Football World Cup fever: The parallels between soccer and investing

With the FIFA World Cup 2026 now in full swing, millions of football fans around the world are following the action as teams compete for success on the sport's biggest stage.

While much of the focus is on star players and match-day performances, seasoned coaches know that success is often determined long before kick-off through careful planning, disciplined execution and a commitment to a long-term strategy.

Mthobisi Mthimkhulu, head of Private Clients at Allan Gray, says these same principles are equally important in investing.

"Football rewards teams that think beyond individual matches," says Mthimkhulu. "The strongest teams don't judge their success based on one game or even a single tournament. They focus on building depth, consistency and resilience over time. Investing works in much the same way."

Drawing on the parallels between football and investing, Mthimkhulu shares several lessons that investors can apply to help build long-term financial success.

Lesson #1: Long-term outcomes are not determined by a single game
While football supporters may experience the highs and lows of a tournament over a few weeks, investors face a similar emotional journey over much longer periods. Markets can be volatile, but Mthimkhulu says long-term success is rarely determined by short-term fluctuations.

"Long-term outcomes are driven by staying invested and allowing compounding to do the heavy lifting," he explains. "Time is essential. You need patience and the ability to stay the course, even when circumstances feel uncertain."

Lesson #2: Don’t put all your eggs in one basket
Just as winning teams require a range of skills and strengths across the field, successful investment portfolios rely on diversification.

"In our industry, we often say diversification is the only free lunch available to investors," says Mthimkhulu. "Diversification allows investors to spread exposure across different asset classes, sectors and geographies so that potential returns come from different sources, ensuring that portfolios can perform under different market conditions – and that there are mechanisms in place to protect capital."

This can help smooth the investment journey, reducing the impact of volatility.

Lesson #3: Emotional decision-making can lead to costly mistakes
Perhaps one of the strongest parallels between football and investing is the role that emotions can play in decision-making. A moment of frustration on the football field can result in a costly red card. Similarly, emotional investment decisions can have long-term consequences.

Mthimkhulu believes many investors place too much emphasis on short-term changes in portfolio values, often mistaking temporary market movements for permanent losses.

“Equity markets move up and down all the time. Remember, however, that a dip is only a loss on paper unless you act on it; you need to remain invested to benefit from the correction when it comes."

The danger, he says, is that fear and impatience can lead investors to switch repeatedly between investments in search of better performance. Timing the market, as it is called, is fraught with danger and the investor seldom comes out on top.

"We see this happen over and over," says Mthimkhulu. "People buy an investment when it is doing well and then sell it when performance slows, only to move into another investment that has recently performed strongly. Repeating that process can destroy long-term value,” he cautions.

Lesson #4: Every goal starts with a game plan
While fans may focus on the final score, Mthimkhulu maintains that goals are usually the result of careful planning, teamwork and disciplined execution.

The same applies to investing.

“Whether on the field or in financial markets, success is determined by discipline, patience and the ability to stay focused on the bigger picture. Have a clear goal, understand how much risk you are willing to take on and determine your timeframe – then look for investments that match these criteria. If in doubt, seek the help of a financial adviser to help you choose the right investment and stay the course,” concludes Mthimkhulu.