Averill: Consistent returns mean happy customersWritten by Cap Averill II | | firstname.lastname@example.org
We temporarily avoid a global meltdown and financial talking heads rejoice. It makes me wonder if they go home and hit themselves with hammers because it feels so good when they stop.
Einstein defined relativity as follows: “Sitting on a hot burner for five seconds seems like an hour, but talking to a pretty girl for an hour seems like five seconds. That’s relativity.”
So, OK, relatively speaking it is a good thing to avoid a catastrophe.
But no job is created. No product is created. No profit is gained. Nothing.
Then the FED announces a treasury buy-back program. So if our country was a lemonade stand, we decided to put our own quarter in the cup and then run back behind the stand and serve ourselves the lemonade?
At some point there will be no more lemonade, and just one quarter in the cup. And markets rally?
I work in an industry of people who complicate things beyond belief in an effort to cover for the fact that they do not get results. Financial planning does not have to be that complicated. Pay attention to the bottom line.
If you are making money consistently, you wouldn’t care if your adviser spoke Swahili.
Watch the bottom line. Are you being paid for your risk? Or is it a cost to you?
It really isn’t that complicated. Either you are making good returns consistently or you are not.
Happy clients tell the story.