The following text contains an excerpt From: Tony Robbins. “Money Master the Game.” (https://itun.es/us/PRJx2.l) which I wanted to share.
"Many investment advisors sell their services in part based on rebalancing or, in other words, selling your winners to return your portfolio to its asset allocation. Research shows you will reduce your risk of a big loss in the short term in your portfolio with regular rebalancing. But if you're really in your investments for the long term, even this level of tinkering may be more trouble than it's worth: You may end up with taxable gains, and you certainly will end up incurring trading costs. Bogle doesn't do it for his own portfolio.
"If you want to do it, once a year is probably enough," he said.
“He advises rebalancing only once a year. “I don’t want to just be trigger-happy and sell something because it’s going up,” he said. “I like to give my good asset class at least a year in the run.”
“Although there are many approaches to achieve financial freedom, the one-two punch of an All Seasons portfolio and the certainty of a guaranteed lifetime income stream (From a Fixed Income Annuity) is a powerful combination for peace of mind.”
Most of the time I simply publish great articles on my Twitter feed (@mclean) but this one on NPR's Planet Money I wanted to be sure to highlight. In short, it takes on the index vs. active approach to investing. Those of you who read this blog know that I am a big fan of indexing over active. This podcast on Planet Money takes this question on...in a fun way (and for charity) Enjoy!
"A million-dollar bet pits a bunch of really smart money managers against the simplest investment idea in the world."
Take 30 minutes to watch Ray Dalio discuss the macroeconomic look at the economy and how it really words. Courtesy: economicprinciples.org
Below is an email I received from GoHighbrow.com on minimalism. I found this post to be particularly interesting.
“The secret of happiness, you see, is not found in seeking more, but in developing the capacity to enjoy less.” - Socrates
In that one little line, Socrates summed up one of the major problems with our modern society, and offered a simple solution. Pretty brilliant, I’d say.
In fact, he negated the need for me to write more, but stubborn as I am, I will proceed. I’d like to talk about this capacity to enjoy less.
Is it difficult to enjoy less? No, not really, but it takes a change in mindset, which as with many such changes takes time and adaptation.
If you enjoy chocolate ice cream, as I do, when confronted with a tub of it would you also enjoy eating as much of the tub as possible? I know that’s what many of us do when faced with delicious food.
But what if you learned to enjoy just a few bites of the ice cream? And with each bite, savor the flavor, the coldness, the creaminess, the chocolatiness. (Yes, that’s a word, spell-checker – I made it up.)
If you love clothes, instead of buying more and more each weekend, can you learn to cull your wardrobe into a few quality, beautiful pieces that you can wear often, and enjoy more?
The same applies with anything we love … including online reading and communicating (email, Twitter, Facebook, forums). We often seem obsessed with more of it. But instead, consider reading just the quality stuff, and if a blog or Twitter feed doesn’t deliver quality consistently, consider dropping it.
Learn to love less television, movies, chatter, spending, shopping, eating out, junk food, technology, consumption, productivity. You get the idea.
When you focus on enjoying less, you focus on full enjoyment. You learn to be content with little, and when you do that, a life of happiness is at your disposal. The only limit to your happiness, then, is how much you can learn to enjoy less.
Looking back at an image I found from work I did in grad school. I couldn’t help but recognize the difference between top and bottom. Recognize a new and positive trend?