Continuing with this week’s focus on the Importance of Understanding Alternatives, today we want to offer investors an opportunity to split-test two diametrically opposed investment strategies and generate some serious competitive fun at the same time.
Strategy # 1: Investor’s current investment strategy leveraging a financial advisor where:
- Investors are not, and have not been, satisfied with their returns on their investments for years and don’t see it changing going forward
- The financial advisor and the financial services industry are ‘first-in-line’ to skim their fair share from an investor’s investment portfolio
- Investments are always chasing performance, kept in perpetual motion, and exhibit NO discipline with respect to clearly defined exit and entry triggers
- The Wall Street hype, noise, and marketing machine play on an investor’s emotions
Strategy #2: A ‘contrarian strategy’ leveraging a DIY investment philosophy that is:
- Backed by academic evidence
- Supported and promoted by financial gurus such as; John Bogle, Peter Lynch, Larry Swedroe, etc. (but not the financial services industry)
- Disciplined in nature across ALL investment strategies (Buy and Hold, Market Timing, and Aggressive Growth) providing clearly defined exit and entry triggers tuning out the hype, noise and marketing machine.
- Guaranteed to build wealth for YOU…NOT your advisor and the financial services industry! This is because YOU are always in control and first-in-line to reap the rewards that YOUR investments generate!
So, if you no longer look forward to opening and looking at the value and direction of your investments, maybe it’s time to consider an alternative:
Do This – Pit a contrarian DIY strategy against your current poor-performing strategy
- Take some amount of your investments, maybe half, and create a split-test game for a few years, comparing results. You’ll find this game rewarding and exhilarating…but your advisor won’t!
Not That – Continue investing as usual and not trying an alternative that is outside the ‘confined walls’ of Wall Street
If you would like to learn more, join our Facebook Fan Page and start the process by enriching your knowledge. Knowledge builds wealth and is quickly becoming today’s new global currency.