Per usual, Morgan Housel nails it: “There is a paradox here: people tend to want wealth to signal to others that they should be liked or admired. But in reality those other people often bypass admiring you, not because they don't think wealth is admirable, but because they use your wealth as a benchmark for their own desire to be liked and admired.
The letter I wrote to my son after he was born said, ‘You might think you want an expensive car, a fancy watch, and a huge house. But I'm telling you, you don't. What you want is respect and admiration from other people, and you think having expensive stuff will bring it. It almost never does--especially from the people you want to respect and admire you.’
It's a subtle recognition that people generally aspire to be respected and admired by others, and using money to buy fancy things may bring less of it than you imagine. If respect and admiration are your goals, be careful how you seek it. Humility, kindness, and empathy will bring you more respect than horsepower ever will.”
1) "Wearing the right uniform gives you a chance to avoid immediate detection, but a uniform on its own won’t take you far. If you have not earned status through accomplishments, a real person of status can tell. This is because status is not determined by wealth or possessions. Your status is determined by the way you carry yourself, your confidence, your general demeanor and vibe."
2) "Clothes, watches, haircuts, or plastic surgery can help you feel confident in the moment, but they won’t sustain that confidence on their own. People that are actually high status would still be confident and secure without any of these things. If you are not confident and secure, buying a luxury watch won’t give you these things. Only high status people understand this."
3) "True status is earned, not bought. It emanates from accomplishments, confidence, and the way you carry yourself, not from the logo on your wrist. A Rolex might turn heads at first glance, but lasting respect comes from character and substance, not accessories."
4) "As appealing as the status symbol may be, it’s worth considering whether the real power lies not in the watch you wear, but in the self-assuredness of knowing you don’t need it to prove your worth."
5) "Sometimes, the strongest flex is not needing to care about somebody else’s definition of success."
A Japanese friend told me that he wanted to buy a Rolex in his 20’s after moving to Tokyo as a poor kid from the suburbs. To afford it, he started living a miserable, frugal life where every penny saved from his initially meager salary went into his Rolex savings fund. He eventually purchased the Rolex after several years. When I asked him whether it was worth living such a tortured life for so many years, he told me that why yes, and he would do it again, even if he had to go into debt. Why? Living a harsh, desperate life to purchase a pretty useless object increased his ambitiousness and made him attractive to higher status people (ie strength) who helped him succeed later in life. The phrase he used translated literally to English is “made my eyes glow”. Just an anecdote, but perhaps there is a positively motivational in purchasing a Rolex in your 20’s.
I think this highlights the power and benefits of commitment and persistence to long term goals and if you want a talisman or token to celebrate that, no problem to me at all.
I write a Substack entirely about watches (mostly vintage) and would never pull a Steven!
I love how you ended..."If you love watches for their craftsmanship, history, or aesthetic, then by all means, go for it but don’t go into debt. As appealing as the status symbol may be...the real power lies not in the watch you wear, but in the self-assuredness of knowing you don’t need it to prove your worth."
If you're buying a watch as a status symbol, you're chasing a status that a watch alone will never help you achieve.
Hey @Tony Traina thanks for taking the time to read and comment.
I’ve been happily surprised that many luxury watch owners have actually resonated with this article. I was expecting much more hate but clearly the crowd that didn’t go into debt to buy them see things the same way I do.
Yes! One does not go into debt but into long term investment buying a Rolex. I have a close family member working at the end of the production line at quality control in Geneva. And I still have to wait 3 years for mine. [no financial advice]
I’m another watch collector/dealer who stumbled upon this post. A point from Seven Days in the Art World applies here: whether you believe it or not, it’s mandatory in the art world to act as if the art itself is all that matters. For watches, same goes for craftsmanship, history, and provenance, which are usually closer to marketing devices than points of pride.
In reality, these still things do matter, especially to geeks and some professionals, but probably not to Steven and the room of people from the intro. Just like a stock price and multiple reduce a company’s quality to simple numbers, many fall into the same trap with watches-retail price and brand name serve those exact functions.
