When Warren Buffett speaks, people listen. He has a one of a kind ability to filter out the noise, stay patient when everyone else panics, and distill decades worth of wisdom into timeless lessons that will be repeated for generations. Recently, in classic Buffett fashion, he announced he’s ‘going quiet’ and is accelerating the pace of his charitable giving.
When our clients or prospects consider our services, they often gravitate toward one aspect of what we do for them. In some cases, they may see us as portfolio managers, balancing their needs with uncertain markets and shifting economic times. Many will see us as adept financial planners who know how to make sense of their varying financial goals. Others will see us as trusted advisors who provide the necessary guidance to address their complex financial lives when it comes to tax needs or estate planning concerns.
Life moves quickly. Between work, family, friends, and staying on top of our daily responsibilities we usually focus on what’s right in front of us. It’s hard to find the time, space, and energy to think about the future when we’re juggling so much.
The beginning of a stock market selloff feels terrible—there’s a palpable tenseness and nervousness in the air. Intuitively, we know that selloffs happen, but our emotions and fear don’t care about market history, context, or what the data tells us. What if this time is different? What if we’re on the verge of something catastrophic? After all, every market downturn, whether a correction, pullback, or full-blown bear market, had to start somewhere.
You’ve been hustling at your tech job for a few years and now it’s finally starting to pay off. Your finances are looking healthier than ever and goals that once seemed distant are now within reach. You’re thriving… vibes are high… life is good.
Investing will not make you financially secure. Investing will help you stay financially secure. Investing allows you to outpace inflation and optimize your assets. It’s not a secret path that lets you skip the line to financial freedom.
Good financial advice boils down to a few simple principles: spend less than you make, maintain a healthy savings rate, invest prudently, manage risk, avoid unnecessary debt, and do your best to plan ahead. Follow these rules of thumb, and chances are, you’ll be in good shape.
You’ve likely heard of the 80/20 rule before; if you haven’t, prepare to have your mind blown … (just kidding). The 80/20 rule, aka the Pareto Principle, is a phenomenon which states that roughly 80% of results come from just 20% of inputs.
A few weeks ago, I had the chance to hike Half Dome in Yosemite National Park for the second time in my life. The first time was over 23 years ago with two close friends. The three of us reunited, added one more long-time friend, and ventured out again to conquer the 8,800 granite peak, climbing 4,800 feet of elevation to reach the top. It was a one day, 16 mile round trip trek, that left us utterly exhausted and simultaneously exhilarated by day’s end.
FOMO is the new catchy acronym for a very old phenomenon we know as the “fear of missing out.” While the term is often used in social contexts, FOMO is extremely prevalent when it comes to our personal finances. Oftentimes, we just don’t realize it.
In this blog post, we’re going to highlight some common situations where we may feel financial FOMO as it relates to our lifestyle, investing, and the hypothetical what-if questions we ask ourselves.