Reaching the Top (Part 3)

How do you achieve your goals?

Ed Viesturs didn’t just decide to climb the world’s highest mountains one day and get on a plane for Nepal the next. Scaling these summits took years of preparation. Only a superbly conditioned athlete can climb above 25,000 feet—7,600 meters—without supplemental oxygen. It took time, energy, and lots of planning to reach his goal.

It’s like this with many things in life. A runner doesn’t hop from jogging around the block to running a marathon without a clear plan. Surgeons need to undertake decades of preparation before they’re ready to operate. Achievement is like an iceberg: one-fifth execution, four-fifths preparation, under the surface, only visible to those who understand the process.

Attaining your financial goals is no different. The most important part of any portfolio is the financial plan that underlies it. It’s not enough to own stocks that double in a year. Anyone can get a two-for-one payout if they buy enough lottery tickets. But getting lucky is not a plan. In the mountains that attitude gets you killed; and investors get poor.

Climbing mountains requires planning, patience, and knowing when to advance or retreat. Investors need to take a similar approach. Because sometimes the most important investment is the one you don’t purchase.

Douglas R. Tengdin, CFA

Chief Investment Officer

By | 2014-03-28T09:08:22+00:00 March 28th, 2014|Global Market Update|0 Comments

About the Author:

Mr. Tengdin is the Chief Investment Officer at Charter Trust Company and author of “The Global Market Update”. The audio version of each post can be heard on radio stations throughout New England every weekday. Mr. Tengdin graduated from Dartmouth College, Magna Cum Laude. He received his Master of Arts from Trinity Divinity School, Magna Cum Laude and received his Chartered Financial Analyst (CFA) designation in 1992. Mr. Tengdin has been managing investment portfolios for over 30 years, working for Bank of Boston, State Street Global Advisors, Citibank – Tunisia, and Banknorth Group. Throughout his career, Mr. Tengdin has emphasized helping clients manage their financial risks in difficult environments where they can profit from investing in diverse assets in diverse settings. - Leave a comment if you have any questions—I read them all! - And Follow me on Twitter @GlobalMarketUpd

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