The Laws of Wealth by Daniel Crosby

Posted on July 24, 2021 by admin

“Get rid of the excuses and get invested.” Fidelity Investment

Daniel Crosby, author of The Laws of Wealth, presents 10 rules of behavioral self-management.

Rule #1 – You Control What Matters Most. “The behavior gap measures the loss that the average investor incurs as a result of emotional responses to market conditions.” As an example, the author notes that the best performing mutual fund during the period 2000-2010 was CGM Focus, with an 18.2% annualized return; however the average investor in the fund had a negative return! The reason is that they tended to buy when the fund was soaring and sell in a panic when the price dipped. More on volatility later…

Rule #2 — You Cannot Do This Alone. “Vanguard estimated that the value added by working with a competent financial advisor is roughly 3% per year… The benefits of working with an advisor will be ‘lumpy’ and most concentrated during times of profound fear and greed… The best use of a financial advisor is as a behavioral coach rather than an asset manager.” Make sure your advisor is a fiduciary. “A fiduciary has a legal requirement to place his clients’ interest ahead of his own.”

Rule #3 – Trouble Is Opportunity. “The market feels most scary when it is actually most safe… Corrections and bear markets are a common part of any investment lifetime, they represent long-term buying opportunity and a systematic process is required to take advantage of them.” The author quotes Ben Carlson: “Markets don’t usually perform the best when they go from good to great. They actually show the best performance when things go from terrible to not-quite-so-terrible as before.”

To do this is by keeping some assets in cash a buy list of stocks that are great qualitly, have a strong balance sheet and a strong brand, but are expensive.

Rule #4 – If You’re Excited, It’s a Bad Idea. “Emotions are the enemy of good investment decisions.”

Rule #5 – You Are Not Special. “A belief in personal exceptionality causes us to ignore potential danger, take excessively concentrated stock positions and stray from areas of personal competence… An admission of our own mediocrity is what is required for investment excellence… This tendency to own success and outsource failure [known as fundamental attribution error] leads us to view all investment successes as personal skill, thereby robbing us of opportunities for learning as well as any sense of history. When your stocks go up, you credit your personal genius. When your stocks go down, you fault externalities. Meanwhile, you learn nothing.”

Rule #6 – Your Life Is the Best Benchmark. “As a human race, we are generally more interested in being better than other people than we are in doing well ourselves.” However, “measuring performance against personal needs rather than an index has been shown to keep us invested during periods of market volatility, enhance savings behavior and help us maintain a long-term focus.”

Rule #7 – Forecasting Is For Weathermen. “The research is unequivocal—forecasts don’t work. As a corollary, neither does investing based on these forecasts…. Scrupulously avoid conjecture about the future, rely on systems rather than biased human judgment and be diversified enough to show appropriate humility.”

Rule #8 – Excess Is Never Permanent. “We expect that if a business is well-run and profitable today this excellence will persist.” The author quotes James O’Shaughnessy: “‘The most ironclad rule I have been able to find studying masses of data on the stock market, both in the United States and developed foreign markets, is the idea of reversion to the mean.’ Contrary to the popular idea of bear markets being risky and bull markets being risk-free, the behavioral investor must concede that risk is actually created in periods of market euphoria and actualized in down markets.”

Rule #9 – Diversification Means Always Having to Say You’re Sorry. “You can take it to the bank that some of your assets will underperform every single year… The simple fact is that no one knows which asset classes will do well at any given time and diversification is the only logical response to such uncertainty… Broad diversification and rebalancing have been shown to add half a percentage point of performance per year, a number that can seem small until you realize how it is compounded over an investment lifetime.”

Rule #10 – Risk Is Not a Squiggly Line. “Wall Street is stuck in a faulty, short-sighted paradigm that views risk as a mathematical reduction [of volatility]… a flaw that can be profitably exploited by the long-term, behavioral investor who understands the real definition of risk… Volatility is the norm, not the exception, and it should be planned for and diversified against, but never run from… Let me say emphatically, there is no greater risk than overpaying for a stock, regardless of its larger desirability as a brand.”

One of the most interesting concepts in the book is that investing in an index is not as passive as we might assume. Crosby quotes Rob Arnott: “‘The process is subjective—not entirely rules based and certainly not formulaic. There are many who argue that the S&P 500 isn’t an index at all: It’s an actively managed portfolio selected by a committee—whose very membership is a closely guarded secret!—and has shown a stark growth bias throughout its recent history of additions and deletions… The capitalization-weighted portfolio overweights the overvalued stocks and underweights the undervalued stocks…’ In a very real sense, index investing locks in the exact opposite of what we ought to be doing and causes us to buy high and sell low… Buying a capitalization weighted index like the S&P 500 means that you would have held nearly 50% tech stocks in 2000 and nearly 40% financials in 2008.”

“Once we realize that passive indexes are not mined from the Earth, but rather assembled arbitrarily by committee, the most pertinent question is not if you are actively investing (you are) but how best to actively invest.”

“Behavioral risk is the potential for your actions to increase the probability of permanent loss of capital… Behavioral risk is a failure of self… Our own behavior poses at least as great a threat as business or market risks… We must design a process that is resistant to emotion, ego, bad information, misplaced attention and our natural tendency to be loss averse.”

