Lessons from Football field: What the UEFA Euro finals taught us about money

Italian team celebrates with the trophy after the Euro 2020 soccer final match between England and Italy at Wembley stadium in London, Sunday, July 11, 2021. (Catherine Ivill/Pool via AP)

What a riveting, nail-biting finale it was last night, as Italy became the champions of the UEFA Euro 2020, beating their rivals England in an ultimate showdown that was the perfect ode to the unpredictability and the passion of football! 

Going over to penalties to decide the winner, the world watched with bated breath and great excitement, every missed chance and every goal of the match. England soared early, scoring a goal within the first 2 minutes of the game, and seemed perched to win, but the match ultimately closed in favor of Giorgio Chiellini’s men in blue. 

The match was, without a doubt, a historic goldmine of insights, both when it comes to football tactics and personal finance gems. While die-hard football lovers and enthusiasts break down the technical beauty of the game, take a look at the financial realizations from this mad, beautiful finale. 

Experience over brief success
While considered underdogs in the tournament, the Italian football team has still been one of the most competent and celebrated teams in the world. Though the team last won the Euro title in 1968, it managed to claw its way to the finals in both 2000 and 2012. On the other hand, England, reaching its first Euro final post-1968, were relative newcomers to the outfield. 

And even when it comes to England and Italy battling it out otherwise, Italy has always had the upper hand. In between the 27 times both of these teams have gone against each other before this match, Italy has 11 wins to their name and England stands at 8, with the matches being drawn for the remaining times. 

Market leaders and blue-chip companies, with their long-standing proof of solid financial stability and return generations, are a must-have in every portfolio. These companies are akin to battle-hardened horses, who can navigate through rough times and volatility. Emerging companies like mid and small-cap companies are more prone to market vulnerabilities and might sometimes miss out due to a lack of business maturity and experience, despite higher winning potential. Take your bets wisely! 

Early Money does not equal Big Money
Luke Shaw broke many Italian hearts after scoring a stunning goal within the second minute of the match. The match remained 0-1 in favor of England for a long time post that, equaled only by Bonucci in the 67th minute. 

It is easy to get swayed away by small profits in the market or get disheartened by a brief loss. But wealth-generation is a long-term process, and small setbacks should not stray you from your path of consistent, disciplined investing. In the long run, when markets level out, your patience is rewarded handsomely! 

Keep changing, keep moving
Markets are dynamic, and your assessment of them should reflect that. Sensing the need for change in the second half of the game, Mancini took off Ciro Immobile, only to replace him with Dominico Berardi, who also managed to successfully shoot Italy’s first penalty. 

Regular asset reallocations, keeping up with market happenings, and observing market trends can help you score big, too. Periodic assessment of your portfolio will help you check out underperforming asset classes and stocks so that you can make changes to derive the best from your investments! 

Don't bank only on small-caps
All of 19, it must have been a memorable moment when Bukayo Saka was chosen for one of England’s penalty shootouts. But he, along with Marcus Rashford and Jadon Sancho, failed to convert goals for their country. Despite being a rising star and touted by many as a talented player, backing Saka was a “gamble”, as English manager Gareth Southgate later admitted. 

Immense growth potential, high returns, and quick bucks- it's hard to turn a blind eye towards this potent combination of money-making. But remember that risk and returns rise in equal proportion. The higher your stakes, the higher your chances of failing in the markets are, too. That is why make wise and calculated risks with fast-growing companies. 

Build up your guardItalian goalkeeper Gianluigi Donnarumma was named the Player of the tournament and given the golden ball for his stellar penalty saves in the semifinals against Alvaro Moreta and final of the UEFA Euro 2020 championship, against Sancho and Saka. With three clean sheets and just 4 conceded goals, the 22-year old player was only the second goalkeeper after Kasper Schmeichel (Denmark, 1992). 

For all your attacks and aggression, having a strong cushion against market losses and downtrends is extremely important. Don't forget to include asset classes like debt, gold, and more in your portfolio, since they work as hedges against losses in tough market times. Consider them well from the perspective of your hard-earned capital protection.