Category Archives: Staying Optimistic

Positive Thoughts for a New Year

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“Great things happen to those who don’t stop believing, trying, learning, and being grateful.” ― Roy T. Bennett

“Optimism is a huge asset. We can always use more of it. But optimism isn’t a belief that things will automatically get better; it’s a conviction that we can make things better.” — Melinda French Gates

“Confidence isn’t optimism or pessimism, and it’s not a character attribute. It’s the expectation of a positive outcome.” — Rosabeth Moss Kanter

“The most important step a man (or woman) can take. It’s not the first one, is it? It’s the next one. Always the next step.” ― Brandon Sanderson

“The happiness of your life depends on the quality of your thoughts.” — Marcus Aurelius

“Be happy for this moment. This moment is your life.” — Omar Khayyam

You can live a happier, healthier, more joyful, and successful life in the New Year by embracing positive thinking and thoughts!😀😀😀

Positivity refers to your tendency to be optimistic in life and believe that tomorrow will better than today.  When have have positivity, you think positive, have positive emotions, and do positive things.

Studies have shown that being optimistic can affect your health and well-being. Positive thinking and optimism are effective and proven ways to manage stress. And effective stress management has many health benefits.

References:

  1. https://bestlifeonline.com/positive-quotes/
  2. https://www.mayoclinic.org/healthy-lifestyle/stress-management/in-depth/positive-thinking/art-20043950

Building Resilience

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“God, grant me the serenity to accept the things I cannot change, the courage to change the things I can, and the wisdom to know the difference.” Reinhold Niebuhr

The author of “Healthy Brain, Happy Life” and “Good Anxiety” explains how to harness the power of anxiety into unexpected gifts.

We are living in the age of anxiety. There are about 40 million Americans— or 18% of the population—suffering from clinical anxiety disorders today.

Anxiety is a situation that often makes you feel as if you are locked into an endless cycle of stress, uncertainty, and worry. But, there are ways to leverage your anxiety to help you solve problems and fortify your wellbeing, explains Dr. Wendy Suzuki, PhD, a neuroscientist and professor of Neural Science and Psychology in the Center for Neural Science at New York University. Thus, instead of seeing anxiety strictly as a problem or curse to dread, you recognize it as the unique gift that it is.

Dr. Suzuki has discovered a paradigm-shifting truth about anxiety: yes, it is uncomfortable, but it is also essential for your survival. In fact, anxiety is a key component of your ability to live optimally. Every emotion you experience has an evolutionary purpose, and anxiety is designed to draw your attention to vulnerability. If you simply approach it as something to avoid, get rid of, or dampen, you actually miss an opportunity to improve your life. Listening to your anxieties from a place of curiosity, and without fear or worry, can actually guide you onto a path that leads to inner peace and joy.

Drawing on her own struggles and based on cutting-edge research, Dr. Suzuki has developed strategies for managing unwarranted anxiety and exercises you can do to build your resiliency and mental strength. The exercises include:

Visualize positive outcomes

At the beginning or at the end of each day, think through all those uncertain situations currently in your life — both big and small. Now take each of those and visualize the most optimistic and amazing outcome to the situation. Not just the “okay” outcome, but the best possible one you could imagine.

This process of visualizing “the most optimistic and amazing outcome” should build the muscle of expecting the positive outcome and might even open up ideas for what more you might do to create that outcome of your dreams.

Turn anxiety into progress

Our brain’s plasticity is what enables us to be resilient during challenging times — to learn how to calm down, reassess situations, reframe our thoughts and make smarter decisions.

Reach out

Asking for help, staying connected to friends and family, and actively nurturing supportive, encouraging relationships not only enables you to keep anxiety at bay, but also shores up the sense that you’re not alone.

The belief and feeling that you are surrounded by people who care about you is crucial during times of enormous stress — when you need to fall back on your own resilience in order to persevere and maintain your well-being.

When we are suffering from loss or other forms of distress, it’s natural to withdraw. Yet you also have the power to push yourself into the loving embrace of those who can help take care of you.

Practice positive self-tweeting

Lin-Manual Miranda sends out tweets at the beginning and end of each day. The tweets are essentially upbeat little messages that are funny, singsongy and generally delightful.

If you watch him, you’ll see an inherently resilient, mentally strong and optimistic person.

