I promised that I would write about my investing mistakes. I suppose it’s time to come clean.
Most of my career involved working at Big 4 accounting firms and large corporate tax departments in the financial services industry. Working for a Wall Street firm was no guarantee that I was proficient at making good investment decisions. The reality is that I was aggressively ambitious in my career and rarely paid attention to the important tenets of investing. Back then, my job required long hours and there were summers that I didn’t see the light of day. Inevitably, every other area of my life was neglected. Getting advice from colleagues was no help either. See my guest post on DistilledDollar.com. I read a few books, but my immature mind and stupid habits managed to squash my investing success.
Consider these blunders:
Betting on the next best thing: Nanotechnology. I thought I was catching an unknown trend in technology. Bye-bye $8,000.
Expecting Quick Results:
HD Home Depot – Bought Sept, 2002: $33.36, Sold in 2006 at $37.50; today $156.00.
AMAT Applied Materials – Bought Oct 2002: $11.91, Sold in 2006 at $17; today $44.00.
Let me state emphatically: I didn’t sell these stocks because I needed the money.I sold them because they weren’t blowing my socks off. Despite a 40% gain, AMAT wasn’t turning me on.
If I wanted to, I could fill this blog with posts of all the basic financial gems like budgeting templates, savings calculators, and mortgage interest rates. Because there’s no shortage of said material, I’d like to talk about one of my favorite sites: Feed The Pig .
Feed The Pig is a National Public Service Campaign sponsored by the American Institute of CPAs and the Advertising Council. The site’s mascot is not the most attractive pig I’ve seen, but stay with me. His head is a piggy bank and that’s where the parallel message lies.
The presentation is meant to appeal to young people, or those that we’ve affectionately labeled the Millennials. Us Baby Boomers would be remiss in our obligation to society if we failed to engage this genre. According to SoFi (www.sofi.com), 39 percent of Millennials would rather disclose a preexisting sexually transmitted disease to a potential partner than reveal how much debt they have.
Ol’ reliable. Isn’t she a beaut? This baby is turning 20. While most people would rather be seen in the back of a hearse than a car this old, I embrace its charm. The visor sometimes falls in my lap, the radio volume lowers or becomes sharply louder when I hit a bump, and there’s that strange clicking when I put the fan setting on the front windshield.
She’s been sprayed a few times to cover up the bruises. The front bumper is secure, but if you look closely, it’s slightly askew. That’s left over from when an old man T-boned the passenger’s front quarter panel. She’s been punched in the gut by shopping carts and side-swiped by careless drivers but she rides on like a champion.
You know that soft whistle-y sound when the aura enters the room in the Twilight Zone? I hear that coming from under the hood. Those sounds are helping me secure my future as I’m aggressively working towards an early retirement.
Of all the things we buy, our car is the most personal and sensitive. Next to a house, it’s also the most expensive. And people love to judge, right? We are all judged on what we drive. Some will even determine if you are a good match for your car. Like, “What’s that old geezer doing driving a Corvette? There should be a hot guy in the driver’s seat.” Gotta love the American way.