Crosby presents rule-based behavioral investment, or RBI for short. “The myriad behavior traps to which we can fall prey can largely be mitigated through the simple but elegant process that is RBI. The process is easily remembered by the following four Cs:

Consistency – frees us from the pull of ego, emotion and loss aversion, while focusing our efforts on uniform execution.
Clarity – we prioritize evidence-based factors and are not pulled down the seductive path of worrying about the frightening but unlikely or the exciting but useless.
Courageousness – we automate the process of contrarianism: doing what the brain knows best but the heart and stomach have trouble accomplishing.
Conviction – helps us walk the line between hubris and fear by creating portfolios that are diverse enough to be humble and focused enough to offer a shot at long-term outperformance.”

“Rule-based investing is about making simple, systematic tweaks to your investment portfolio to try and get an extra percentage point or two that has a dramatic positive impact on managing risk and compounding your wealth over time… We know that what works are strategies that are diversified, low fee, low turnover and account for behavioral biases.”

“Just like a casino, you will stick to your discipline in all weather, realizing that if you tilt probability in your favor ever so slightly, you will be greatly rewarded in the end… Becoming a successful behavioral investor looks a great deal like being The House instead of The Drunken Vacationer.”

The author quotes Jason Zweig: “You will do a great disservice to yourselves… if you view behavioral finance mainly as a window onto the world. In truth, it is also a mirror that you must hold up to yourselves.”

Crosby, Daniel. The Laws of Wealth: Psychology and the Secret to Investing Success. Hampshire, Great Britain: Harriman House, 2016.

Health, Financial and Emotional Well-Being

Posted on July 2, 2021 by admin

“We don’t see the world as it is, we see it as we are.” Anaïs Nin

Recent survey shows Americans are the unhappiest they have been in 50 years. Pandemic and health concerns, social unrest and economic distress have left Americans feeling tired, and living with a constant state of “brain fog” which are just a few symptoms of stress, anxiety, lack of sleep, and poor overall mental health.

People will exercise to help their bodies become fit, but when it comes to mental health, most people do nothing. Let’s be frank, the coronavirus has changed many Americans emotional, financial, and physical health circumstances dramatically and quickly. It’s important to take a holistic approach to your health, financial and emotional well-being. We know that planning for your future is about so much more than your finances – you and your family’s physical and emotional wellness are also a priority.

Time and time again, research has shown that “money cannot buy happiness” and that not only do you need a finite amount of money to be happy, but that prioritizing things like expressing gratitude, friendships, hobbies and family may actually lead to long-term well-being.

Keep physical, emotional and financial health a priority and in the center of your thoughts and daily life.

Overall emotional, physical and financial well-being are what your attempting to holistically achieve. It helps you feel more secure and less stressed in all areas. Sometimes the best thing you can do for your health – and your long-term financial security – is to tune it out the constant negative news. Here are some ways to tune out negativity during uncertain times.

Put down the smart phone and turn off the news. Allow yourself just one hour of news time each day, preferably in the middle of the day. This ensures you don’t start or end your day anxious. It’s important to stay informed, but once a day should suffice.
Stay positive and focus on an attitude of gratitude. List the top five (or more) things you’re grateful for each day. Your list may be the same from day to day or it could change based on the past day’s experience. It could be as simple as being thankful for the roof over your head or a smile from a stranger as you walk your neighborhood.
Get physical and eat healthy. You’ve probably heard it before, and that’s because it’s true – physical activity is just as healthy for your mind as it is for your body. This doesn’t mean you have to participate in high intensity interval training. Start small. Simply going for a walk or doing basic stretches can help keep your mind and body at their best. Additionally, eliminate process foods, refined sugars and saturated fats from your diet. Eat more plant based foods and whole grains.
Connect with family and friends. Having a strong support system is important during good times, but even more so during challenging ones. Reach out to someone you haven’t talked to in a while to see how they’re doing. Send a text or card or give them a call. If your family is spread out across the country, use digital apps to connect and play games.
Stick to a schedule. When you’re stressed, it often takes a toll on your sleep schedule. Keeping a consistent routine can help. Get up and go to bed at the same times each day, even on weekends. Know your stress triggers and pay attention when you notice them flaring up.

While it’s important to be aware of what’s going on in the world, focusing on the bad news won’t help your financial strategy, your emotional well-being or your physical health. Remember, you’re in it for the long term.

During the current coronavirus pandemic, instead of ‘social distancing,’ our focus should be on ‘physical distancing’ and ‘social connection.'”

Maintain mental health and emotional well-being

Focus on the now. Worrying about the past or the future isn’t productive. When you start chastising yourself for past mistakes, or seeing disaster around every corner, you’re only creating more stress and anxiety in your life.

It’s important to stop and to take a breath and ask yourself what you can do right now to succeed. Find something to distract you from destructive thoughts and reset your attitude.

Achieving a healthy frame of mind can seem more challenging than in years past.

Having a daily moment of intentional quiet can go a long way toward a better outlook.

Try this five-minute meditation routine that combines both yoga and balance to steady the mind, utilize the breath to become more mindful, and reduce stress.

Mindfulness meditation does, in fact, decreases anxiety and improves self-esteem, studies have shown.

As you move through Mindfulness meditation, focus on deep breathing. Inhale and exhale through the nose, and start by filling up your lungs with air. Then feel the air rise up into the chest. As you exhale, empty the chest first and then feel the stomach deflate like a balloon. This slow, conscious and specific breath pattern aids in focusing the mind to the present moment.

