-Nassim Nicholas Taleb
I see podcasters and pundits pontificate on what drives the ultra-wealthy. They assume Elon or whoever is doing X to get Y. They’re always off. Like not even in the ballpark. Maybe it’s because they don’t know any ultra-high-net-worth individuals (UHNWIs), and try to project what they think they’d do if they had that much wealth. Or maybe they’re just retarded. Either way, their ignorance inspired this essay.
UHNWIs
Wealth is an amplifier— it turns everything up. For ultra-high-net-worth individuals (UHNWIs), it’s turned to 11.
It’s called “fuck you money” because you’re wealthy enough to have the freedom to defy norms. You can finally say “fuck you” to people, yet most wealthy individuals remain incredibly cautious. As their power and wealth grow, so does their risk aversion. Being seen as virtuous outweighs the act of doing good.
What we say we want tends to correlate with what we want. However, everyone has hidden motives, the wealthy even more so. Everyone is different– below are some of the major things that drive UHNWIs.
Validation
Like everyone else, UHNWIs seek affirmation. Charity galas, award ceremonies, and naming rights serve as public proofs of worth. Some constantly seek that recognition. Their name is on the hospital. They must be doing good because they’re perceived as doing good.
They own art that belongs in a museum, have the newest gadgets, get the best tickets to the show, and are invited to the most exclusive experiences. They want to be associated with status.
Happiness
What brings them joy. For some it’s collecting art. For others, it’s enjoying immersive experiences with peers, whether playing games, traveling, partying, or having deep conversations.
Most parties are lowkey with friends and family, while others are purposely over the top. Lavish parties attract other elites– the wealthy and famous attend. Extravagant events aren’t just for fun; they signal status.
There are a lot of things UHNWIs do that I think are stupid or boring. But being on a boat in the Mediterranean during summer is pretty awesome.
Some enjoy collecting art or sports paraphernalia. The competitive ones play sports and games. Many hunt.
More Money
For some, figuring out how to get more becomes an obsession. Their net worth is their scorecard. But it’s not, “Number go up = good; Number go down = bad.” If everyone loses money and your number goes down less than your peer group, that’s better than everyone making money and your number going up less than your peer group’s. It’s all relative.
In one extreme example, a company CEO negotiated their compensation specifically to push themselves ahead of their peers on the Forbes list. They openly admitted this was their goal when negotiating with the board.
Friends with generational wealth in crypto refer to their assets as freedom tokens. It enables them to do what they want in life. Even so, the wealthy hate being ripped off and value their resources. No one wants to be a sucker.
Nearly all men can stand adversity, but if you want to test a man’s character, give him power.
-Abraham Lincoln
Power / Influence
They aim to broadcast their ideas and effect change at scale. Most crave the aura of power, while others pursue influence to extend their impact.
Purpose
UHNWIs sometimes dedicate themselves to causes—often abstract pursuits like elevating human experiences, design, or emotion. This commitment borders on the sacred. They might obsess over things like government policy and the massive scale of its impact on the world.
For this group, extra funds matter to further a broader mission. Money solves a lot of problems, but not all of them—especially not the important ones—but it’s a useful tool to effect the change you want to see in the world.
Health
General health and wellness are huge and trending. UHNWIs use top doctors and do private retreats, physical therapy, massages, and constantly monitor their health. Some get super into wellness routines.
My favorite is the UHNWI who grinded it out for two decades, transitioned out of their business, and effectively retired for five years. Then, they tell you the secret to their success is their 3-hour morning routine they started a few years ago. They invest in routines, longevity, and maybe even cryonics. I’m glad they care about their health and hopefully the health of others.
Capital Preservation
If you talk to a family office, most say their role is capital preservation. It’s rare for a family office (FO) to take big swings. They want access to good deals, but the last thing they want to do is take risks. And it makes sense, given FO incentives– most of those managing FOs don’t have upside.
The goal is to maintain generational wealth for the generations to come.
Conclusion
A blend of self-affirmation and pragmatic strategy drives the ultra-wealthy. Their actions balance reputation, influence, and legacy with capital preservation. Their pursuits merge psychological needs with real-world objectives, creating a lifestyle where perception, purpose, and prudence converge. I wish more of them prioritized principles and purpose.
It sucks so many wealthy people are feckless. What’s the point of power and resources if we don’t use them to impact the world?