In a world where the pursuit of wealth and happiness often go hand in hand, a groundbreaking study from 1978 sheds light on the elusive nature of contentment. Published in the Journal of Personality and Social Psychology, the study conducted by Philip Brickman, Dan Coates, and Ronnie Janoff-Bulman compared the happiness levels of major lottery winners, individuals with severe disabilities, and a control group.
Surprisingly, the study found that despite the windfall of money, lottery winners were no happier on average than the control group. This phenomenon, known as hedonic adaptation, suggests that humans quickly adapt to new circumstances, diminishing the joy derived from extraordinary events. As the study notes, the extreme happiness of winning lessens the impact of ordinary pleasures, while habituation reduces the value of new joys.
Fast forward to the present day, where the pursuit of financial milestones continues to drive individuals like the author, who set a goal of reaching £500,000 in their portfolio by a certain date. However, achieving this target only left them craving for more, setting their sights on a new goal of £1 million by 2032.
As the author navigates the world of investment and risk-taking to achieve their ambitious goal, they ponder the best asset classes to own and the expected returns to aim for. With traditional markets offering modest growth forecasts, alternative assets like private equity and debt emerge as potential avenues for higher returns.
Project One Million is not just a financial target, but a journey towards understanding the complexities of wealth, happiness, and the ever-elusive pursuit of contentment. As the author contemplates the road ahead, the question remains – will the pursuit of wealth lead to true happiness, or is there more to the equation than meets the eye?