Finally, if your mind wanders easily during this sequence, you can focus on a one-word mantra to recite silently to yourself. Choosing a word like “serenity” or “peace” or “confidence” and syncing your movement with your breath can help transport you to a different world that quiets distractions from the past and future.

References:

https://www.synchronybank.com/blog/millie/money-and-happiness/https://www.synchronybank.com/blog/millie/money-and-happiness/
https://apple.news/Am_LnLhs1Q22oltXhOLcRLg

Value Time Over Money

Posted on May 26, 2021 by admin

“It’s essential that you place a high value on your time.”

Happiness is more than simply a positive mood, according to Psychology Today. It is a state of well-being that encompasses living a good life, one with a sense of meaning, purpose and deep contentment. Happiness encompasses feelings of satisfaction and c. involves creating strong relationships and helping others. It requires also uncomfortable or painful experiences—to continue to learn, grow, and evolve.

Coincidentally, emotional well-being refers to the emotional quality of an individual’s everyday experience—the frequency and intensity of experiences of joy, stress, sadness, anger, and affection that make one’s life pleasant or unpleasant.

Time and time again, research has shown that not only do you need a finite amount of money to be happy, but that prioritizing things like time, relationships, hobbies and family may actually lead to long-term well-being. Research shows that the finite sweet spot for yearly income is between $60,000 and $95,000 a year, not a high six-figure salary. Earnings above $95,000 do not necessarily equate to increased well-being.

A study published by Science Advances in 2019 found that recent grads who valued time over money, in which they took jobs that were less demanding but also paid less money, were generally happier.

People who prioritize money are generally driven by extrinsic motivations like shopping, which bring little personal satisfaction, researchers concluded.

On the other hand, people who prioritize time are typically intrinsically motivated, focusing on hobbies, relationships and cultivating gratitude instead. Intrinsic motivations build autonomy and purpose, which lead to long-term happiness, the researchers concluded.

Although wealth offers the potential for people to spend their time in happier ways, such as by living in a more expensive apartment closer to the office, survey data suggest that wealthier individuals often spend more of their time engaging in activities that are less enjoyable, such as commuting. Research suggests that rising incomes are linked to an increased sense of time scarcity.

Takeaway

Happy people live with purpose and value time over money. They find joy in lasting relationships, working toward their goals, and living according to their values. They tend not to garner happiness from material goods or luxury vacations. They’re fine with the simple pleasures of life and cultivating gratitude.

People who cultivate gratitude tend to better appreciate and enjoy life, as gratitude creates satisfaction that is intrinsic. To practice gratitude, reflect on what you’re grateful for each morning to shape the rest of the day, keep a gratitude journal, and reframe negative experiences by finding something within them for which you’re grateful, and can learn and grow.

References:

Money and Happiness

Posted on May 25, 2021 by admin

“The great Western disease is, ‘I’ll be happy when… When I get the money. When I get a BMW. When I get this job. When I get the relationship,’ Well, the reality is, you never get to when. The only way to find happiness is to understand that happiness is not out there. It’s in here. And happiness is not next week. It’s now.” Marshall Goldsmith

Research shows that after you make enough money to pay your essential expenses and save for the future, making more does little for your happiness. A 2010 study by economist and psychologist Daniel Kahneman found that, where wealth is concerned, a person’s satisfaction with their life no longer increases after about $75,000 ($90,000 in today’s dollars) a year.

If anything, once people start making a lot of money, they begin to think they’re doing worse in life, because they become obsessed with comparing themselves to those who appear richer and appear to be living a relatively larger and more luxurious social media embellished lifestyle. But, it important to remember that, “Money has never made man happy, nor will it, there is nothing in its nature to produce happiness”, Benjamin Franklin quipped. “The more of it one has the more one wants.

Instead, research suggests that spending money on experiences rather than tangible goods, giving to others with no thought of reward, and expressing gratitude for what you have, results in the greatest feelings of happiness.

Pitfalls of chasing money

Focusing on chasing the accoutrements of wealth is a trap, because it leads only to an increased focus on chasing wealth. Even multimillionaires make the mistake of believing that money, and not time, experiences and gratitude, will enrich their lives.

“These days, in our materialistic culture, many people are led to believe that money is the ultimate source of happiness. Consequently, when they don’t have enough of it they feel let down. Therefore, it is important to let people know that they have the source of contentment and happiness within themselves, and that it is related to nurturing our natural inner values.” Dalai Lama

A few thousand of the world’s wealthiest people were surveyed and asked how much money they’d needed to be “perfectly happy”, according to Harvard Business Review. Seventy-five percent (many of whom had a net worth of $10 million or more) said they’d needed “a lot more” ($5 million to $10 million, “at the very least”) to be happy.

It doesn’t take a PhD in psychology to see how misguided the mindset of “needing a lot more money” is not related to achieving happiness.

Money may not buy happiness, but there are some things you can do to try to increase happiness such as writing down what you’re grateful for. Literally “counting your blessings” can help you feel more positive. Instead of thinking about what you don’t have, think about the things you do have.

Nothing less than your health and happiness depends on reversing the innate notion that money alone leads to happiness. It’s important to start seeing time, daily habits, being grateful, and lifestyle are the main drivers that determines your happiness:

Convince yourself that your time, expressing your gratitude, and your health are more important than money and your bank account balance.
Remind yourself that your values and that your closely aligned goals when faced with critical life and financial decisions.
Make deliberate and strategic decisions that allow you to have more time across days, weeks months, and years.

