Ken Himmler.com

As I was driving to the gym this morning it occurred to me that many of the workers on their way to the office demonstrate the same behavior as many people in the stock market. As I was in the center lane a large SUV – getting 5 miles to the gallon I’m sure – came speeding up behind me and tailed me for about a mile. I saw the fellow in the rear view mirror getting angrier and started pounding his steering wheel. At the first chance he swerved over a lane, cut off another person and speed off. About a mile later I came up to the stop light and guess who was right next to me, you got it – the guy in the big SUV. As the light changed and he all but squealed wheels it occurred to that I bet I knew what type of investor he is. Just like he thinks he can save five minutes by endangering himself and everyone else around him – his investing behavior is most likely the same. Investors, I have found usually think they can control things like the world economy, geo-political situations, interest rates and even oil. Not “control” to a point they can change them but to the point where they think that by being smarter than everyone else they can out – profit everyone else. This is where a good set of prioritized goals comes into place. Do you have a set of prioritized goals for your financial security? Here is an example. If the guy who we will refer to as Gas Guzzling George made a list of priorities before he left home it look may like this:

1) Get to work as fast as can 2) Other peoples safety and my own is not a consideration 3) Wear and tear on my auto is no concern 4) Gas guzzling is of no concern. At least this is what his behavior showed. If you were to make a list of your financial goals and what you really want out of life would it match your behavior? Even if this guy succeeded, what was the end result or what did he get out of it? If you are like him with your investing and financial planning behavior then maybe it’s time to find a financial planner that can help organize your financial life and get you to your goal. This might have been a better way for Gas Guzzling George to start the day: 1) Goal: Arrive Alive 2) Relax so I can be productive at work 3) Remember there are other mothers and fathers that drive the road and the risk ( possibly leaving a child without a parent) vs the reward (get to work five minutes earlier) may really not be worth it. You might be taking the same type of risk in the way you are investing or in what you are investing. If the end goal is to convert “people energy at work” to “money energy at work” then there should be a strategy to make it happen – not just changing lanes when the speed isn’t what you think it should be.

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