A Tale of Two Federales
For an FAA air traffic controller, showing up to work was pretty much mandatory. The stresses of not getting paid compounded with a very stressful job. Their jobs have also been classified as 'non-essential'. Our federal PR department needs to do a better on the verbiage here.
On the other side of the spectrum (the ones that didn't have to show up to work), we have the well-rested FDA medical-device inspector that hasn't been to work since Christmas. One such employee told me he hasn't felt this good and relaxed in years.
Can there be a silver lining here? Maybe some marginal gains in mental health... which will evaporate the second our Federales return to their cubicle.
5+ weeks of catch-up, here we go...
Chart of the Week
A record share of asset classes posted negative returns in 2018.
We are proud to share that all of our clients made money in 2018. This was accomplished by our disciplined and focused tactical asset allocation practices and our flagship equity fund that returned 3.6% vs. the S&P 500's -4.4%.
Ways to Increase Happiness
Taking the long view increases happiness. Nobel Prize winner, Daniel Kahneman, in his book 'Thinking Fast and Slow' writes:
"Closely following daily fluctuations is a losing proposition, because the pain of the frequent small losses exceeds the pleasure of the equally frequent small gains. Once a quarter is enough, and may be more than enough for individual investors. In addition to improving the emotional quality of life, the deliberate avoidance of exposure to short-term outcomes improves the quality of both decisions and outcomes. "
Word of the Week
ACCOUNT STATEMENT, n. A document from a bank, brokerage, or investment firm that is designed to be incomprehensible to CLIENTS, thereby preventing them from asking impertinent questions like “Who set my money on fire?” You might be able to recognize your balances and recent transactions on an account statement, although that will be easier if you earn a PhD in cryptography first.
We do things differently. We find that major investment institutions overlook important performance indicators like benchmarks and the annualized rate of return of your entire portfolio.
At Parker Logan, to compliment your brokerage account statement, we provide comprehensive performance reporting and 1-on-1 holistic financial reviews.