This problem isn’t fully avoidable, but a quick conversation quickly shows you the collector equivalent of the stocktwits day-trader.
No! never go into debt for an accessory. Now on the other hand if you can afford it buy a time piece or a few that increase in value, especially if you have sons that you can pass them down to.
Good post. I don’t agree with the tweet (largely because I don’t like the aesthetic and on young people I think a Rolex signals insecurity) but I don’t think the advice is as bad as it seems on its face. “Going into debt to get a Harvard degree” would often be good advice purely for the status, even without the network or education. So, sometimes status symbols can be worth going into debt for.
Hi @Joe Hovde thanks for taking the time to read and comment. A university degree is a good example. It’s definitely something that can contribute to your status, and the network is a big part of the value proposition.
Unlike a Rolex though, it should impart helpful skills and lessons that should help you accomplish more things in the future that will add to your status.
Per usual, Morgan Housel nails it: “There is a paradox here: people tend to want wealth to signal to others that they should be liked or admired. But in reality those other people often bypass admiring you, not because they don't think wealth is admirable, but because they use your wealth as a benchmark for their own desire to be liked and admired.
The letter I wrote to my son after he was born said, ‘You might think you want an expensive car, a fancy watch, and a huge house. But I'm telling you, you don't. What you want is respect and admiration from other people, and you think having expensive stuff will bring it. It almost never does--especially from the people you want to respect and admire you.’
It's a subtle recognition that people generally aspire to be respected and admired by others, and using money to buy fancy things may bring less of it than you imagine. If respect and admiration are your goals, be careful how you seek it. Humility, kindness, and empathy will bring you more respect than horsepower ever will.”
Never read Morgan’s books yet (Psychology of Money is up in my reading queue) but I am not surprised he would put it much more elegantly than I did.
If it’s on your list, check this out to start: https://www.screwdowncrown.com/p/psychology-of-money
A rolex is a gorgeous watch, and if you do it right, they don’t cost a fortune. Grab a vintage one.
Any preferred models or series?
A vintage datejust is very nice. All class.
Why?
So many great quotes!
1) "Wearing the right uniform gives you a chance to avoid immediate detection, but a uniform on its own won’t take you far. If you have not earned status through accomplishments, a real person of status can tell. This is because status is not determined by wealth or possessions. Your status is determined by the way you carry yourself, your confidence, your general demeanor and vibe."
2) "Clothes, watches, haircuts, or plastic surgery can help you feel confident in the moment, but they won’t sustain that confidence on their own. People that are actually high status would still be confident and secure without any of these things. If you are not confident and secure, buying a luxury watch won’t give you these things. Only high status people understand this."
3) "True status is earned, not bought. It emanates from accomplishments, confidence, and the way you carry yourself, not from the logo on your wrist. A Rolex might turn heads at first glance, but lasting respect comes from character and substance, not accessories."
4) "As appealing as the status symbol may be, it’s worth considering whether the real power lies not in the watch you wear, but in the self-assuredness of knowing you don’t need it to prove your worth."
5) "Sometimes, the strongest flex is not needing to care about somebody else’s definition of success."
Thank you so much @Inverteum Capital really glad these points resonated with you.
I need all the support I can get before the Rolex wearing crew comes for me!
A Japanese friend told me that he wanted to buy a Rolex in his 20’s after moving to Tokyo as a poor kid from the suburbs. To afford it, he started living a miserable, frugal life where every penny saved from his initially meager salary went into his Rolex savings fund. He eventually purchased the Rolex after several years. When I asked him whether it was worth living such a tortured life for so many years, he told me that why yes, and he would do it again, even if he had to go into debt. Why? Living a harsh, desperate life to purchase a pretty useless object increased his ambitiousness and made him attractive to higher status people (ie strength) who helped him succeed later in life. The phrase he used translated literally to English is “made my eyes glow”. Just an anecdote, but perhaps there is a positively motivational in purchasing a Rolex in your 20’s.
This is a great anecdote.
Thank you for sharing!
