Posts Tagged ‘Annuities’

October 21, 2009 at 11:34 pm

Common credit mistakes

Many of Marcus’s mistakes stemmed from the belief that he had to do it himself if he was going to deserve the profits from his investments. All his schemes required that he spend many hours working, except when he briefly left some money with a money manager, and then he felt alienated from his money.

He avoided consultants and investment experts concerning oil and gas, real estate development, and the children’s clothing business, while he put trust in inexperienced friends and family members.

Dillon’s part always involved seeking thrills for quick profits and a desire to be somebody as result of investment prowess. Easy access to borrowing exacerbated the problem. He had a pattern of investing borrowed money even more recklessly than his own savings. He also saw a clear pattern of manias followed by lulls and then manias again. He saw that the financial consequences of the manias were progressive. Each time he started in again after a lull, it quickly got worse than the last episode.

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October 1, 2009 at 5:30 am

Blaming Others Doesn’t Work With Credit

Blaming others when you are responsible can lead to bad losses. Mutual fund managers are often blamed for losses when you are responsible for buying, selling, and holding the mutual fund based on your research of the fund and the manager. Blaming others protects your ego, but can easily lead to poor investment choices. Many investors set up all their investments so they can blame others if anything goes wrong. Rather than purchase individual Treasury bonds, they will buy a bond fund. Shown good singlefamily rentals, they will not buy, as there are no property managers to blame if problems occur. Always blaming others, and avoiding investments where they cannot blame others, puts distance between themselves and their holdings.

This distancing process makes it difficult to determine what investments are comfortable for them.

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