A couple of days ago, I wrote about an investment summary a financial advisor had sent to a physician and how that summary didn't make much sense to me. You can read about it here: Coating Financial Crap With Sugar Doesn't Make It A Cake.
Well, one physician read the article and wrote this comment to me:
"What makes you different than all the other financial planners out there giving out the same advice? I have seen so many FPs [financial planners] say and do the same thing without really knowing all the details (macro and micro) of the economy."
Apparently this guy just doesn't get it. Or maybe he didn't read the whole post.
If you've been reading my articles, watching my videos, have signed up to receive my report "7 Colossal Financial Mistakes Doctors Make and How To Correct Them So You Can Stop Making Work Mandatory and Start Making Work Optional" and my emails, then you should have no doubt in your mind that the advice I give is different than many financial advisors.
But I don't give "different" advice for the sake of being different.
Instead it's to help my clients succeed.
The whole point of showing the economic and investment summary that many advisors dole out to clients is to show that not only do many physicians not understand their investment portfolios, but also that many financial advisors focus on the wrong things when managing portfolios.
And if you're focusing on the wrong aspects of portfolio management, you don't have an investment strategy or sound investment philosophy.
Why is that important? Because the investment philosophy you use is the foundation of your retirement portfolio and sets the stage for everything you do afterwards: what funds you select, the investment returns you get, how much risk you take, and so on.
So what should you focus on?
Well, first you have to realize what you should NOT focus on. The reader claims that you should really know the details of the micro and macro economy.
Think about that for a minute. Do you think you can really understand all the details of a $15 TRILLION economy?
And that's just the US economy.
I don't care which medical school you graduated from. You simply can't do it.
And guess what?
It doesn't matter!
Why? Because the economy is irrelevant if you have a sound investment philosophy.
Does the economy affect your investment returns? Of course.
But you cannot control it.
And if you think you can grasp the economy and predict where it's headed -- and you can also predict its effect on stock and bond market prices -- you're likely setting yourself up for failure.
How many times have you heard a financial planner tell you that?
Now do you think I give the "same" advice as everyone else?
Didn't think so.
Focus on what's important in your investment portfolio. Start by setting up your Financial Strategy Consultation right here: