What the “new” normal could look like…
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People often look to Warren Buffett, one of the greatest investors of all time, for guidance what to do. But what about the opposite? The Oracle of Omaha has a great list of “no-goes” enumerated in this Bloomberg article:
Investing:
- Don’t be too fixated on daily moves in the stock market (from Berkshire letter published in 2014)
- Don’t get excited about your investment gains when the market is climbing (1996)
- Don’t be distracted by macroeconomic forecasts (2004)
- Don’t limit yourself to just one industry (2008)
- Don’t get taken by formulas (2009)
- Don’t be short on cash when you need it most (2010)
- Don’t wager against the U.S. and its economic potential (2015)
Management:
- Don’t beat yourself up over wrong decisions; take responsibility for them (2001)
- Don’t have mandatory retirement ages (1992)
- “Don’t ask the barber whether you need a haircut” because the answer will be what’s best for the man with the scissors (1983)
- Don’t dawdle (2006)
- Don’t interfere with great managers (1994)
- Don’t succumb to the attitudes that undermine businesses (2015)
- Don’t be greedy about compensation, if you’re my successor (2015)
Source: Bloomberg
This year’s turkey dinner will cost you 24 cents less or -0.5% compared to last year. The average cost of a classic Thanksgiving Dinner for 10 people is $49.87 according to the American Farm Bureau Federation’s survey. The relative price stability of the turkey index mirrors the government’s Consumer Price Index for food eaten at home which decreased 2% over the past year.
The bird soaks up the lion’s share of the budget at 46% of the meal’s cost. The 16-pound turkey came in at $22.74 this year or $1.42 per pound. The price of most ingredients was quite stable compared to last year. Biggest losers: turkey down $0.30 (-1.3%) and miscellaneous ingredients down $0.37 (-11.6%). Biggest gainers: pie shells up $0.12 (4.9%) and rolls up $0.21 (9.3%).
The average cost of a turkey dinner has hovered around $50 since 2011.
Happy Thanksgiving!
Source: AFBF
Design your “Death Dossier” soon or you could be setting up your heirs for frustration and financial pain:
25 Important Documents You’ll Need Before You Die |
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The Essentials • Will • Letter of instruction • Trust documents Proof of Ownership • Housing, land and cemetery deeds • Escrow mortgage accounts • Proof of loans made and debts owed • Vehicle titles • Stock certificates, savings bonds and brokerage accounts • Partnership and corporate operating agreements • Tax returns Bank Accounts • List of bank accounts • List of all user names and passwords • List of safe-deposit boxes |
Health-Care Confidential • Personal and family medical history • Durable health-care power of attorney • Authorization to release health-care information • Living will • Do-not-resuscitate order Life Insurance and Retirement • Life-insurance policies • Individual retirement accounts • 401(k) accounts • Pension documents • Annuity contracts Marriage and Divorce • Marriage license • Divorce papers |
Learn more in this article
A recent survey by Fidelity shows that wives and husbands don’t share retirement-planning duties nor agree on the plan:
Here’s what you should do and know:
It’s hard to not to riff on something political in the same week of that presidential candidates Hilary Clinton and Donald Trump squared off for their first debate. That’s exactly what Tony Isola did when he offered up his “financial products” version of Hilary Clinton’s uncomplimentary description of her opponent’s supporters (“basket of deplorables”).
Here is Tony’s list of products that are toxic to the retirement savings of our people and institutions:
Vote for transparency, low fees, and an investment advisor who will look out for your best interests!
source: Tony Isola
As the Republican National Convention wraps in Cleveland and the Democratic National Convention is about to start in Philadelphia, this is a timely opportunity to remind you that you shouldn’t mix your politics and your investments.
Salespeople and product-sales organizations are very astute at selling during political stress. They usually find a hook to sell their products…products that in most cases are not really in your best interest.
As Mike Piper points out in the Oblivious Investor, fear is a powerful sales tool. Salespeople exploit a person’s political views to instill fear and ultimately sell undesirable financial products. Those products are not only intrinsically bad, they come with a huge cost.
The pitch goes something like this,
This strategy is popular because it appeals to people of vastly different political views. To lure in investors with left-leaning views, the pitch evokes a narrative that the markets are rigged by the financial elite. To draw in the right end of the spectrum, the pitch emphasizes over taxation, over regulation, or excess government spending.
The technique is also popular because it can be used to sell just about anything…
If the fact that someone is trying to play you with a sales pitch designed to sell any product to two contradictory sets of beliefs isn’t enough to drive you away, consider this. For the recommended product to be right for YOU the following conditions have to be met:
Good luck getting all that to be true!
Source: OI
Tony Isola shares ten great quotes from the timeless classic, Where the Customers’ Yachts?:
Source: TM
NorthStar Capital Advisors would like to take this special occasion to thank you, our loyal clients and friends, as Sunday we celebrate 10 years of financial planning and investment management. We have come a long way since we rolled out our objective and disciplined approach to investing in 2006. Our success is attributable to clients and friends who faithfully support our business and receive great service and advice in return.
We deeply appreciate your loyalty, support, and trust over the past 10 years. We hope you and your family have a safe and happy holiday!
With heartfelt thanks,
Chris Mullis, Jimmy Irwin & David Berger