For you to be that resilient, productive and creative, it’s essential to come up with positive reminders. You don’t necessarily need to share them. The idea is to boost yourself up at the beginning and at the end of the day.

This can be difficult for those who automatically beat themselves up. Instead, think about what your biggest supporter in life — a spouse, partner, sibling, friend, mentor or parent — would tell you, and then tweet, remind or say it to yourself.

Although popular science continues to suggests that persistent, low-level anxiety is detrimental to your health, performance, and wellbeing, but if you could learn how to harness the brain activation underlying your anxiety and make it work for you, you could turn anxiety into superpower, says Dr. Suzuki.

Her research and her own experience demonstrate that this paradigm shift from bad to good anxiety can accelerate focus and productivity, boosts performance, lead to happiness, create compassion, and foster more creativity.

Twenty-five positive quotes and reminders to build resilience:

  1. You’re awesome, Bro.
  2. You can do all things through Christ which strengthens you!
  3. Believe in yourself; have faith in your abilities!
  4. Everyday, in every way, you’re getting better and better, dude!
  5. “Great minds discuss ideas.” Eleanor Roosevelt
  6. “Success is the sum of small efforts, repeated day in and day out.” Robert Collier
  7. “Be patient with yourself.” Stephen Covey
  8. “People will never forget how you made them feel.” Maya Angelou
  9. “Be content with what you have; rejoice in the way things are. When you realize there is nothing lacking, the world belongs to you.” Lao Tzu
  10. “If you want to be happy, set a goal that commands your thoughts, liberates your energy, and inspires your hopes.” Andrew Carnegie
  11. “Happiness is the spiritual experience of living every minute with love, grace, and gratitude.” Denis Waitley
  12. “Happiness never decreases by being shared.” Buddha
  13. “The secret of health for both mind and body…is to live in the present moment wisely and earnestly.” Buddha
  14. “Happiness…is appreciating what you have.”
  15. “We make a life by what we give.” Winston Churchill
  16. “Reflect upon your present blessings, of which every man has plenty.” Charles Dickens
  17. “He is a wise man who rejoices for the things which he has.” Epictetus
  18. “Be thankful for what you have; you’ll end up having more.” Oprah Winfrey
  19. “Open your eyes and your heart to a truly precious gift–today.” Steve Maraboli
  20. “This is the day the Lord has made, rejoice and be glad in it.”
  21. “Talk to yourself like you would to someone you love.” Brené Brown
  22. “Do not overestimate the competition and underestimate yourself. You are better than you think.” T. Harv Eker
  23. “Always remember you are braver than you believe, stronger than you seem, and smarter than you think.” Christopher Robin
  24. “Nothing can stop the man with the right mental attitude from achieving his goal.” Thomas Jefferson
  25. “Do what you can, where you are, with what you have.” Theodore Roosevelt

“Far better is it to dare mighty things, to win glorious triumphs–even though checkered by failure–than to rank with those poor spirits who neither enjoy much nor suffer much, because they live in a gray twilight that knows not victory nor defeat.” Theodore Roosevelt

References:

  1. https://www.cnbc.com/2021/08/31/do-these-exercises-every-day-to-build-resilience-and-mental-strength-says-neuroscientist.html
  2. https://www.wendysuzuki.com
  3. https://www.inc.com/jeff-haden/top-350-inspiring-motivational-quotes-to-tweet-and-share.html

The Biggest Mistakes Individual Investors Make

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“The public’s careful when they buy a house, when they buy a refrigerator, when they buy a car. They’ll work hours to save a hundred dollars on a roundtrip air ticket. They’ll put $5,000 or $10,000 on some zany idea they heard on the bus. That’s gambling. That’s not investing. That’s not research. That’s just total speculation.” Peter Lynch

For the 13 years, Peter Lynch ran Fidelity’s Magellan® Fund (1977–1990). During his tenure, he earned a reputation as a top performer, increasing assets under management from $18 million to $14 billion. He beat the S&P 500 in all but two of those years. He averaged annual returns of 29% which means that $1 grew to more than $27.

Additionally, Lynch has authored several top-selling books on investing, including One Up on Wall Street and Beating the Street. He has a plain-spoken manner and offers wisdom on investing that can help you become a better investor.

To become a successful investor, you really need to “have faith that 10 years, 20 years, 30 years from now common stocks are the place to be”, according to Lynch. “If you believe in that, you should have some money in equity funds.”