Among millionaires, past studies reveal that wealth may be likely to pay off in greater personal happiness only at very high levels of wealth ($10 million or more), and when that wealth was earned rather than inherited.

Takeaways

Research concludes that money can buy life satisfaction and that money is unlikely to buy happiness, but it may help you achieve happiness to an extent through experiences, expressing gratitude, and giving to others. Look for experiences and opportunities that will help you feel fulfilled and that are aligned with your values. And, remember to count your blessings.

And beyond that, you can find happiness through other nonfinancial means, like spending time with people you enjoy or thinking about the good things in your life. Since, “Happiness comes from spiritual wealth, not material wealth…”, according to Sir John Templeton. “Happiness comes from giving, not getting. If we try hard to bring happiness to others, we cannot stop it from coming to us also. To get joy, we must give it, and to keep joy, we must scatter it.”

References:

Financial Mindset

Posted on May 11, 2021 by admin

“It’s difficult to master the psychology and emotions behind earning, spending, debt, saving, investing, and building wealth.”

Personal finance is simple. Fundamentally, you only need to know one thing: To build wealth and achieve financial freedom, you must spend less than you earn. Yet, it seems challenging for most people to get ahead financially.

Financial success is more about mindset and behavior than it is about math, according to J.D. Roth, author of Get Rich Slowly. Financial success isn’t determined by how smart you are with numbers, but how well you’re able to control your emotions and behaviors regarding savings and spending.

A great article here about money mindset from @TheStreet:
"I believe the money mindset is the first, and crucial first step to personal financial success… You need to first understand your thoughts and feelings around money."https://t.co/QcG4071dWn #mindset #money #wealth pic.twitter.com/Dc4YppsJeP

— Heena Thaker (@heenaIWC) May 10, 2021

Financial Mindset

“Change your mindset and attitude, and you can change your life.”

You sometimes have to make sacrifices in order to improve your financial situation. For instance, if you are in debt, you need to sacrifice some expenses so you can pay more towards managing and eliminating your debt. It is these financial sacrifices that will require you to have the right financial mindsets so you can overcome the obstacles that derail people from managing and eliminating their debt.

According to an article published in USAToday.com, Americans do not have a financial literacy problem. Instead, Americans simply make the wrong financial decisions and have bad final habits which does not necessarily translate that they are unaware of the best practices of financial management. We know how to make the right choices about our personal finances. The problem, according to the article’s author Peter Dunn, is that Americans have a financial behavioral problem. It is bad financial behavior, decisions and habits that usually get them into money trouble. It is what put them in a financially untenable position.

A perfect example is that you should never spend more than what you are earning. It is logical after all. But does that mean you follow it. Some people still end up in debt because they spend more than what they are earning.

Other examples of beliefs about money and personal finance include:

Taking personal responsibility regarding your finances is everything.
You shouldn’t buy things you can’t afford.
You don’t have to make a ton of money to be financially successful.
You can give yourself and your family an amazing life, if you’re able to remain disciplined and think long term.
Borrowing money from or lending money to your family isn’t recommended.
Education can get you a better job, if you get the right education.
You should buy life insurance.
You have much more to do with being a financial success than you think.

Financial literacy gems such as “spend less than you make,” “you need to budget” and “save for the future” are impotent attempts to help. However, lacking the correct financial mindset can make following the simple financial gems quite challenging.

There are 5 destructive financial mindsets that are the norm in our society today but you should actually get rid of starting today, according to NationalDebtRelief.com.

1. Using debt to reach your dreams.

This can actually be quite confusing. A lot of people say that it is okay to be in debt as long as it will help you reach your dreams. There is some truth to that but you should probably put everything into the right perspective. Buying your own home and getting a higher education are some of the supposedly “good debts.” It is okay to borrow for these if you can reach your dreams because of that debt. Not so fast. It may be logical to use debt to reach these but here’s the key to really make it work – you should not abuse it. If you get a home loan, buy a house that will help pay for itself. That way, the debt will not be a burden for you. When it comes to student loans, make sure that you work while studying to help pay for your loans while in school. Do what you can to keep debt from being a burden so it will not hinder you from reaching your dreams.

2. Thinking you do not need an emergency fund.

The phrase, “you only live once (YOLO)”, should no longer be your mindset – especially when it comes to your finances. You always have to think about the immediate future. If you really want to enjoy this life, you need to be smart about it. Do not splurge everything on present things that you think will make you happy. It is okay to postpone your enjoyment so you can build up your emergency fund. You are not as invincible as you think even if you are still young.

3. Settling for a stressful job to pay off debt.

“The most important thing when paying off your debts is to pay off your debts.”

Among the financial mindsets that you need to erase is forcing yourself to stay in a stressful job just so you can pay off your debt. You are justifying the miserable experience that you are going through in your job because you need it to meet your financial obligations. This is the wrong mindset. You need to put yourself in a financial position where you will never be forced to stay in a job that you do not like. Live a more frugal life that does not require you to spend a lot so you can pursue a low paying job and still afford to pay your debts.

4. Delaying your retirement savings.

Some young adults think that their retirement savings can wait. Some of them think that they need to pay off their debts first before they can start thinking about the future. This is not the right mindset if you want to improve your finances. You have to save for retirement even when you are drowning in debt.

