This take on investor behavior will resonate with parents and remind advisors of how they can help investors stay on track.
Life can have a bigger long-term impact on your client’s portfolio than any short-term market volatility. How are you addressing these deeper questions with your clients?
Although experience can help in investing, you still can’t know for sure what the future will bring. That can be unnerving. Recalling key life lessons from mentors can help deal with that sense of “the more I live and learn, the less I know.”
Under the impression that if interest rates have “nowhere to go but up,” their bond portfolio will inevitably be hit hard, many investors are expressing great concern about their asset allocation – especially their allocation to bonds. If only asset allocation was that simple.
Not only is baseball a fun past time – it also has educational value when it comes to deciphering U.S. versus Non-U.S. performance patterns.
To many investors it can seem like markets – and by extension their portfolios – are lurching from one crisis to the next. This mentality can easily lead to poor decisions – especially if investors don’t have a clear plan and contingencies in place. But advisors can have a tremendous calming and level-setting influence here.
While my wife trusts me with many important aspects of our lives, decorating the Christmas tree is not one of them. So I have to find ways to make myself useful. This year I cleaned my office while the tree went up. It brought about a radical new idea.