People are much more fearful of losses than euphoric for gains. Always consider and plan for the downside. The corollary is downside is going to happen. Do not be frozen by it.
Gains or losses in the short term are NOT significant in achieving one’s financial plan. A solid plan built on a strong foundation will transcend the ups and downs of the markets.
A huge number of people’s financial lives are ruined by the “financial media”. The media narrative is not only off the mark, but also often downright false. They have no interest in helping you. The motive is to “sell more media”.
Limit all of your “news media” exposure to 15 minutes a day. More than that leads you down the rabbit hole of stress.
Investment time horizon is usually longer than we think. In most cases, much longer. Fact is that most folks’ money passes through multiple generations.
In managing money, as in life, never go “all in” or “all out”.
Stay away from the urge to tinker with individual stocks. They can, and often do, go to zero. Just because a company has a great product doesn’t make it a great stock. Often the product lasts years but the equity goes away.
Markets are efficient, people are not. Usually, the markets get it right.
You weren’t a genius on the way up nor a moron on the way down.
Greed and fear are the two primary human financial motivators. Avoid them both.
Markets rise because of earnings growth. Plain and simple.
Every generation has its bubble. We had the dot-com bubble. Next came the real estate bubble. Can never be totally sure of what today’s will be.
Thanks for listening and have a great June! As always, don’t hesitate to reach out for any reason at any time. Stay well and talk soon.