A few years ago, I was a fan of the Netflix series “Suits”. In one of the early episodes, the protagonist Harvey Specter was mentoring his young protégé on how to move a case forward. “Keep pressing until it hurts. Then you’ll know where to look”, he said as he sent off his understudy to get more information. This is absolutely true for wealth advisors if they want to help clients deal with their most important concerns. I’m not talking … Continued
There seems to be a surge in information available about aging well and longevity. This isn’t surprising given demographics and an aging baby boom. What has surprised me is how much time I spend talking about it and how much of my headspace it takes up. I’m reminded of a conversation with my Uncle Vito at a family gathering when I was in my twenties. I was quietly listening while relatives 30 or 40 years older talked. Uncle Vito pointed … Continued
Things happen in waves in my practice. Someone will approach me with a certain financial challenge. Within a week, another person will have almost the exact same concern. Then another. I’ve talked many times about the large segment of my clientele that are women on their own. It was the impetus behind the book I wrote. When the Picture Changes | Matthew Moccio I experienced another wave of inquiries recently from women who are “newly single” meaning they just lost … Continued
NBA player Giannis Antetokounmpo recently had an exchange with a reporter that garnered a lot of attention. His team was knocked out of the playoffs and the reporter asked if he thought the season had been a failure. His response was brilliant and highlighted how achieving a goal is a process where you sometimes make progress and sometimes have setbacks. He said, “There are no failures in sports.” He pointed out to the reporter that Michael Jordan played 15 seasons … Continued
I recently read a column by a local financial advisor in a local newspaper. The thesis of the article was this: The single greatest thing you can do to build wealth is to set up a regular savings plan. Hmmm… Certainly, saving is important. There are other key things one should do as well. Have a plan and update it regularly. Diversify. Rebalance periodically. Stay invested when markets are poor. I put all of these in the category of good … Continued
When I began working as an advisor almost 20 years ago, the common practice was to run a financial plan to age 90. Since then, that number moved up to 95 and sometimes even 100, thanks to longer life expectancy. It’s prudent to have a plan that provides for you and tests a scenario where you are blessed with a long life. But that is only part of the equation. It’s not just how long you live, but how long … Continued
Statistics and demographics tell us that there is a wave of individuals who are retiring or who are very near. That holds true in my practice as well. A major impetus for new business has been people who want to take inventory of their finances, consolidate their investments from multiple institutions and formulate a plan for their post-work future. So much effort is spent getting to retirement. Most people have spent 30 years working and saving to reach the goal … Continued
Rob Carrick writes about personal finance for the Globe and Mail. I read his columns regularly. I think he provides a valuable public service. He educates investors – both those who are “do-it-yourselfers” and those who work with an advisor. Whenever he writes something directed at investors about how they should evaluate their advisors, my interest is piqued. In the past, he published a questionnaire to help measure the value you get from your advisor. I sent it to all … Continued
After years of painfully low rates, Guaranteed Investment Certificates (GICs) are now paying in the area of 5% annually. And after a year of lousy stock and bond returns, this is causing some people to ask “why not just put it all in GICs?” Here is my take on that. First of all, yes, you could do that. There are concepts that advisors use to determine what to recommend to investors. But I always put that aside and say “comfort … Continued
There is a very basic and strict rule that advisors must follow called “Know Your Client”. It refers to our obligation to have a thorough understanding of our client’s financial position; things such as their employment, income, assets, liabilities, and their capacity for and comfort with risk. All of this is essential, but if you ask me, this just scratches the surface. Getting to know about them as people is equally important and the information is not recorded on any … Continued