Yet, “there will still be declines”, Lynch says. “It might be tomorrow. It might be a year from now. Who knows when it’s going to happen? The question is: Are you ready—do you have the stomach for this?”

Long term, the stock market has been a very good place for investors to employ their money and capital. But whether the market will be 30% higher or lower in 2 years from now…nobody knows. “But more people have lost money waiting for corrections and anticipating corrections than in the actual corrections”, according to Lynch. “I mean, trying to predict market highs and lows is not productive.”

“In the stock market, the most important organ is the stomach. It’s not the brain.” Peter Lynch

Theoretically, in Lynch’s opinion, the individual investor has an edge versus the professional in finding winning companies (“10-baggers”) that will go up 4- or 10- or 20-fold. They have the opportunity to see breakthroughs, company’s fundamentals get better, and analyze companies way ahead of most people. That’s an edge and you need an edge on something to find the hidden gems.

“The problem with most individual investors is people have so many biases. They won’t look at a railroad, an oil company, a steel company. They’re only going to look at companies growing 40% a year. They won’t look at turnarounds. Or companies with unions.” Thus, individual investors miss great opportunities in overlooked industries or unjustly beaten down companies to chase hot growth stocks.

“But my system for over 30 years has been this: When stocks are attractive, you buy them. Sure, they can go lower. I’ve bought stocks at $12 that went to $2, but then they later went to $30.” Peter Lynch

“You have to really be agnostic” to pick winners and to invest in a company poised for a rebound, according to Lynch.

“Stocks aren’t lottery tickets. Behind every stock is a company. If the company does well, over time the stocks do well.” Peter Lynch

Peter Lynch’s eight simple investing principles for long term investors are:

  1. Know what you own – Few individual investors actually do their research. And, almost every investor is guilty of jumping into a stock they know very little about.
  2. It’s futile to predict the economy and interest rates (so don’t waste time trying) – The U.S. economy is an extraordinarily complex system. Trying to time the market is futile. Set up a financial plan that allocates your assets based on your risk tolerance, so that you can sleep at night.
  3. You have plenty of time to identify and recognize exceptional companies – You don’t need to immediately jump into the hot stock. There’s plenty of time to do your research first.
  4. Avoid long shots – Lynch states that he was 0-for-25 in investing in companies that had no revenue but a great story. Make sure the risk-reward trade-off on an unproven company is worth it.
  5. Good management is very important; good businesses matter more – “Go for a business that any idiot can run – because sooner or later, any idiot is probably going to run it.”
  6. Be flexible and humble, and learn from mistakes – “In this business, if you’re good, you’re right six times out of 10. You’re never going to be right nine times out of 10.” You’re going to be wrong. Diversification and the ability to honestly analyze your mistakes are your best tools to minimize the damage.
  7. Before you make a purchase, you should be able to explain why you’re buying – You should be able to explain your thesis in three sentences or less. And in terms an 11-year-old could understand. Once this simply stated thesis starts breaking down, it’s time to sell.
  8. There’s always something to worry about. – There are plenty of world events for investors to fear, but past investors have survived a Great Depression, 911 terrorist attack, two world wars, an oil crisis, 2007 financial crisis, and double-digit inflation. Always remember, if your worst fears come true, there’ll be a heck of a lot more to worry about than some stock market losses.

Finally, in the words of Peter Lynch…”You can lose money in the short term, but you need the long term to make money.”

References:

  1. https://investinganswers.com/articles/51-peter-lynch-quotes-empower-your-investing
  2. https://www.fidelity.com/viewpoints/investing-ideas/peter-lynch-investment-strategy
  3. https://www.fool.com/investing/general/2010/05/21/how-peter-lynch-destroyed-the-market.aspx
  4. https://www.fidelity.com/viewpoints/investing-ideas/peter-lynch-investment-strategy

Investing Truths by Peter Lynch

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“Wisdom acquisition is a moral duty. It’s not something you do just to advance in life. Wisdom acquisition is a moral duty. As a corollary to that proposition which is very important, it means that you are hooked for lifetime learning. And without lifetime learning, you are not going to do very well.”  Charlie Munger

Peter Lynch stressed the importance of looking at the underlying business enterprise strength, which he believed eventually shows up in the company’s long-term stock price performance. Also, pay a reasonable price relative to the company’s market value.

