While some investors may be equipped and disciplined to manage their finances on their own, We’ve not met them in our collective 60+ years of professional practice.
Typically, mature women realize that they don’t have the expertise, training or time required to:
- Perform surgery on themselves
- Dare open the hood of our car to pinpoint that darned clicking noise
- Fill a cavity in their mouth
- Rewire their house’s electrical system
- Coach professional basketball players
- Draft their own will & powers of attorney
- Excel at most anything professional, outside their area of expertise
The education, training and discipline that is required in each of these specialties is obvious, yet particularly in the area of investing folks seem to be lured into thinking they not only CAN, they SHOULD do their own investing, since, after all, there’s an overwhelming amount of ‘financial advice’ abounding everywhere from TV, radio, print, social media, and cocktail party banter, to infer that ‘investing is easy’ and moreover anyone who’s not doing their investing themselves is otherwise ‘stupid’.
After all, everyone SHOULD know what they’re doing with so much information at our fingertips, right? Wrong! The proliferation of information is actually costing us not only significant financial returns (and the lost compounding on same) in addition to costing us valuable time since few people know what they need to know, or where to find it; hence, allow me to grant you permission to turn off and tune out the ‘financial news’/noise stations. Become deaf to their marketing chatter, for your own financial sake and success.
Some investors try their luck at day trading stocks, or looming over Value Line or Morningstar reports, or Kiplinger’s, Forbes, Money Magazine’s latest hot ideas, identifying yesterday’s winners, and, invariably, investing at the top. Think of it, when do investments get good ink? When they’re at their top. And given the cyclical nature of the stock market, what goes up will surely come down, and generally what is down may indeed rise in value. So we, as women, need to think BEYOND what appears obvious to understand the need for a carefully thought out financial PLAN; one that will weather any economic climate, and one which we will ADHERE to, especially when the markets are embroiled in chaos, and less educated investors are panic-selling, locking in permanent losses.