Young Research & Publishing Inc.

Investment Research Since 1978

Disclosure

  • About Us
    • Contributors
    • Archives
    • The Final Richard C. Young’s Intelligence Report
    • You’ve Read The Last Issue of Intelligence Report, Now What?
    • Dick Young’s Research Key: Anecdotal Evidence Gathering
    • Crisis at Vanguard
  • Investment Analysis
    • Bonds
    • Currencies and Gold
    • Dividend Investing
    • ETFs & Funds
    • Investment Strategy
    • Retirement Investing
    • Stocks
    • The Efficient Frontier
  • Investment Counsel
  • Dynamic Maximizers®
  • Retirement Compounders®
  • Free Email Signup
  • Dick Young’s Safe America

Dead or Alive? The Future of Long-Term Investing: Part II

April 12, 2019 By E.J. Smith

By Photoraidz @ Shutterstock.com

Ask anyone if they’re a long-term investor and nine out of ten will tell you they are most definitely long-term investors. That is, unless something crazy happens to the market. It’s like the profile pieces you read about someone’s workout and eating regimen. Every minute of the day is carefully planned, and it seems every person profiled sticks to salads topped with salmon and the occasional piece of dark chocolate.

In the real-world, life gets in the way, and it gets messy. OK, maybe it’s doable if you don’t have kids, or a job, or grandchildren, or any other fabric of life that makes it worth living.

Time and time again you see money flow into stocks when they’re up, and ebb into bonds when stocks are down. Take a look at the money flow late last year when stocks tanked—it flowed into bonds. It’s a self-fulfilling prophecy for sure, but the exact opposite took place at the beginning of this year—money flowed into bonds—as stocks rallied.

Avoid oscillating between asset classes by making both bonds and stocks part of your portfolio at all times. Don’t take it from me. At the end of his life the legendary Jack Bogle said about bonds and stocks that half the time he loved them and half the time he hated them. Sage advice all-round, as usual from Mr. Bogle. Setting up such a plan isn’t easy, but it can prevent you from making emotional decisions at the worst times.

That’s the difficulty of being a successful long-term investor. Life gets in the way. It’s easy to move into bonds when stocks are down. You start to wonder who will take care of your family when you’re dead. It pulls at your emotions and you cannot feel better until you know you’re in “safer” investments. That’s what makes investing successfully so tough.

Investing successfully can feel terrible. It can be grueling. And once you’ve retired and you’re no longer working, it’s worse by a factor of 100x to be kind.

We would all like to be successful investors much like healthy eaters that wink-wink stick to salads and salmon. But we all know life gets in the way and oftentimes it’s helpful to have an advisor to keep you on track when things get messy and salmon isn’t on the menu.


Read the entire Dead or Alive? The Future of Long-Term Investing series.


Originally posted on Your Survival Guy.

Share this:

  • Email
  • Twitter
  • Facebook

You Might Also Like:

  • Dead or Alive? The Future of Long-Term Investing
  • Dead or Alive? The Future of Long-Term Investing: Part III
  • Dead or Alive? The Future of Long-Term Investing: Part IV
  • Author
  • Recent Posts
E.J. Smith
E.J. Smith is Founder of YourSurvivalGuy.com, Managing Director at Richard C. Young & Co., Ltd., a Managing Editor of Richardcyoung.com, and Editor-in-Chief of Youngresearch.com. His focus at all times is on preparing clients and readers for “Times Like These.” E.J. graduated from Babson College in Wellesley, Massachusetts, with a B.S. in finance and investments. In 1995, E.J. began his investment career at Fidelity Investments in Boston before joining Richard C. Young & Co., Ltd. in 1998. E.J. has trained at Sig Sauer Academy in Epping, NH. His first drum set was a 5-piece Slingerland with Zilldjians. He grew-up worshiping Neil Peart (RIP) of the band Rush, and loves the song Tom Sawyer—the name of his family’s boat, a Grady-White Canyon 306. He grew up in Mattapoisett, MA, an idyllic small town on the water near Cape Cod. He spends time in Newport, RI and Bartlett, NH—both as far away from Wall Street as one could mentally get. The Newport office is on a quiet, tree lined street not far from the harbor and the log cabin in Bartlett, NH, the “Live Free or Die” state, sits on the edge of the White Mountain National Forest. He enjoys spending time in Key West and Paris.

Please get in touch with E.J. at ejsmith@youngresearch.com
Latest posts by E.J. Smith (see all)
  • Your Retirement Life: Meet Your BMW Club Racing Program Director - January 22, 2021
  • Do You Know Who’s the Largest Owner of Farmland in America? - January 21, 2021
  • I’ve Been in Richard Young’s Maximizers for Years - January 20, 2021

Search Young Research

Most Popular

  • The Fed is Sacrificing Retirees to Save the Banks
  • Dick Young’s Safe America: Chapter 1, Part I
  • I’ve Been in Richard Young’s Maximizers for Years
  • Vanguard Wellesley (VWINX) vs. Wellington (VWELX): Which Fund is Best?
  • The Power of a Compound Interest Table
  • Whether Through Audacity or Ignorance, Stock Fundamentals Are Being Ignored
  • Jim Simons's Renaissance Technologies vs. Internet Forum Traders
  • Smith Family Robinson in Live Free or Die, NH
  • The Highest Yielding S&P 500 Stocks
  • February RAGE Gauge: Americans Focusing on What's In Front of Them

Don’t Miss

Default Risk Among the Many Concerns with Annuities

Risk and Reward: An Efficient Frontier

How to be a Billionaire: Proven Strategies from the Titans of Wealth

Could this Be the Vanguard GNMA Winning Edge?

Cryptocosm and Life After Google

Warning: Avoid Mutual Fund Year End Distributions

Is Gold a Good Long-term Investment?

How to Invest in Gold

Vanguard Wellington (VWELX): The Original Balanced Fund

What is the Best Gold ETF for Investing and Trading?

Procter & Gamble (PG) Stock: The Only True Dividend King

The Dividend King of the North

You’ll Love This if You’re Dreaming of an Active Retirement Life

RSS The Latest at Richardcyoung.com

  • Absentee Ballots Not Verified
  • SARS-CoV-2: Probability of Outdoor Airborne Transmission Very Low
  • Your Personal Safety: Concealed-Carry How to Carry Your Freedom
  • Mostly Peaceful, Ungovernable Protestors
  • Biden’s Inaugural, the Most Confusing, Contradictory, Incoherent Ever?
  • Is the GOP Over? Not Even Close: Here’s Why
  • Impeaching an Ex-President is Unconstitutional
  • Ten Republican Senators to Get Behind
  • Why Do Government Officials Want To Silence Their Opponents?
  • And 2022 Is Right Around the Corner

About Us

  • About Young Research
  • Archives
  • Contributors

Our Partners

  • Richard C. Young & Co.
  • Richardcyoung.com

Social Media

  • Facebook
  • Twitter
  • Youtube
  • Pinterest

Copyright © 2021 | Terms & Conditions

loading Cancel
Post was not sent - check your email addresses!
Email check failed, please try again
Sorry, your blog cannot share posts by email.