Here are important investing truths from Peter Lynch:

  1. Know what you own and be able to explain why you own it.  Only buy what you understand. ” Never invest in any company before you’ve done the homework on the company’s earnings prospects, financial condition, competitive position, plans for expansion, and so forth.”
  2. Compounding of capital and principal takes time. Be patient, because most great wealth from the stock market is built over decades. “Often, there is no correlation between success of a company’s operations and the success of its stock over a few months or even years. In the long term, there is 100% correlation between the success of the company and the success of the stock. This disparity is the key to making money; it pays to be patient and to own successful companies.”
  3. Simple is usually better than complex and smart. “If you’re prepared to invest in a company, then you ought to be able to explain why in simple language that a fifth grader could understand, and quickly enough so the fifth grader won’t get bored.”
  4. Volatility of the stock market is guaranteed. “You’ve got to look in the mirror every day and say: What am I going to do if the market goes down 10%? What do I do if it goes down 20%? Am I going to sell? Am I going to get out? If that’s your answer, you should consider reducing your stock holdings today.”
  5. Finding undervalued companies selling below their intrinsic value is a lot harder today. “A stock-market decline is as routine as a January blizzard in Colorado. If you’re prepared, it can’t hurt you. A decline is a great opportunity to pick up the bargains left behind by investors who are fleeing the storm in panic.”
  6. Start early and at a very eary age. Invest for the long term…stocks are relatively predictable over 10-20 years. “Time is on your side when you own shares of superior companies. You can afford to be patient – even if you missed Walmart (WMT, Financial) in the first five years, it was a great stock to own in the next five years. Time is against you when you own options.”
  7. Focus on the company behind the stock. Do not become overly attached to a stock. “Although it’s easy to forget sometimes, a share is not a lottery ticket…it’s part-ownership of a business.”
  8. Don’t try to predict the market. “Nobody can predict the interest rates, the future direction of the economy, or the stock market. Dismiss all such forecasts and concentrate on what‘s actually happening to the companies in which you’ve invested.”
  9. Study history. Market crashes are great opportunities. “During the Gold Rush, most would-be miners lost money, but people who sold them picks, shovels, tents, and blue-jeans (Levi Strauss) made a nice profit. Today, you can look for non-internet companies that indirectly benefit from internet traffic (package delivery is an obvious example); or you can invest in manufacturers of switches and related gizmos that keep the traffic moving.”
  10. It’s very tough for a company to go bankrupt if a company has more cash than debt or if they do not have debt. “The real key to making money in stocks is not to get scared out of them.”
  11. When you own stocks, it will alwalys be scary due to volatility and there is always something to worry about.  Everyone is a long term investor until stocks go down. “There is always something to worry about. Avoid weekend thinking and ignore the latest dire predictions of newscasters. Sell a stock because the company’s fundamentals deteriorate, not because the sky is falling.”
  12. When yields on long-term government bonds exceed the dividend yields of the S&P 500 by 6% or more, sell stocks and buy bonds. ““In the long run, a portfolio of well-chosen stocks and/or equity mutual funds will always outperform a portfolio of bonds or a money-market account. In the long run, a portfolio of poorly chosen stocks won’t outperform the money left under the mattress.”

Emotions can be a real performance killer according to Lynch, if market drops get you selling out in a panic, or market surges have you greedily snapping up overvalued shares. The best investors will do the opposite.

“The single greatest edge an investor can have is a long-term orientation.” Seth Klarman

References:

  1. https://www.investopedia.com/articles/stocks/06/peterlynch.asp
  2. https://www.fool.com/retirement/2020/04/07/9-investing-tips-from-peter-lynch-that-you-shouldn.aspx
  3. https://www.gurufocus.com/news/341584/peter-lynch-golden-rules-for-investing-
  4. https://www.valuewalk.com/2015/07/peter-lynchs-investing-principles-and-25-golden-rules/
  5. https://www.suredividend.com/peter-lynch-investing-lessons/

Change Your Perspective, Change Your Life

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“It’s never the situation that’s at fault. It’s the way we choose to view it. How we see our lives is how we live our lives.” Nicolas Cole

Many people, after experiencing setbacks and failures, emotionally give up and stop trying. They believe that because they were unsuccessful in the past, they will always be unsuccessful going forward. In other words, they continue to see a barrier or obstacle to their success in their heads, even when no barrier or obstacle exists between where they are in their life and where they want to go.

