We recently received our first snow of the season. I am not one to count down to the first snow of the year. For me, it primarily serves as a reminder that it will be quite some time until golf season starts again! Our 3-year-old son, however, was much more excited about the snow. He stared out the window, fascinated by the weather, thinking it was Christmas again already. Later in the day, he suited up and went out to play, running, jumping, and making snowballs. Ah, to be a kid again!
It made we wonder when this child-like joy leaves us. In my memory, life as a child seemed so simple, carefree, and full of fun. Now, when I read the financial headlines in the morning, most of what I see is negativity, fearmongering, and predictions of impending economic doom.
I recently spoke with a well-informed friend about an article he read that was predicting a major economic crash with specificity. He wanted my thoughts on it as it made him a bit nervous about what is to come. I was curious about the author, so I looked back at his other recent articles. As it turns out, all of them predicted specific economic harm of significant impact was at our doorstep. His predictions have been wrong every time so far! Of course, he also so happens to sell services that can save you from these terrible times to come.
The reality is that no one has a clue which way the market and economy will go this year. The best we can do it apply a systematic, intentional approach to the current environment when it comes to financial management. I also believe it is worth the effort to take this approach with an optimistic point of view. We have been given a responsibility to steward our wealth wisely, and we should make every effort to do it with joy, no matter what is next for the markets.
My son and I faced the same event that morning: fresh snow. I saw it as a nuisance and reason to grumble while he embraced it as an activity to enjoy. We have the same choice with our investments, no matter the current economic reality. So, let’s choose to embrace it. We are here on the ride right next to you!
