. Or your role may be to “win the ovarian lottery” as Warren Buffett has said about himself.
What’s important isn’t the role you’ve been assigned. It’s how well you play the given part.
James Stockdale was an American fighter pilot shot down during the Vietnam War. As he parachuted for 30-seconds towards the main street of an enemy-held village, he thought to himself “Five years down there, at least. I’m leaving the world of technology and entering the world of Epictetus.”
During graduate school only a few years earlier, a favorite teacher had given him the book Enchiridion by Stoic philosopher Epictetus. And his last thoughts in the 30-seconds before landing were on the lessons from Epictetus. Stockdale knew that he was about to lose control of almost every personal freedom except his thoughts and responses to external stimuli.
And Stockdale was right. He was a prisoner of war in an anonymous prison camp for almost eight years! Four of those years were in solitary confinement, and he faced regular torture and interrogations.
In the amazing little book, Courage Under Fire, Stockdale tells us how Stoic philosophy helped him not only survive but find purpose during these 8 years of hardship:
I was forty-two years old—still on crutches, dragging a leg, at considerably less than my normal body weight, with hair down near my shoulders, my body unbathed since I had been catapulted from the Oriskany, a beard that had not seen a razor
since I arrived—when I took command (clandestinely, of course, the North Vietnamese would never acknowledge our rank) of about fifty Americans. That expatriate colony would grow to over four hundred—all officers, all college graduates, all pilots or backseat electronic wizards. I was determined to ‘play well the given part.”
As a real estate investor and someone trying to build wealth, you can’t choose your starting place. I personally had a lot of head starts as an investor. My father was an investor, so I had someone to model and to call for questions. I also had no student debt because I had a college football scholarship. And on top of that, I’m a white male in a time where that still gives me built in advantages.
But you may be in a completely different situation. You may have had a tougher, uphill climb. But Epictetus and James Stockdale would tell you, don’t compare yourself to me or anyone else. And they’d tell you not to try to change the role you’ve been given. Just accept your role and focus on the things you can control. Then do your absolute best.
So, what role have you been given? Are you using all your mental energy to try and switch parts? Or are you working to play your part to the best of your ability?
Arete – Make Today Your Masterpiece
“Be true to yourself, help others, make each day your masterpiece.”
– John Wooden, Wooden – A Lifetime of Reflections and Observations On and Off the Court
The ultimate virtue for Stoics was a Greek word called arete. It’s directly translated as “excellence” or “virtue.” But my understanding of the word is something closer to “being your best from moment to moment.”
Arete is the objective of every practice and philosophy described here. If in this moment you apply these philosophies with excellence, you are living with arete.
And ultimately for me, arete is the purpose of real estate investing, financial independence, and every role I play – as an investor, a father, a husband, and coach here at coachcarson.com. Can I play the role I’ve been given with excellence? Can I overcome the challenges put in front of me? And can I make this moment, and the next, and the next a masterpiece?
And fortunately, this ultimate game of becoming our best never ends! Striving for arete continues day by day, moment by moment until our last breathe. What a privilege!
I hope you find these Stoic practices helpful. And I hope something you’ve read will resonate so that you can apply it in your life – starting today.
Have you heard of Stoicism before? Which of the Stoic ideas did you like best? How can you apply this to you roles in life? I’d love to hear from you in the comments below.
** Much of my research on Stoicism began with the awesome Philosophers Notes and Optimize classes from Brian Johnson. I’m a long-time fan and member of Brian’s educational membership program. If you’re interested, you can learn more here (this is an affiliate link.)
Image Credits:
- Epictetus – By Frontispiece drawn by “Sonnem.” (? hard to read, left bottom corner) and engraved by “MB” (bottom right corner). Image scanned by the John Adams Library at the Boston Public Library. Image slightly improved by Aristeas. (https://archive.org/details/epictetienchirid00epic) [Public domain], via Wikimedia Commons
- Marcus Aurelius – Louvre Museum [CC BY 2.5], via Wikimedia Commons
- Seneca – By Jean-Pol GRANDMONT [CC BY 3.0], from Wikimedia Commons
- Apollo – By Exiled in California [CC BY-SA 3.0], from Wikimedia Commons
Get My Free Real Estate Investing Toolkit!
