As I was driving home recently, I heard a commentator on one of the financial radio channels say that investors should “ become comfortable with being uncomfortable”. That resonated with me as a good description of the core message that we work to impart to our clients on a daily basis. In order to make progress towards important life goals, we usually have to “become uncomfortable”.
Most of us don’t like being uncomfortable, so it is not surprising that we sometimes go to great lengths to stay within our comfort zone both in our financial lives and elsewhere. Risk makes us uncomfortable, so we seek to avoid risk. Because of rising living costs (inflation), however, we usually have to accept some risk in order to have positive, after inflation, long-term investment returns. Because of this tension, we are constantly trying to move back into the land of certainty, where low risk and low reward peacefully co-exist. “Isn’t the market too high?; aren’t stocks too risky?; are bonds and bank CD’s safer?”
To a large extent, having a successful investment experience revolves directly around how “comfortable you become with being uncomfortable”. Think about the times in your life when you experienced real progress. Didn’t this progress, this accomplishment, come after stepping outside your area of comfort? As an old magazine slogan used to say “life is lived in drive, not park”.
We have a fresh approach, no sales pressure, just un-conflicted advice. In many instances, deriving a reasonable path towards your goals involves some stretching of existing comfort zones. Striving for something that is important can be a rewarding exercise. Ready for a real conversation?