5. Failing to have a backup plan.

The last of the financial mindsets that you need to forget is not having a backup plan. Do not leave things to chance if it involves your finances. You have to make a plan and not just that, you need to have a backup plan. If you have an emergency savings fund, do not rely on that alone. What if one emergency happens after another? Where will you get the funds to pay for everything? Think about that before you act.

Takeaway

Remember, personal finance is simple…it’s your emotion, behavior and habits that are challenging. Bottom-line, it comes down to your financial mindset. Smart money management is more about your mindset than it is about personal financial math of net worth, cash flow, saving and investing. The math of personal finance is simple and easy. It’s the psychology that’s tough and challenging. Essentially, the concepts to improving your finances and achieving financial freedom are simple but it is not easy to follow through with them.

References:

No. 1 Secret to Success, Wealth and Happiness in Life

Aside

“Kindness and generosity are the keys to happiness and prosperity.”Wahei Takeda, president and founder of Takeda Confectionery Co.

Wahei Takeda, president and founder of Takeda Confectionery Co., was considered a truly happy man, and lived by example a life that demonstrated to others what it really meant to live a successful and meaningful life. Often called the “Warren Buffet of Japan”, Takeda was one of the country’s most successful and well-known investors.

The key to a happy and abundant life

Takeda’s philosophy of “maro,” which in Japanese means ‘a sincere heart’, “inner contentment and gratitude are the keys to a happy and abundant life”.

My mentor, Wahei, said, those who are in touch with maro always create win-win situations for themselves and others.
When your maro increases, Wahei says you maro up and invite many miracles in your life.#kenhonda, #happymoney, #moneyeq, #inspiration, #waheitakeda pic.twitter.com/cjtwSvm3VL

— Ken Honda Happy (@KenHondaHappy) November 14, 2019

The secret to a happy life isn’t an abundance of wealth, since rarely does anyone says they have too much, or just enough. “Winning a $20 million lottery ticket won’t make you happier,” said Dr. Sanjiv Chopra, a professor of medicine at Harvard Medical School. “Research has shown that after one year, lottery winners go back to their baseline. Some are even less happy.”

Chopra explains the four things that have been scientifically linked to happiness:

1. Relationship with Friends and family

Developing a close bond with people we trust and confide in is essential to our overall well-being. “Choose your friends wisely and celebrate everything small and good with them,” Chopra says.

Researchers have also warned that “loneliness and social isolation can be as damaging to health as smoking 15 cigarettes a day,” whereas friendships can “reduce the risk of mortality or developing certain diseases and can speed recovery in those who fall ill.”

2. Forgiveness

“The ability to forgive frees you from the burdens of hate and other unhealthy emotions that can negatively impact your happiness quotient,” says Chopra.

He cites Nelson Mandela as a hero who truly mastered the art of forgiveness. In 1990, when the legendary freedom fighter emerged from his 27 years of prison, he was asked whether he had any resentment toward his captors.

“I have no bitterness, I have no resentment. Resentment is like drinking poison and then hoping it will kill your enemies,” Mandela responded.

“Resentment is like drinking poison and then hoping it will kill your enemies.” Nelson Mandela

3. Giving

Chopra says that getting involved with charities and donating money to help others is one of the most fulfilling ways to spend your time and money. Researchers have suggested that people who volunteer experience greater happiness, higher self-esteem and a lower mortality rate.

A study from the University of Chicago and Northwestern University found that giving, rather than receiving, leads to long-term happiness. In one experiment, 96 participants were given $5 every day for five days — with the option to either spend it on themselves or on others.

“Everyone started off with similar levels of self-reported happiness,” the researchers wrote. “Those who spent money on themselves reported a steady decline in happiness over the five-day period. But happiness didn’t seem to fade for those who gave their money to someone else.”

4. Gratitude

“Gratitude is not only the greatest of virtues, but the parent of all the others.” Roman Orator Marcus Tullius Cicero once

“There’s a wonderful anonymous quote that goes, ‘If you don’t know the language of gratitude, you’ll never be on speaking terms with happiness,’” Chopra says.

Practicing gratitude can be as simple as saying “I’m grateful” at least once a day. In fact, one study from the American Psychological Association found that doing so can help people savor positive experiences, cope with stressful circumstances and strengthen relationships. It will also measurably improve your own overall satisfaction and happiness in your relationships and life.

“Happiness flows not from physical or external conditions, such as bodily pleasures or wealth and power, but from living a life that’s right for your soul, your deepest good.” Socrates

“Taking time to think about what you’re grateful for makes you more aware of the positive things in your life,” says Chopra. As a result, “it makes you less biased by the fewer negative things in your life.”

“Be thankful 1,000 times a day”
– Wahei Takeda, known as the Warren Buffett of Japan
What are you grateful for today? pic.twitter.com/kTC75V0XK8

— Growthitude (@Growthitude) November 5, 2017

In a money-obsessed capitalist society, the simplest way to reach a state of happiness, contentment and abundant life is to express gratitude and give to others, instead of always wanting or asking for more. Bottomline, “gratitude is a key to wealth, health, and happiness”.

References:

Stay Thanksgiving Safe

Posted on November 26, 2020 by admin

“Nothing in life is to be feared; it is only to be understood. Now is the time to understand more, so that we may fear less.” — Marie Curie

CDC and other federal, state and local public health officials strongly advise Americans to avoid Thanksgiving holiday travel and gatherings. They warn of increase risk of spreading COVID-19.

