This morning, I enjoyed listening to an older Registered Investment Advisor. He pointed out that all NAPFA-Registered Financial Advisors get into the business because they want to do good things for our clients. And, because the demand for objective, experienced financial advice is strong and growing, he pointed out that most of us are doing well by doing good. But, it is important that we are also happy doing well by doing good things for our clients.
He pointed out that the dominant determinant of investment outcomes is not investment performance but investor behavior. In 1952, the S&P 500 was 24. Today, it is quietly approaching 1,900. So, how is it possible that anybody could have lost money during that time? By panicking during their first bear market!
Keeping our clients from panicking is Job One for us. As he said, we are the only thing between our client and the abyss. We deserve to be happy by doing well when doing good for our clients.
His advice to be happy was not to waste our time and talents on people who don't appreciate our time and talents. Fire those clients who complain constantly and don't appreciate you.
Now, can we do that for spouses too? Oh, we can? But, then we're no longer doing well . . .
He pointed out that the dominant determinant of investment outcomes is not investment performance but investor behavior. In 1952, the S&P 500 was 24. Today, it is quietly approaching 1,900. So, how is it possible that anybody could have lost money during that time? By panicking during their first bear market!
Keeping our clients from panicking is Job One for us. As he said, we are the only thing between our client and the abyss. We deserve to be happy by doing well when doing good for our clients.
His advice to be happy was not to waste our time and talents on people who don't appreciate our time and talents. Fire those clients who complain constantly and don't appreciate you.
Now, can we do that for spouses too? Oh, we can? But, then we're no longer doing well . . .
