In a presentation in Boca Raton, financial author and Registered Investment Advisor Dale Hershman AKA "The Sick Economist" explores one of the most overlooked aspects of investing: psychology.
Remember It’s All In Your Head: A Healthy Mindset Leads to Healthy Stock Market Returns, dives into the emotional side of money, investor behavior, and the mental habits that often determine long-term financial success.
...If you started investing early in life, great job! Your next job is simpler; don’t blow it. Don’t chase hype only to panic sell when, not if, the market crashes. If you find yourself checking your investments every day, you’ve invested too aggressively.
Dale Hershman, Principal, Sick Advisory Services, agrees,
“It’s a simple mathematical fact that a young executive with a propensity to invest can build wealth, even without owning a home. What’s most important in wealth creation is simply time, not necessarily the form this wealth accumulation takes. Starting early in life makes a big difference mathematically. So, if a young executive can rent for less than buying while saving and investing the difference, that’s an option that typically pencils out well in the long term. What can go wrong with this approach? The biggest threat is confusing trading and even gambling with ‘investing.’ Whether you own equity in a home or equity in a selection of valuable publicly traded companies, the key concept is to build solid ownership in assets that only grow over the long term. Too many young people today, especially young men, are seduced by promises of quick money that are often implied, or offered directly, by trading apps, Reddit Groups, or unwise peers. Study after study proves that renting plus investing will only work if the young investor is building up equity ownership for the long term.”
Read the full article here.
....More than 4 in 5 Americans get health insurance through an employer: 61% our own employer and 20% via a spouse’s employer.
While it’s really our responsibility to make sure we fully understand our health insurance options before picking one, the sad fact is that many of us don’t do a good job of that.
This is where employers, through their benefits team, can step up and educate their employees.
Dale Ratner Hershman, Principal Sick Advisory Services, offers some advice for people making a good, but not spectacular, living. He says,
"There are a few tactics to avoid this predicament… (a) Sometimes, one spouse will continue to work a corporate job while the other pursues entrepreneurship. The employed spouse can then cover the whole family on her corporate health insurance. (b) Some employers, such as Apple, offer excellent, affordable health insurance, even for part-time employees. (c) A clever entrepreneur may be able to tailor her taxable income so as to be, “not too poor, but not too rich” to qualify for discounted healthcare. (d) Depending on where you live and your comfort with international travel, you may be able to get excellent care at much better prices by flying abroad. For example, a top-quality dental procedure that costs $10,000 in South Florida, may cost less than $1,500 in Colombia, which is an easy three-hour flight away. The healthcare situation for the self-employed is not pretty in the United States, but with proper planning and a proactive attitude, you can get by."
Read the full article here.
