Investing with Perspective

PER·SPEC·TIVE:   (1) a measured or objective assessment of a situation, giving all aspects their comparative importance (2) a particular evaluation of a situation or facts, especially from one person’s point of view  Last week my son turned 13 years old…a teenager!!! [Queue the scary music… “DUN-DUN-DUNNN”] As parents we try to pass-along all of our positive life experiences to our children in order to better prepare them for life.  We also bring up all of our negative experiences so they don’t share the mistakes that we, as parents, have made.  We hope that the lessons and words we use sink into our children’s scattered brains to ensure they are better prepared than we were!  However, the bottom line is that we have perspective because of our life experiences and it is difficult for our children to relate. We need perspective as wealth managers to educate clients, just as we educate our children.  Two weeks ago, the Dow Jones’s dramatic 550-point 2-day sell-off, coupled with interest rates spiking over 0.5%, dealt investors a double whammy of stock and bond market losses.  Read on! →