We all face occasional financial setbacks. One way to increase feeling of financial loss is to check your portfolio daily. Since I have a private fund that I manage, I feel obliged to stay on top of it daily. I’ve noticed that when the fund is up I feel modestly happy, but when it is down I feel doubly disappointed.
Sometimes various financial stresses come together at the same time. Recently minor financial setbacks have converged for me: modest potential issues with my rental business, and a few percentage points drop in my fund, and long hours at my day job. Navigating these financial stresses involves 1) avoiding impulsive decisions, and 2) carefully considering available options. For example part of me wants to sell the rental property in the next year or so, namely to avoid the occasional headaches of being a landlord and property manager. Another thought is to contract with a property management company, who charges a fee, but helps manage some of the day-to-day property management duties. Finally, I impulsively want to deleverage some of my investments.
I am approaching my latest bought of financial stress as I always do. With contemplation and composure. At least outwardly I am composed and seemingly unflappable. Internally, I am stressed and a bit anxious. This comes with the territory of managing a wide range of investments. This occasional stress is one of the few things I dislike about finance and wealth management. Of course it too shall pass.
I simply wanted to share the fact that, at times, maintaining a financial course can be emotionally challenging. I spend a lot of time talking about how successful investing can be easy… and in many ways it can be. Creating a financial plan can be fairly simple, but sticking to it at times can be stressful and nerve wracking. Financial discipline is worth it, and financial impulsiveness should be kept to a minimum. That is what I intend to do; even when it is not so easy.