I think this highlights the power and benefits of commitment and persistence to long term goals and if you want a talisman or token to celebrate that, no problem to me at all.
The exercise itself is the reward.
I write a Substack entirely about watches (mostly vintage) and would never pull a Steven!
I love how you ended..."If you love watches for their craftsmanship, history, or aesthetic, then by all means, go for it but don’t go into debt. As appealing as the status symbol may be...the real power lies not in the watch you wear, but in the self-assuredness of knowing you don’t need it to prove your worth."
If you're buying a watch as a status symbol, you're chasing a status that a watch alone will never help you achieve.
Hey @Tony Traina thanks for taking the time to read and comment.
I’ve been happily surprised that many luxury watch owners have actually resonated with this article. I was expecting much more hate but clearly the crowd that didn’t go into debt to buy them see things the same way I do.
I’m looking forward to checking out your content!
No. Fancy watches are superfluous security risks at this point in multicultural Merica and Uurp.
Not sure if it’s true but I heard in London people are getting their hands cut off with machetes so they can get the watches.
sounds about right
Yes! One does not go into debt but into long term investment buying a Rolex. I have a close family member working at the end of the production line at quality control in Geneva. And I still have to wait 3 years for mine. [no financial advice]
Are you sure your family member isn't just hoarding the watches for themselves? :)
In all seriousness, I think it's a good marshmallow test if serious buyers are willing to wait 3 years for it, it shows a certain level of commitment.
Rolex changed their internal policies a few years back. Employee can only purchase 1.
3 years is short. But Federer get served first. That much I know. 😄
I guess we are all losing out to “Greatest Tennis Player Ever Privilege”.
I’m fine waiting behind a multi-grand slam winner.
I’m another watch collector/dealer who stumbled upon this post. A point from Seven Days in the Art World applies here: whether you believe it or not, it’s mandatory in the art world to act as if the art itself is all that matters. For watches, same goes for craftsmanship, history, and provenance, which are usually closer to marketing devices than points of pride.
In reality, these still things do matter, especially to geeks and some professionals, but probably not to Steven and the room of people from the intro. Just like a stock price and multiple reduce a company’s quality to simple numbers, many fall into the same trap with watches-retail price and brand name serve those exact functions.
This problem isn’t fully avoidable, but a quick conversation quickly shows you the collector equivalent of the stocktwits day-trader.
Hi @michaelPark28 thank you for taking the time to read and comment.
You are absolutely correct. For those that are into watches for the materials, craftmanship, history etc. it matters a lot.
For many people who buy these watches though, they don't really care, they just want to matter to the type of people above!
I would read this to sound smart but I let my watch do the talking for me
Like the legend himself
No! never go into debt for an accessory. Now on the other hand if you can afford it buy a time piece or a few that increase in value, especially if you have sons that you can pass them down to.
But Steven thought it was a good idea?
In all seriousness that is the sensible thing to do but if people did the obvious sensible thing, there wouldn’t be much need for Substack.
Idea: smart watch that displays how much Bitcoin you currently own as the new premiere wrist status symbol.
Need to see BTC holdings, current net worth and Hinge matches preeminently displayed.
Lmao hinge? If you aren’t on Raya your status is too low for me to even respond.
Need to diversify your dating pools to reduce market risk.
Good post. I don’t agree with the tweet (largely because I don’t like the aesthetic and on young people I think a Rolex signals insecurity) but I don’t think the advice is as bad as it seems on its face. “Going into debt to get a Harvard degree” would often be good advice purely for the status, even without the network or education. So, sometimes status symbols can be worth going into debt for.
Hi @Joe Hovde thanks for taking the time to read and comment. A university degree is a good example. It’s definitely something that can contribute to your status, and the network is a big part of the value proposition.
Unlike a Rolex though, it should impart helpful skills and lessons that should help you accomplish more things in the future that will add to your status.
Love the post! thanks!
Thank you for taking the time to read and comment @Henri NGO ! I’m glad you liked it.
Where I grew up they are referred to as Prolex, you get the idea