Enter your email address and click "Get Toolkit"
Zac says
Dude, I never would have thought that I would see an article on real estate cover Stoicism. I’m a self-labeled Stoic-in-Training myself, and is why I turn a lot of heads when I do things or look at things completely different than everyone else (it also makes dating interesting, but that’s a topic for another day). A lot of people confuse it with apathy, when it couldn’t be further from the truth.
Chad Carson says
Ha, ha. Yeah, real estate + stoicism isn’t something you see every day. I like your term “stoic-in-training.” I will have to borrow that!
What are your favorite stoic ideas and teachers?
Matt Waschkowski says
Great article! It lines up with what I am learning right now. I’m currently reading “The Daily Stoic” and love these principles of Stoicism.
The Greek words can provide some more depth. In one of the daily readings from Seneca, Moral Letters, he uses the Greek word EUTHYMIA which he defines as “believing in yourself and trusting that you are on the right path, not being in doubt by following the myriad of footpaths of those wandering in every direction.”
I’ve written that word on my office vision board to help remind me that I am on the right path! We all have hundreds of decisions every day from business to family and this idea has helped reassure my decisions and not lament over opportunities missed or passed.
Chad Carson says
I’ll have to check out the Daily Stoic. Sounds interesting!
And I love the word Euthymia too. I’ve heard it translated as something like “good soul,” meaning you’re doing things and walking a path in alignment with your deepest values and purposes. Very cool idea! And certainly helpful as a day to day guide with so many things going on.
Thanks for reading and commenting, Matt!
uncommondream says
Great article, Chad! Also, The Daily Stoic was one of the books I had with me in Cuenca. It’ll be waiting here for you this Summer. 🙂
I love that the book is organized by subject area. Before making the unexpected trip home for my grandmother’s funeral, I read through all of the quotes related to mortality. I think it helped me have more of the right words to say to some of my loved ones.
Chad Carson says
Cool on the book! Can’t wait. Thanks Michael. And that’s awesome to be able to open the book and read it by topic as needed. Makes it very useful.
Andy says
Nice job capturing the essence of the philosophy, Chad. My first exposure to the idea (as with many others) was from Mr. Money Mustache, and since then it seems to have really been catching on in our society. I think it’s a really excellent way of approaching life and has many lessons that are applicable today, as you illustrated. Personally, the focus on what I can control (vs what I cannot) and on controlling my reaction to stimuli, are the big lessons that I try to focus on daily.
Chad Carson says
Thanks Andy! Yeah, I think it’s cool Mr. Money Mustache also talks a lot about Stoic philosophy. After meeting him in person, my impression is that he lives many of the principles as well. Cool guy!
I’m with you – the control vs can’t control distinction is the main thing. I actually first learned that type of idea when I read 7 Habits of Highly Effective People right after college. Covey called it “being proactive” and it was Habit #1 (i.e. the most important). It’s cool when you see a helpful principle applied in many different philosophical systems.
P. Andrew Payne says
Refreshing read. Gets the brain churning .
Chad Carson says
+1 for brain churning! Yes!
Simonne says
One of my favorite articles of yours. It’s a thoughtful mind that can take the big ideas from works of philosophy and make them meaningful in very modern and practical ways.
Chad Carson says
Thank you Simonne! Kind of you to say that. I tend to think a lot … sometimes too much! But when it’s combined with a good bit of action, it tends to work out in the end:) I appreciate you being a reader and taking the time to comment.
Manuel Rodriguez says
Great article coach. Lately ive been reading and learning about stoicism so your article was right on time! I bought “The daily stoic” it’s a great book!
Chad Carson says
Thanks Manuel! I have only read a book summary of the Daily Stoic, but I can’t wait to dig in more. Glad you’re enjoying your it.