“The tragedy that could happen is that one of your family members is coming to this family gathering and they could end up severely ill, hospitalized or dying. And we don’t want that to happen,” Dr. Henry Walke, the CDC’s COVID-19 incident manager said. “These times are tough, it’s been a long outbreak, almost 11 months, and we understand people are tired.”

Yet, many Americans are ignoring the warnings against travel during the Thanksgiving period. While the number of Americans traveling by air over the past several days was down dramatically from the same time last year, many pressed ahead with their holiday plans amid skyrocketing hospitalizations and confirmed infections across the U.S. Essentially, many Americans have grown weary of more than eight months of social distancing and determined to spend time with loved ones.

The Transportation Security Administration reported that more than 1 million people went through security checkpoints Sunday, the most since mid-March.

The CDC has urged people not to travel for Thanksgiving amid recent outbreaks of coronavirus cases. https://t.co/C47KBl5xor

— NPR (@NPR) November 24, 2020

If you decide to travel or gather, there are a few Thanksgiving gathering safety tips you can take to manage risk to yourself and others. The CDC recommends:

Bringing your own food, drinks, plates, cups and utensils
Avoiding passing by areas where food is being prepared, such as the kitchen
Using single-use options, like salad dressing and condiment packets
Using disposable items like food containers, plates and utensils.

Here are 7 things you can do this Thanksgiving to stay safe help prevent a dangerous post-holiday Covid-19 spike. (via @CNBCMakeIt) https://t.co/WJHhQx7aoE

— CNBC (@CNBC) November 23, 2020

Attitude of Gratitude

During the current COVID-19 pandemic, it’s tough to take a moment to express how thankful and to express gratitude you are for life’s many blessings. All too often, there are never enough minutes in the day for all of your family obligations. And this past year, you’ve had more than your fair share of stress and challenges created by the pandemic and lockdowns.

“Cultivate the habit of being grateful for every good thing that comes to you, and to give thanks continuously. And because all things have contributed to your advancement, you should include all things in your gratitude.” Ralph Waldo Emerson

References:

https://www.usatoday.com/story/travel/news/2020/11/19/holiday-travel-cdc-recommends-americans-dont-travel-thanksgiving/3779090001/

Peace Be With You!

Posted on November 8, 2020 by admin

“It isn’t enough to talk about peace. One must believe in it. And it isn’t enough to believe in it. One must work at it.” Eleanor Roosevelt

Peace is much more wide ranging than the absence of violence, conflict and war. Peace is the presence of justice, tranquility and harmonious relations. Peace is an inner state of well-being and calm.

In Christianity, peace can be found through God’s mercy and grace. Peace is bestowed upon those who praise, worship and pray to him. Simply put, peace can be found when you relinquish control and hand matters over in your personal relationship with God. So…may “The peace of the Lord be with you.”

Finding Peace

Peace is a presence of tranquility and harmony that comes from within. It is a place of inner balance. You can experience it once you gain the capacity to truly manage your emotions, feelings and stress levels. It happens when you are less reactive in challenging situations. During these times, instead of reacting harshly or out of fear, you respond in a balanced and healthy way, trusting that all will be well in the end.

“Nobody can bring you peace but yourself.” Ralph Waldo Emerson

Achieving peace is a continuous self-journey towards taking responsibility for your own life and loving yourself just as you are, all your imperfections and warps included. Though it might seem out of reach, putting our problems and struggles into perspective helps us move closer to reaching tranquility.

Peace begins with making an effort to be more calm and present. Peace does not waver in the presence of troubles or difficult situations. It allows you to act and make decisions from a place of love, not fear. It allows you to make rational, emotionally balanced decisions. Peace is like a superpower!

It helps to relieve stress, and helps you deal with stress more effectively when it does get tough.
It improves your overall focus and clarity.
It manifests self-awareness.
It reduces your negative, agitated thinking, and worry.
It improves your creativity.
It reduces your anxiety level.
It improves your relationships with others (and yourself).

Peace is a lifestyle that can be chosen, and as more people adopt it as a goal, we can live in a much better, more peaceful world. Peace gives you the power to control your mind, your emotions and your attitude.

“The life of inner peace, being harmonious and without stress, is the easiest type of existence.” Dr. Norman Vincent Peale

In essence, peace means not just freedom from trouble but everything that makes for a man’s highest good. Peace is more than the absence of war or something felt in the mind. It is a way of living life in a proper relationship between man and God, as well as man and man.

References:

Psychosocial Health

Posted on November 5, 2020 by admin

It’s important that you choose to be happy, healthy and at peace!

Health is defined as the overall mental, emotional and physical state of a person; the absence of disease and ailment. On the other hand, wellness or well-being refers to the state of being in optimal mental and physical health.

But wellness is more than optimal mental, emotional and physical health. It’s about living a life in harmony, full of personal responsibility and taking proactive steps for one’s entire well-being. Thus, a person living life very well controls risk factors that can harm them. Risk factors are different types of actions or conditions that increase a person’s chances for illness or injury.

Psychosocial (mental, emotional, social, and spiritual) health and wellness

“The secret of a better and more successful life is to cast out those old dead unhealthy thoughts.” Dr. Norman Vincent Peale

Psychosocial health includes four important components of well-being. It means being mentally, emotionally, socially, and spiritually sound which fortunately is no longer lost on traditional modern medicine. There’s plenty of proof that a healthy mind, content heart and grateful attitude are just as important for the prevention of diseases and therapeutic treatment. Therefore, this concept of psychosocial health, a state of mental, emotional, social, and spiritual well-being, deserves much attention and additional research.

