Know Your Investments

From a young age I was interested in business, and airplanes. Now I have the privilege of owning a business that uses an airplane for visiting clients. I am fortunate to be able to do what I love, and get in a lot of enjoyable flying along the way.
 
My Dad was brilliant and I learned so much from him about business and investing. One key he taught me was to invest in what you know. And so throughout my youth I did just that, from selling popsicles at the Little League park, to candy bars at our family Friday TV night, or trading marbles in Canada. In each case I found something I loved and understood and combined it with a business model. I have tried to pass on those lessons to my kids, hoping that they might also have the opportunity to find a comfortable level of financial success, while enjoying what they do.
 
Every week as family/staff we meet and talk about investment ideas for our clients. We review the markets, discuss political implications, and plan current and future investments. Each is assigned to study various information sources and report back on what they have learned, with a strong focus on understanding any recommendation they make.
 
I had a great fatherly reward when Jared and Jayden came to me last week all excited about an investment idea. These two have always enjoyed playing video games together. In the process they get a glimpse into what gamers love and the direction the industry is taking. Last week Jared was reading an article in a national investment publication about the video game industry. The article was critical of a particular company and it had dramatically driven down the stock price. Both of the boys insisted the article had missed the mark and was not consistent with what they knew from personal interaction with gamers around the world.
 
Since they had done their homework in an area they understood, I encouraged them to invest in the company themselves. Within a few hours, the rest of the world figured out what my sons already knew about the flawed article and their new stock shot up. The boys learned from this experience that you can outwit even the most seasoned Wall Street analyst if you stick with what you know.
 
There are many investors that don’t really know much about the companies or products they own. Even if you have a financial advisor, you should have some knowledge of what you are invested in. It really bothers me when I hear, “We bought that at a sales seminar but have no idea how it works.” Investing in what you know can give you an edge and reduce personal risk. Just ask my 18 year, who right now has a really big smile on his face because he did just that. The downside is the next night when I told Jayden it was time to turn off the video game he replied, “But Dad, I am just doing market research.”



From a young age I was interested in business, and airplanes. Now I have the privilege of owning a business that uses an airplane for visiting clients. I am fortunate to be able to do what I love, and get in a lot of enjoyable flying along the way.
 
My Dad was brilliant and I learned so much from him about business and investing. One key he taught me was to invest in what you know. And so throughout my youth I did just that, from selling popsicles at the Little League park, to candy bars at our family Friday TV night, or trading marbles in Canada. In each case I found something I loved and understood and combined it with a business model. I have tried to pass on those lessons to my kids, hoping that they might also have the opportunity to find a comfortable level of financial success, while enjoying what they do.
 
Every week as family/staff we meet and talk about investment ideas for our clients. We review the markets, discuss political implications, and plan current and future investments. Each is assigned to study various information sources and report back on what they have learned, with a strong focus on understanding any recommendation they make.
 
I had a great fatherly reward when Jared and Jayden came to me last week all excited about an investment idea. These two have always enjoyed playing video games together. In the process they get a glimpse into what gamers love and the direction the industry is taking. Last week Jared was reading an article in a national investment publication about the video game industry. The article was critical of a particular company and it had dramatically driven down the stock price. Both of the boys insisted the article had missed the mark and was not consistent with what they knew from personal interaction with gamers around the world.
 
Since they had done their homework in an area they understood, I encouraged them to invest in the company themselves. Within a few hours, the rest of the world figured out what my sons already knew about the flawed article and their new stock shot up. The boys learned from this experience that you can outwit even the most seasoned Wall Street analyst if you stick with what you know.
 
There are many investors that don’t really know much about the companies or products they own. Even if you have a financial advisor, you should have some knowledge of what you are invested in. It really bothers me when I hear, “We bought that at a sales seminar but have no idea how it works.” Investing in what you know can give you an edge and reduce personal risk. Just ask my 18 year, who right now has a really big smile on his face because he did just that. The downside is the next night when I told Jayden it was time to turn off the video game he replied, “But Dad, I am just doing market research.”
 

 Actual results will vary. Past performance does not guarantee future results. Talk to your financial advisor before making any investing decisions.