Laurie says
Coach Carson, I love this posting! As someone aspiring to own investment properties, setbacks are sometimes pretty hard for me to take in, but your article puts things in perspective. It’s true, there are outer forces that we just can’t predict sometimes, our altitude are the only thing we have control over. At the end of the day, growing more rich, financially, and keeping a well balance life are equally important. Thanks for the great article!
Chad Carson says
Well said Laurie! Thanks for reading and for commenting.
Nick @ Half As Well says
I don’t own any properties (yet) but “But I CAN control my response.” rings pretty true with me. I have tried gradually to move from “freak out about [my sons cello bridge falling out, the sink being clogged, having to take the kids to the doctor for an unforeseen accident]” to “hey its inconvenient that this happened, but what’s the most efficient way that I can handle this?” I’m not 100% there, probably not even 20%, but every week brings new challenges
Chad Carson says
Ha, Ha. I’m with you that some of the normal, every-day things are the best things to work on. I’ve often told friends that being a father is MUCH more challenging for me than real estate investing. Lol. It’s like my kids came here on a mission to press my buttons and in turn make me become a better person! And I’ve got a lot of work to do.
Elizabeth says
This is so great! Thanks for this article. I love the idea of embracing discomfort; it is really just a challenge, and we humans seem only to be able to be happy or prideful or content after enduring or overcoming challenges, after all! I also can appreciate the benefits of reminding yourself – proving to yourself – how little you actually need to be content.
Chad Carson says
You’re welcome, Elizabeth! Glad you liked it. Yeah – I think the discomfort one is biggest for me, too. It’s often such a subconscious block, but when you acknowledge and practice it, the fear begins to dissipate.
Steve H says
Chad, Thank you for sharing this with your followers.
What’s old is new again. We should be thankful that a few ancient works from this philosophy are so readily available and that new authors are sharing it through their works. I came across Stoicism as I struggled with my emotions and reactions being a father of young twins. The ‘stimuli’ provided by those little Zen masters made me seek out alternatives to yelling and getting frustrated. I came across Stoicism. As Tim Ferris once noted, it’s an operating system for your brain. Whether it’s investing, raising a family, conducting a business deal or simply how you handle all that life can deliver, it’s a wonderful practice on how to keep your cool and find joy in life.
Ryan Holliday and his books and website http://www.dailystoic.com bring the wisdom to a modern world. I personally found The Obstacle is the Way best for me. Sign up for the daily stoic emails for daily reminders of how to practice.
Meditations by Marcus Aurelius is a personal diary from one of the most powerful men to have ever held public office. Not the easiest of reads but impactful when you realize you are getting first-hand accounts of what someone in Marcus’ position thought about.
Seneca was the mentor to Lucillius and his Letters were made available for free through Tim Ferris by searching Tao of Seneca
Epictetus was the teacher and provided practical guidance and teachings of the philosophy.
And if you want to read about a bad a$$, find a free .pdf copy of James Stockdale’s ‘Stockdale on Stoicism I, The Stoic Warrior’s Triad’ online. Having a bad day, rethink it as you read about Admiral Stockdale’s account as a POW.
Chad Carson says
“Little zen masters” – that’s an excellent description of kids! I’ve often told my wife that being a good parent (consistently) has easily been the most challenging project in my life. And a good operating system and practice like Stoicism sure does help.
Thanks for sharing all the additional resources. I love Ryan Holliday’s stuff, and James Stockdale’s story is inspiring.
Alexandra Hopkins says
Thanks, Chad, great article! This very much sums up many of my ideas about life. I studied Stoicism in college (back in the Ice Ages). But at the time, I couldn’t make heads or tails of it. Thank you for providing more understanding of their ideas. These ideas are also very current in mainstream self-improvement writing, as your article points out, as well as in New Age philosophy.
Chad Carson says
You’re welcome. I’m glad to hear the ideas resonate with you as well! I also read a little of the Stoics in college and it never made an impression on me. Perhaps it’s the delivery style or context that makes a difference. In any case, it sure is helpful now!
Thanks for reading and commenting.