Below is a great email response to our recent market video from an experienced client/investor…I thought his wisdom was very sound, and wanted to share with each of you as you navigate your own plan (and emotions!)…..hope it helps. You can attribute it to an old guy who’s a cross between Andy Rooney of 60 Minutes fame and the guys on the GEICO ad who have become their parents.
Email to David from client:
Good morning, David. Hope you are doing well.
Here are some things I believe:
- I have a better chance of getting hit by a meteor than I do of timing the market. (By the way, that’s 1 in 840,000,000). As someone said, time, not timing is the important element in developing a profitable portfolio.
- Having a support system of people who are concerned about my welfare is essential in life because I’ll never be able to accomplish my goals without some help along the way. Two heads work better than one. If I bring in a team to help me, I ought to trust and believe in them. If not, I ought to find a team with which I can place my trust.
- Having a plan developed in concert with that team is even more helpful.
- Executing that plan is essential. I can’t think my way to my goals, I have to take action. Putting the plan in action is most important.
- Abandoning the plan when the going gets rough is as bad and maybe worse than not having a plan at all because that means I’m bouncing around based upon what’s happening at the moment and as we all know, what’s happening at this moment is going to change. It’s hard to see how I’m ever going to achieve my goals if I’m constantly reactive.
- As Robert Schuller used to say, “Tough times never last but tough people do.” No one plans for a 1,000 year flood but we had one and we experienced pain and loss but ultimately lived through it and came back stronger than ever. No one plans for a pandemic which happens every 100 years or so but we have one and we are experiencing great pain and loss but are finding ways of living through it. No one plans for a war of blatant expansionism, much like Hitler undertook in the late ‘30’s under the guise of reunification but we are experiencing one in Ukraine and coping with it as best we can. No one plans for accidents and illnesses and disease, but they’re all around us, despite taking precautions and buying insurance, and we experience pain and suffering and loss but we and our families and our neighbors and friends find ways of moving forward. There has always been change and pain and upheaval.
- While tragic events occur, there’s also always been recovery and rebirth, just as a forest begins its rebirth after a fire. Look in the woods and see the undergrowth beginning its resurgence. It’s the way of nature, as intended, I believe, by our creator. As Richard Rohr puts it, “Order, Disorder, Reorder” which is the way of life and transformation. We can do our best to try to avoid pain but it’s not possible. How do we best get through it is the basic question and the answer is have a support system, have a plan, put the plan in action, and keep moving forward.
We know that change will always take place We also know we’re going to like some of the changes and we’re going to dislike some of the changes. Further, we know that we’re not in charge and can’t predict or control the outcome or it’s timing. But we also know we’re not powerless to do something. Our job is to figure out what that something is and put forth our best efforts while keeping faith that our Creator will see us through these hard times.
My parents and grandparents relied on that kind of faith to live through the Depression and World War II. It took time but they entered a new age of growth and prosperity that was hard to see when they were in the middle of those dramatic and painful events. Maybe that’s why they call if The Greatest Generation, since they exemplified the notion of “Tough Times Never Last, But Tough People Do.” Having a support system and team, having a plan, putting that plan in action (and making appropriate changes along the way that are in alignment with my overall goals) are all things within my control and all I need is the strength and discipline to do so.
So much from the ramblings of an old guy having a cup of coffee on a Sunday morning, and reflecting on matters at hand while looking out at the lake. Consider it some kind of therapy instigated by your video.
Any opinions are those of the author and not necessarily those of Raymond James. This material is being provided for informational purposes only and is not a complete description, nor is it a recommendation. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct. Investing involves risk and you may incur a profit or a loss regardless of strategy selected. Prior to making an investment decision, please consult with your financial advisor about your individual situation.