Basic Traits of Psychosocial Health

“The greatest revolution of our generation is the discovery that human beings, by changing the inner attitudes of their minds, can change the outer aspects of their lives.” William James

Individuals who are deemed to be psychosocially healthy aren’t completely devoid of problems. Actually, it’s not the quantity or quality of a problem, which makes someone sound in this respect. It’s the way people view themselves and how they view and response to stressful situations that sets psychosocially healthy people apart from those who are not. Here are just a few traits shared by these robust individuals. They:

Like themselves
Accept their mistakes
Take care of themselves
Have empathy for others
Control their anger, hate, tension, and anxiety
Are optimistic
Can work alone and with others equally well

Mental Health

“To make your mind healthy, you must feed it nourishing, wholesome thoughts.” Dr. Norman Vincent Peale

The thinking portion of psychosocial health is known as mental health. Your beliefs and values in life, as well as how you relate to others and respond to situations in your life, are a reflection of mental health, which overlaps with the other aspect of health.

When something happens to you that you don’t like and you respond in a positive manner by accepting your mistake and looking forward to its correction, then that’s good. But if you show up late for work regularly, get fired, and then blame anyone but yourself, then that may be an indicator of less than ideal mental and emotional health.

Emotional Health

The feeling part of psychosocial health is called emotional health. This includes things like anger, love, hate, and happiness. Oftentimes, emotional and mental health overlap a great deal in some situations. Going back to our example of getting fired from work because you came in late multiple time, if you feel a bit down, but still have high hopes for the future, that’s a positive thing. But if you lash out in a blinding rage against your boss, sulk when you go home, and avoid everyone thereafter, then that may point to improper emotional health.

Furthermore, it’s not unexpected even for an emotionally healthy person to experience some sadness and grief after getting fired; that by itself isn’t conclusive of poor emotional health. Everyone, even the most optimistic people, have their ups and downs. But an emotionally healthy person is one that responds to a situation in a manner that is controllable, in proportion, and with understanding.

Emotional intelligence is an ability to understand and manage your emotions and those of others. It can be broken up into five main parts:

Know your emotions: Are you able to quickly recognize your feelings?
Manage your emotions: Can you express those feelings appropriately? Are you able to cope with them well?
Motivate yourself: The more you can do this independently in order to achieve more in your life, the higher your emotional intelligence.
Recognize the emotions of others: The more you can empathize with others, the better.
Handle your relationships: The better you are at navigating conflict in life and building a good social network, the higher your emotional intelligence.

Social Health

Having healthy relationships is a good way to also introduce social health, the ability to create and maintain healthy relationships with others. I’m sure you can already appreciate how much this is related to the concepts we went over in emotional health. Everything here is related because they are all part of the one overarching concept – psychosocial health.

Social health goes beyond having appropriate emotional health and intelligence. A person with good social health:

Recognizes the importance of social engagement. We’re pack animals after all! We’re not supposed to live alone!
A person with good social health is able to support their friends in a time of need and ask for their help when they need it themselves.
They aren’t biased, prejudiced, racist, or sexist.
Listens to others well, expresses their feelings just as well, and acts in a responsible manner around others.

An example of a person with good social health is someone who has close friends. They enjoy listening to and feels close enough to share important feelings with. The contrast is a curmudgeon who is bad-tempered and discourages close personal relationships.

Spiritual Health

When you enhance your spirituality, you form a relationship built on inner peace, love, faith and security.

Spiritual health is about having “something more” in your life. In practical terms, we’re talking about getting to know yourself—getting to know what you’re feeling, what you’re thinking, what you’re intending, what your fears are, and what your loves are, according to Gary Zukav author of Seat of the Soul.

Relationships can transform into a spiritual connection and partnership. If we use our relationships with ourselves, others and God (or an entity that is transcendent) to make us wiser, kinder, peaceful, grateful and more compassionate, we can actually change how the relationships work for us. We can have and enjoy the relationships and lives we’ve always dreamed of.

Higher levels of spirituality have also been linked to increased compassion, strengthened relationships, and improved self-esteem. “Our findings show that spirituality is significantly associated with better mental health and well-being and may add to an individual’s overall wisdom,” explains Dilip Jeste, senior associate dean for the Center of Healthy Aging and a professor of psychiatry and neuroscience at the UC San Diego School of Medicine. “Spirituality does not require religious faith but is characterized by humility and ever-present connectedness to oneself or to others or to an entity that is transcendent, such as Mother Nature or God or the soul. It helps reduce stress in many people and allows them to be more at peace, happier, and healthier.”

References:

Background:

Physical wellness: This means we exercise, eat well, practice safe sex, don’t do any dangerous activities like jumping off of buildings, and so on. Physical fitness increases physical wellness. By being physically fit and well, you are better able to take care of yourself and others, especially in a time of need. You are also better able to prevent illness and disease.

Intellectual wellness: Critical thinking, being curious, and always learning new things. Developing intellectual wellness is critical not only to help a person grow in school and do better at work, but it actually prevents the onset of disease. It’s been shown that people who regularly learn new things and challenge their mind can stave off many mental health problems.

Emotional wellness: Being confident, having a solid self-esteem, building trust, and being able to understand another’s feelings. A person who is emotionally well is aware of their feelings and is able to properly cope with them. Emotional wellness also implies a person can deal well with stressful situations.

