Last week we explored Quadrant #1 of Saving, or Personal Vision. This week we take the next step beyond vision to build a portfolio that attempts to bring the vision to life… at some point in the future.
This is what “Quadrant #2 of Saving” is all about: Building a Portfolio.
Unfortunately, this step is often mistakenly addressed first (prior to the vision step) by investors and less-qualified advisers alike. Why? Because the portfolio is the part everyone likes to talk about! Of course, the portfolio is essential; but success depends first on Quadrant #1 and addressing the “Commonly Overlooked” items (see last week’s edition). A plan must be in place to build the savings that go into the portfolio — no savings, no portfolio.Continue reading “Quadrant #2 of Saving: Personal Vision”
What are you saving your money for?? Or maybe I should take a step back and ask, ARE you saving?
Life is a lot easier with savings in the bank (no ####, Sherlock). However, the act of getting around to saving money may be one of the hardest tasks to achieve in life. It can help first to figure out for what — and when and with whom — would we even save in the first place? Accumulating savings can be much more attainable after asking yourself these questions. From here, a “savings plan” can begin to form.
How about the recent article I read in The Wall Street Journal titled, “Why Do U.S. Stocks Keep Hitting Records? Here Are Five Theories.”* There are at least five reasons for the recent (mostly) strength in U.S. — and global — stocks. Based on historical returns, a nod toward cautious optimism is always healthy as well. For my long-time readers, this means I will also reference “The Greatest Chart Ever”! Read on…