Investors Repeat the Same Mistakes In mid-2022, the dominant market narrative was clear: a global recession was looming. Yield curves inverted. Fear permeated headlines. Fund flows showed investors retreating from equities and rushing to cash. But then, in classic market fashion, reality unfolded in a way few expected. The pessimism marked a turning point. Equity…
When Markets Get Emotional Advisors Must Pivot from Rational to Relational In times of market stability, financial advisors and clients engage in a zone of clarity. There is a mutual understanding. Clients are calm, conversations are based on reason, and plans are reviewed with a shared sense of long-term thinking. These are the moments when…
The Real Investment Gap Is Not Knowledge – It’s Behaviour An experienced financial advisor whose opinion I deeply respect once made a startling remark: “You do realise that we cannot advise people on how to manage their investments?” At first, I struggled with the idea. It felt too cynical and defeatist. But the more I…
Don’t Confuse Effort with Value Seth Godin recently reminded us that while we put in the effort with the goal of creating value, the two are not the same. It is a distinction that matters – especially in financial planning. It is easy to lose sight of what truly gets rewarded. Do not confuse activity…
The Long Game Remains Undefeated Tariff tantrums! What if this time is different? We are human—emotional, instinctive, and often unsettled by the unknown. We can’t always suppress our reactions when markets fluctuate. It’s natural to feel anxious during periods of financial turbulence. In fact, it’s expected. The instinct to flee when markets fall is deeply…
It’s the End of the World as We Know It This past week in the markets was historic – for all the wrong reasons. It reminded me of the words from a popular R.E.M. song during my varsity days, which I’ve borrowed as the title of this article. The now-familiar word “tariff” has caused markets…
Market Corrections Reveal Who You Are as an Investor Market corrections don’t just test portfolios; they test people. In a bull market, everyone feels like a disciplined, long-term investor. Confidence is high, portfolios are growing, and the temptation to believe in one’s own investing skill is strong. But when the market corrects and prices fall,…
Decisions vs. Choices: Understanding the Difference I recently learned that a choice is not the same as a decision. When it comes to personal financial planning, the words “choices” and “decisions” are often used interchangeably. However, they represent distinct concepts that play different roles in shaping your financial future. Recognizing the difference can help you…
The Futility of Predictions: Why We Obsess Over Market Forecasts That Always Fail Every December, as the year winds down, financial analysts and market pundits flood the media with bold predictions for the year ahead. Investors eagerly consume these forecasts, as though they provide actionable insights. Yet, year after year, these predictions miss the mark—often…
Beware Prevailing Investor Sentiment and Consensus The CNN Business website offers a “Fear and Greed Index,” which tracks the prevailing emotions in the market. At present, the market sentiment falls within the “Greed zone.” However, if we zoom out and assess how this sentiment has fluctuated over the past 12 months, it becomes clear that…