Social wellness: Having good communication skills, the ability to establish good and healthy long-term relationships, and having good relationships with family and friends. Interpersonal relationships are very important in order to maintain a good emotional and physical state of being. We are, of course, ‘pack animals,’ so to speak, that depend on one another to survive and live well.

Spiritual wellness: The path to a spiritual wellness and relationship depends upon you because how you relate to yourself determines how spiritual you are toward others, according to Deepak Chopra. Developing compassion, forgiveness, being caring, having a sense of purpose and meaning in life. Spiritual wellness doesn’t automatically imply the need for religion in a person’s life. But, it does imply a personal relationship with God or committing to something higher. This personal relationship or commitment to something higher can be developed and found through things like nature, meditation, volunteer work, and family.

Mahatma Gandhi:

You must be the change you wish to see in the world.
Happiness is when what you think, what you say, and what you do are in harmony.
Live as if you were to die tomorrow. Learn as if you were to live forever.
Keep your thoughts positive because your thoughts become your words. Keep your words positive because your words become your behavior. Keep your behavior positive because your behavior becomes your habits. Keep your habits positive because your habits become your values. Keep your values positive because your values become your destiny.

References:

https://www.chopra.com/articles/how-to-have-a-true-spiritual-relationship

Healthy Aging and Lifestyle: Happiness and Gratitude

Posted on October 24, 2020 by admin

Gratitude is the expression of appreciation for what one has.

Attitude of Gratitude and why gratitude sprouts happiness

“The Grass is Always Greener on the Other Side” refers individuals who are not satisfied with their own lot in life and always assumes that there are better things in other places. This view appears to be a common human quality of always wanting something different than what you have. It assumes that your neighbor’s yard ( or circumstance) is greener (or more desirable) than yours, when, in reality, they are the same or your neighbor is actually coveting what you have.

“The grass is greener” expresses the idea that people often think a different set of circumstances would bring them greater happiness and joy in life; however, the phrase is often used in the context of reminding people that this is not usually the case. A more apt phrase is “the grass is greener where you water it., ” suggesting that good situations come from the energy you put into them, not from dreaming about them.

Developing an attitude of gratitude means that over time, gratitude can boost happiness and fosters both mental and psychological health, even among those already struggling with mental and physical health problems.

According to Psychology Today, “Gratitude is about feeling and expressing appreciation: for all we’ve received, all that we have (however little it may be), and for all that has not befallen us.” Studies show that practicing gratitude curbs the use of words expressing negative emotions and shifts inner attention away from such negative emotions as resentment and envy, minimizing the possibility of ruminating, which is a hallmark of depression.

Gratitude is a key tenet in all major philosophies and religions. That’s because gratitude is the foundation of happiness. We only have a limited amount of focus, so when you are able to be appreciative of what you have, your brain is unable to give life and energy to thoughts about what you don’t have. Seeing events in your life as gifts allow you to perceive how they may help you grow and become a better person, and the application of this attitude during tough times is the hallmark of resilience.

“Our happiness depends on the habit of mind we cultivate. So practice happy thinking every day. Cultivate the merry heart, develop the happiness habit, and life will become a continual feast.”

“Studies show that people can deliberately cultivate gratitude—and there are important social and personal benefits to doing so. It is possible to feel grateful for loved ones, colleagues, animals, nature, and life in general. The emotion generates a climate of positivity that both reaches inward and extends outward.” Norman Vincent Peale

Happiness is arguably one of the most important goals in life.

“Happiness has to do with your mindset, not with outside circumstance.” Steve Maraboli, Life, the Truth, and Being Free

“Happiness is best described as coming from between — that is if you get the right kind of relationship between yourself and other people, yourself and your work, and yourself and something larger than yourself… if you get those three relationships right … it will draw you out into the world, it will engage your passions, it will give you the kind of support that you need and want and it’ll give you a sense of meaning and purpose in life,” according to happiness expert Jonathan Haidt, the Thomas Cooley Professor of Ethical Leadership, based in the Business and Society Program at New York University.

“Money never made a man happy yet, nor will it. There is nothing in its nature to produce happiness. The more a man has, the more he wants. Instead of its filling a vacuum, it makes one.” Benjamin Franklin

What makes a person feel happy and grateful depends on the person and the degree to which we are inclined to experience and express gratitude. It can be something as simple as a call from a friend or a pleasant evening dinner with family. Engaging in a more specific act and how we think about an act, such as volunteering your time and talent to help others, can make people feel good about themselves.

“It isn’t what you have or who you are or where you are or what you are doing that makes you happy or unhappy. It is what you think about it.” Dale Carnegie, How to Win Friends and Influence People

Tips to Foster Gratitude

Keep a journal of or in some way note big and little joys of daily life.
Write down daily “three good things”—identify three things that have gone well for you and identify the cause.
Write thank-you notes to others.
Think about people who have inspired you and what about them was most significant.
Engage in “mental subtraction.” Imagine what your life would be like if some positive event had not occurred.

“Gratitude is the appreciation of things that are not deserved, earned or demanded – those wonderful things that we take for granted.” – Renée Paule

Learning to be thankful and regularly expressing gratitude is an important part of personal happiness. Being thankful gives us an appreciation for what we have.

Brownlee Global: Gratitude to Greatness

Helping People Live the Lives They Want

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