Build the ships

I love history. I think that there is so much richness is gathering the wisdom of people who have lived before you.

One period I keep coming back to is the Greco-Persian Wars around 499BC. Spoiler alert, Greece won this war and by doing so, protected their fledgling democracy. The significance of their victory reverberates profoundly in the evolution of modern democracy. Had Greece succumbed to Persian rule, the development of democratic principles might have taken a drastically different course.

The key to this victory was building a navy…but the decision was not that easy. Greece recently had a windfall uncovering significant amounts of silver in their Laurion mines.

With the threat of Persian invasion always looming, Themistocles, the astute Athenian statesman, championed the construction of ships, foreseeing the imminent Persian threat. Themistocles' vision clashed with Aristides, another prominent Athenian statesman whose proposal was to distribute the silver among the populace, appealing to immediate gratification over strategic long-term preparedness.

Ultimately, Themosticles won the vote and the silver was used to build the navy.

This strategic decision allowed Greece to challenge the Persians effectively on the seas, where their strength had previously been unassailable. The naval force not only served as a formidable defense but also became a crucial offensive weapon notably at the pivotal Battle of Salamis.

The Greek fleet, strategically positioned in the narrow straits of Salamis, exploited its maneuverability and knowledge of the local waters to cripple the larger but less maneuverable Persian navy. This victory shattered Persian naval dominance and significantly weakened their foothold in the region.

Ultimately, Themistocles' decision to prioritize shipbuilding over immediate wealth distribution played a pivotal role in Greece's victory. Through this choice, Greece laid the foundation for a naval force that would secure its independence and legacy in the annals of history. More importantly, it set the foundation for the Golden Age of Athens. This era witnessed the rise of philosophers like Socrates, Plato, and Aristotle, whose ideas shaped the foundation of Western political thought, emphasizing the importance of citizen engagement and accountability in governance.

Why am I sharing this and what does it have to do with wealth management?

At times, we all enjoy a windfall. This could be an annual bonus, a promotion with a nice increase, a new job, we land a big client, a huge profit spike in our business or an inheritance.

These are tremendous opportunities to build metaphorical ships. While we may not be facing an impending invasion, we could have areas in our lives that are concerning us. It never hurts to have a “rainy day” fund.

Or maybe using our windfalls looks beyond just a threat and connects to something more timeless, like our values or a future that we envision for ourselves. Themosticles was considered a genius by historians but really he was a man that had the foresight to see what Greece could one day become, he sacrificed over the short-term for a long term benefit.

What is your long term picture? What is your golden age? And maybe we can help you, like Themosticles, to build your ships.