Yet, no matter how hard the world tries to hold you back and convince you that you’re not worthy of achieving the life you desire, it’s imperative that you always continue to believe that your goals and what you want to achieve in life are possible. Believing you can become successful and you can achieve your wildest dreams and goals are the most important and critical steps in actually achieving them.

Taking accountability.

The reason why so many people struggle and fail at achieving their wildest dreams and goals is that they take the easy path and blame others for how they feel, for their current life, or for their personal issues.

Instead of “manning (or womanning)-up”, they default to blaming their parents, their childhood, or their bad luck for the reality they find themselves.

The key to achieve success and accomplish your goals is to take accountability. To shift your perspective from “blame” to “ownership.” By taking ownership and accepting accountability, you are allowing yourself to open up and to see opportunities to learn and grow.

Focus On The Lesson, Not The Problem

Many people fail to realize that it’s the journey that’s most important, not the end of the journey or reaching the destination. You are “successful” when you are walking your path, always learning, always growing. You are “doing what you love” when you see every moment as an opportunity.

It’s on you to discover the opportunities to grow and learn, and to embrace every moment as an opportunity.  Regardless of where you are in life, or what you’re doing, there are lessons to be learned. And unless you can discover those lessons and embrace your own journey, you will never actually reach the state of feeling “successful”–in the sense that you are learning and growing and effortlessly becoming a better version of yourself.

Lessons Are Everywhere. It’s On You To Find Them.

It is important to train and to condition yourself to always find the positive. Create moments of growth and opportunity. Growth is the result of how you utilize your environment and the people around you, and create opportunities for yourself.

The key to shifting your perspective is to remember what you’re aiming for. For example: A job where you perform mundane tasks is going to continue being mundane if you just see it as “just a job.” But a job where you perform mundane tasks that could be seen as a way to learn skills you need in order to one day do what it is you truly want to do, is no longer “just a job.” It’s an opportunity to learn.

You should recognize that what you look for is what you tend to see. So, instead of looking for an outcome that is negative or some flaw, look for something positive that can be beneficial or add to your. Shift your search for happiness and you can help create what you most desire.

Replace negative thoughts with something more positive. Practice focusing on the positive thoughts. The more you practice, the easier it will be for these thoughts to become second nature. Strive to say at least three positive thoughts about yourself each day, as it can make you feel happier and more confident during the day and help banish negative thoughts. Remember that perspectives can change, so work towards striving for positivity.

In the story above, nothing physical or tangible changed with your circumstances. The only thing that changed was your perspective.  And that makes all the difference.

So, when you’re looking at what’s going on around you and wonder how to escape the negativity and dark feelings. Maybe it’s not your circumstances that need to change—it’s your perspective and mindset.

References:

  1. https://www.marcandangel.com/2013/05/21/4-short-stories-change-the-way-you-think/
  2. https://www.inc.com/nicolas-cole/change-your-perspective-change-your-life.html

COVID-19 Pandemic End is in Sight

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“When it comes to COVID-19, we are optimistic that the end of the beginning is near.” Bill Gates

Billionaire philanthropist and Microsoft Founder Bill Gates believes that we will get COVID-19 under control in calendar 2021. What he means by “under control” is that America and the world will be heading back to something approaching normal again.

Gates is optimistic that the number of cases and deaths will start to go down—at least in wealthy countries—and life will be much closer to normal than it is now for two main reasons:

  • One is that masks, social distancing, and other interventions can slow the spread of the virus and save lives while vaccines are being rolled out.
  • The other reason is that in the spring of 2021, the vaccines and treatments will start reaching the scale where they’ll have a global impact.

In Gates’ view, the coronavirus is somewhat seasonal. He suggests that once the Northern Hemisphere gets into summer, the numbers should go way down, and he expects that countries will not experience another COVID-19 wave in the fall.

He stresses that vaccinations by the fall should be “bearing the brunt” of ending the pandemic. He feels that there will still be some COVID restrictions on public gatherings, because, as “long as the disease is out there in other countries, you can still get big chains of infection anywhere on the globe”.

But if we get the vaccination levels up within the communities and across the globe this fall, all the schools will be able to reopen under some protocol. Moreover, entertainment, travel and hospitality will be open. And, the economy will be on the mend in a big way. The good news according to Bill Gates is that the pandemic, as bad as it’s been, the end is in sight.

