Soros' firm will no longer be investing other people's money.
Last week, George Soros‘ firm announced it would stop managing money for outside investors, formally ending the legendary financier’s high-profile, 40-year career. With a personal net worth of $15 billion, his future will include a few more mansions and private jets than the typical retiree. But even though we can’t emulate Soros’ retirement lifestyle, there’s a lot we can learn from his retirement process. Instead of viewing retirement like a 20th century industrial laborer, can we think of it like a 21st century billionaire?
The retirement stage of life has only existed for about a century, arising as a respite from the dirty and dangerous work of the early industrial era. Because most jobs then were back-breaking and boring, the mere absence of work was a reward in itself. People retired as early as possible, transitioned on a single day, and planned for a life of pure leisure. Most jobs have changed a lot in the last 100 years, but the dominant paradigm still owes much to the old legacy of gold watches and rocking chairs. As we create a new paradigm for our retirement, we can learn a few things from the Soros story.
1) Consider that you might stay healthier if you work longer. Soros is turning 81 and in apparently good health. Believe it or not, a life of leisure may not be in your best interests. A long-term research study from Howard Friedman at the University of California-Riverside suggests that continued engagement may help you stay more vital and healthy.
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2) Seek opportunities to continue using your job skills and talents. Soros, like most business owners, had the luxury of scaling back on his own schedule. But if you work for someone else, you may be able to negotiate a phased retirement that focuses on your most valuable contributions. Or, seek out part-time or project work that offers you a worthwhile challenge. Marc Freedman of Civic Ventures calls this an Encore Career. Perhaps you can afford to work as a volunteer, or you may need to supplement your income. Either way, you’ll profit from the psychological and social engagement.
3) Develop a plan to contribute to something outside yourself. In a recent New York Review of Books essay, Soros described the charitable causes that he plans to work on in the years ahead. Whether you agree or disagree with his philosophy and politics isn’t the point. What’s important is that you get clear on, and align with, your own deepest values. According to Professor Martin Seligman, an expert on human flourishing, our greatest fulfillment comes not from seeking our own enjoyment — but from service to something greater than ourselves. Your retirement stage of life may offer your greatest opportunity to do just that.
John Nelson writes and speaks on emerging approaches to careers and retirement. He is coauthor of What Color is Your Parachute? For Retirement. John and his work have been covered in Money, The New York Times, The Wall Street Journal, USA Today and elsewhere. Visit his site at www.johnenelson.com or follow him on Twitter at @johnenelson.