The clearer your intentions, the better the outcome you can expect to achieve. This sounds simple enough, but the very concept of becoming clear on one’s intentions involves doing something difficult: saying no.
You may argue that saying no is easy, but that’s not really true. Take this example: What if I offer you the choice of a fully paid trip to Hawaii or a fully paid trip to Des Moines, Iowa. Which do you choose? Easy, Des Moines, right? Wait, what? Why would anyone say no to Hawaii? But what if the child you and your spouse have been hoping to adopt for six years is being born tonight in Des Moines? Well, then, you’d be packing your bags for Iowa.
Choosing investments or insurance products offers the same reason to take pause. After all, mutual funds and exchange traded funds both offer an opportunity to diversify among asset classes. So which is better? Wrong question! Instead, the question should be which is better for a 62-year-old with $1.7 million in investable assets, considerable investing experience, immediate income needs, a high tax bracket and concerns over inflation?