“Humans have never made more progress on any disease in a year than the world did on COVID-19 this year”, Gates wrote in a recent Gatesnote. “Under normal circumstances, creating a vaccine can take 10 years. This time, multiple vaccines were created in less than one year.”

The Bill and Melinda Gates foundation has invested more than $1.75 billion in the fight against COVID-19. Most of that funding has gone toward producing and procuring crucial medical supplies. For example, the foundation backed researchers developing new COVID-19 treatments including monoclonal antibodies, and they worked with partners to ensure that these drugs are formulated in a way that’s easy to transport and use in the poorest parts of the world so they benefit people everywhere. Which is pretty remarkable—especially considering that COVID-19 was a virtually unknown pathogen at the beginning of 2020 and how rigorous the process is for proving a vaccine’s safety and efficacy. The vaccine still had to meet strict guidelines before being approved.

References:

  1. https://www.gatesnotes.com/About-Bill-Gates/Year-in-Review-2020?WT.mc_id=20201222100000_YIR2020_BG-TW_&WT.tsrc=BGTW
  2. https://www.pbs.org/newshour/amp/show/bill-gates-on-tackling-climate-change-and-the-ongoing-pandemic-response?__twitter_impression=true

When Markets Dip, Don’t Drop Out

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“Just stay the course. Don’t do something, just stand there. This is speculation that we’re seeing out there, and you can’t respond to it.” Jack Bogle, Vanguard Investment

When the market gets jumpy, so do many investors.

In periods of volatility, anxious stock market investors can be tempted to take money off the table, fearing a potentially major slide in their portfolio. Selling off stocks when the market dips and returning only when things calm down is emotional, not rational or successful investing strategy. Data has proven that over the long term investors are always able to overcome dips and recessions successfully.

Markets tend to overshoot in both directions,” the late financier Leon Levy wrote in his memoir, The Mind of Wall Street. “Just as we saw stock prices rise far above the value of the companies, we are likely to see the reverse. Stocks will then be undervalued, and there will be new opportunities for investors.”

“During the last 20 years alone, there have been 25 months (i.e. more than every tenth month) where the S&P 500 index dropped by more than 5% in a month, with the decline averaging -7.9% among those 25 months. Despite this, over this time period the annualized compound growth rate on the index has been +6.3% per year. “ Jakub Jurek, Wealthfront Advisers’ VP of Research explains.

The Charles Schwab infographic explains how staying the course during market dips can be healthier for an investor’s portfolio.

It considers three types of investors over the course of 40 years:

  • The Stalwart – a discipline investor who sits tight and continues to invest, no matter how the market is performing.
  • The Reactor – an investor who reacts and pulls his money out of a bear market. He continues to save 10 – 15 percent of his income in hopes recouping some of his losses, but didn’t invest it.
  • The Waffler – during a year with negative returns, a waffling investor will move all his money out of the market and will sit on the sideline in cash. And, if the market rises up after a few years, he would finally get back into the market.

“If you take money out of your accounts in anticipation over a market downturn, it’s hard to know when you should put your money back in,” says Celine Sun, Wealthfront’s Director of Research. “This means that most likely, you’ll miss the upside returns more than you’ll avoid the downside.” Exiting stocks amid a turbulent market may help assuage your anxiety, but you’re likely to miss out on substantial gains while you sit on the sidelines.

Stay the course

“Stay the course” is a phrase that means to continue with your current investment plan. Investing should be for the long term. The stock market will always have turbulence, so it’s important that you ride out market cycles. If you are invested in high quality equities and your investments are based on a solid financial plan, don’t sell anything that you wouldn’t sell when there isn’t crashing. The only exception is when it’s clear that a company or niche industry isn’t going to recover, and then it may be time to cut your losses.

“In the short run, listen to the economy; don’t listen to the stock market,” Vanguard Group founder Jack Bogle said during an interview in the midst of a rather severe market turmoil. “These moves in the market are like a tale told by an idiot: full of sound and fury, signalling nothing.”

Whether the market recovers quickly or years from now, the most important thing to remember is, it will recover. And so will you. According to Carlos Slim Helu, “Courage taught me no matter how bad a crisis gets … any sound investment will eventually pay off.”

