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The Cow and the Buffalo

Writer's picture: Doug GuernseyDoug Guernsey

Updated: Jul 16, 2021

"When the whole world is running towards a cliff, he who is running in the opposite direction appears to have lost his mind."

~ C.S. Lewis

Storm systems generally originate from the west and roll out toward the east.

When cows sense a storm coming from the west, they begin to move toward the east, running away from it. Cows are at a major disadvantage because they are slow, lumbering animals. Inevitably the storm catches up with the cows rather quickly. Rather than bedding down, they are overcome by it and end up running right along with the storm. As a result of their frustration and confusion, a stampede is certain, leaving behind them a wake of destruction.

Buffalo, on the other hand, are exceptionally unique in the animal kingdom. Buffalo will wait for a storm to navigate over the crest of the peak of a mountaintop, and as the storm rolls over the ridge the buffalo turn west and charge directly into the storm. With purpose and dexterity, they run straight through the storm, minimizing the frustration and confusion of the experience. Not only do they exit the storm quicker, they are left with fresh, wet grass to feed on upon the plains.

It’s fair to say we will all face storms in our lives. We fear the things we don’t understand as well as the things we cannot control. What we can control is how we respond to them. Face these storms like the buffalo. Be strong and courageous and know that storms eventually pass, and the sun will shine again.

Which direction are you heading?

 

Market Perspective


I believe the image above offers quite a bit of perspective.

The Red Zone

1. Crashes happen.

2. They fly in fast.

3. They are unpredictable.

4. Down markets occur roughly 1 out of every 4 years.*

5. They are short-lived.

The Blue Zone

1. Markets are resilient.

2. They grow over time.

3. They are unpredictable.

4. Up markets occur roughly 3 out of every 4 years.*

5. They are long-lived.

Whether you are just starting to invest or you are retired and depending on your portfolio for income, the take away is this - it requires discipline and courage to be a successful investor.

*S&P 500 Index from January 1926 - December 2018 (93 periods) was up 68 periods with an annualized return of 21.12% and was down 25 periods with annualized return of -13.24%.

 

Finding the Patience and Courage to Rebalance

by Mark Matson



 

Your portfolio is trying to tell you something. Are you listening?


It is amazing the number of investors whose risk tolerance does not align with their portfolio allocation. "I'm aggressive" or "I'm conservative" is no longer adequate or suitable in today's investing environment.

How much risk do you feel comfortable with? How much risk do you need to reach your goals? How much risk are you currently taking? Your portfolio is desperately trying to tell you this and much more. Are you listening?

To find your Risk Number, click the link below.


 


Matson Money Livestream Event Global Economic Armageddon: Is It the Right Time to Panic? Wednesday, March 25, 2020 3:00 PM (CST) (Online Event) Blue Wahoo's Baseball Season Opener Postponed We will send out ticket information as soon as the Blue Wahoo's announce new opening dates. (call Sena McDaniel for ticket information)

Guernsey Sporting Clay Shoot - Friday, May 22, 2020 For now we are going ahead with this event. Sign up now!

 

Be An Advocate

Do you want to empower families in discovering their True Purpose for Money?

Do you want to help equip others to defeat the Wall Street bullies?

Do you want to see families discover for themselves how investing works and to be left with the knowledge to make powerful choices for themself, their family, and their future?

If you answered yes to any of these questions, then you can be an advocate for those you love and care about.

Here's how simple it is:

1) Invite someone to join you at one of our upcoming events.

2) Forward this to someone you care about.

Most people will not pursue these things without someone like you advocating for them.

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