Ketchup and Rice

When I was a teenager, my parents knew better than to ask if I was hungry because they knew the answer, “I’m starving and there is nothing to eat!”

Obviously, we had food but in a household of 3 teenage boys the good stuff went quickly. By week’s end the all that seemed available was a head of ice-berg lettuce, a family sized bottle of ketchup with the cap missing and an abundant supply of warm rice from our 24-hour Tiger pot … all of which did not seem appetizing.

Knowing the limited contents of our icebox (what Hawaiians call a refrigerator) I would still open it every thirty minutes or so to check if a bag of Doritos (in Hawaii we also keep our chips in the refrigerator so it doesn’t get stale with the humidity) may have magically appeared.

Unfortunately, my hopes of finding a hidden plate lunch were always crushed, nothing but the capless, near empty ketchup bottle would stare back at me.

The compulsive behavior I exhibited as a youngster reminds me of how many investors incessantly check and recheck their portfolios.

Technology has provided the ability to access updates on endless devices which in my opinion, has been at the detriment to the modern-day long-term investor.

The action of constantly checking balances can create anxiety, fear, greed, and other unfortunate emotions that when acted upon can adversely affect long-term Investment Performance.

Warren Buffet once said, “Investors should look at their Investment Statements yearly.”

I agree with Warren Buffet’s advice. I would add that when conducting that annual analysis, long-term Investors should take into consideration why their portfolios performed in the way they did. Whether favorable or unfavorable, it is important to understand what reasonable long-term portfolio return expectations should be.

I appreciate the compulsion many Investors feel regarding constantly monitoring their portfolio balances… remember, I once was a starving teenager who was unrelenting when checking in on that ketchup, but I digress.

Somewhere in my sophomore year of high school I finally realized the best way to conduct my Friday afternoon food search.

After observing the unfruitful chaos of jockeying with my brothers to be the first to get to the empty refrigerator, it dawned on me to just wait patiently near the front door for our mom to get home from the grocery store.

What my hungry brothers thought of as a chore-carrying bags in from the car- I saw as an investment opportunity! If I carried the groceries in, I would be the first to access the good stuff!

Sometimes a shift of perception and a little patience is all it takes to get you out of the cold, watered down ketchup on hot rice portfolio and into the warm musubi with the aloha maid juice return.

Any opinions are those of Taylor Easley and not necessarily those of Raymond James. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Prior to making an investment decision, please consult with your financial advisor about your individual situation.