References:

  1. https://www.schwab.com/resource-center/insights/sites/g/files/eyrktu156/files/Q120_When_Markets_Dip_fina%401x_72dpi_0.jpg
  2. https://blog.wealthfront.com/what-should-you-do-when-markets-dip-hint-nothing/
  3. https://www.marketplace.org/2009/01/05/history-rewards-stalwart-investor/
  4. https://www.forbes.com/sites/lizfrazierpeck/2020/03/12/three-things-to-do-during-a-stock-market-crash/?sh=185db9a54c78

Note: Investors simply don’t experience FOMO (Fear of Missing Out) as much as they experience FOLO (fear of losing out). Consequently, the fear of losing lingers far beyond the crisis period and investors are left worse off than if they had done nothing at all. For those investors who sold during a market crash, it is important that they get back into the market and not engage in the destructive speculation.

Staying Optimistic

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“Staying positive does not mean everything will turn out okay. Rather, it means you will be okay no matter how things turn out.” — Unknown

If there is one key message from this calendar year, it’s to always stay optimistic about your present circumstances and future prospects.  While it has been challenging for everyone in calendar year 2020 and much of the world went into lockdown for a good portion of the year, business and life managed to continue. Americans’ ability to adapt to a new “work-from-home” reality, aided by video conferencing software, made that possible despite the challenges of the pandemic.

“Choose to be optimistic, it feels better.”—Dalai Lama

Thus, it is important to keep a more positive outlook in life and try, as difficult as it may seem, not to focus on the many negative things that surround us.  One simple and effective method regarding tuning out the negative bombardment is to disengage from social media and ignore the entertainment media sensationalize news.

Positive Quotes During Quarantine

Holiday season

During times of stress, it’s especially important to set time aside for self-care.

Although celebrating this holiday season will look and feel different, know that ongoing public health efforts to manage the pandemic eventually will succeed. So, it’s important to stay upbeat and positive that choices made today will help everyone in the future.

Furthermore, this holiday season is a great opportunity to connect (or reconnect) with family and friends, and share some much-needed positivity and hope.  Just because things are dramatically different this year does not mean that it’s a disappointment. It’s just different.

Eventually, everyone will be able to get back together to celebrate the season with the usual traditions, but maybe some new traditions will have been learned along the way, as well.

“To live a fulfilled life, we need to keep creating the ‘what is next’, of our lives. Without dreams and goals there is no living, only merely existing, and that is not why we are here.” —Mark Twain

In that vein, it’s important to never discount human resiliency and American ingenuity. Through every crisis, new successes have emerged. General Electric was launched in 1892 by Thomas Edison as the nation was heading into the Panic of 1893. In 1929, Disney emerged during the Great Depression. Hewlett-Packard was founded in 1939 right after the recession of 1937–1938, when GDP declined by approximately 19%. Fred Smith started FedEx at the end of the 1969-1970 recession, when many companies were hesitant about spending money on new products and services, commented Craig Sawchuk, Ph.D., co-chairs the Division of Integrated Behavioral Health at Mayo Clinic in Rochester. The worst of times is often when the entrepreneurial spirit is most creative.

In his 2005 commencement address at Stanford University, Steve Jobs said, “You can’t connect the dots looking forward; you can only connect them looking backwards. So you have to trust that the dots will somehow connect in your future. You have to trust in something — your gut, destiny, life, karma, whatever. This approach has never let me down, and it has made all the difference in my life.”

People will be reflecting on the year 2020 for decades. However, you need to trust that with a positive outlook, you will become a better person and a more prudent investor because of the challenges you faced over the past year.

Staying optimistic and staying healthy are the very best things you can do during the upcoming holiday season.  Furthermore, keep those who have been affected directly by the pandemic in your thoughts and prayers, and show gratitude to those who are putting themselves and their health at risk to keep this country and world moving forward.

References:

  1. https://communityhealth.mayoclinic.org/featured-stories/navigating-holiday-season/?utm_source=ECHwebsite&utm_medium=web&utm_campaign=navigating-holiday-season&utm_content=Twitter
  2. https://www.kiplinger.com/investing/601852/8-investing-lessons-learned-in-2020

Craig Sawchuk, Ph.D., co-chairs the Division of Integrated Behavioral Health at Mayo Clinic in Rochester. He is a professor of psychology, Mayo Clinic College of Medicine and Science.