Blog
Emotional Wealth is a monthly Blog written by Wealth Advisor, Lon W. Broske, CFS®, CFP®. Using the current most relevant financial climate and topics Lon is able to give his opinion on what is really going on with your finances. Topics include, stock market performance, retirement savings, current events and how they impact financial climate, general financial education and tips, and much more!
Lessons from Charlie...
Charlie Munger was one of the great ones. While he may not have been the face of Berkshire Hathaway, he was Warren Buffet's equal. For 60 years, they stood side-by-side as partners and ran one of America's most successful and enduring...
Read MoreSome Lessons Go Unlearned . . .
Sometimes, I'm amazed at how a lesson can be taught so many times yet still needs to be learned. Investors have a knack for doing that. Why is that? Why do investors have such a hard time learning from the lessons of the past? Is...
Read MoreThe Permanent Bull Market
As I recently celebrated my 5th decade (plus a few more years), I look back at my life and realize that it’s been an eventful journey full of twists and turns, unexpected obstacles, and pleasant surprises. I couldn't be happier...
Read MoreEconomic Eye Candy
I like changing our blog every few months by expressing my thoughts in easy-to-read charts. Sometimes, the most effective way to communicate is through visuals. So, without further adieu, here are some of my favorite...
Read MoreAn Interesting Question...
A few weeks ago, a poll posed a fascinating question for investors: “Would you rather outperform during bull or bear markets?". To my shock and amazement, by a margin of nearly two to one (63% vs. 37%), respondents...
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What happens when you hit your number?
What happens when you hit your number?All of you have a number. It's a number that's specific to you and your particular situation. It's a number that will allow you to reach your goal of financial independence. In other words, enough...
Read MoreIt's not about what you think it's about...
It's not about what you think it's about . . .As I enter my 30th year of advising clients (Wow, just now writing that hit me like a ton of bricks), I recently took time to reflect on what's happened with my clients, my practice, and...
Read MoreTwo Strange Bedfellows
Two Strange Bedfellows . . .They are unavoidable. Any investor who wants to be rewarded with the superior long-term performance equities provide will experience at least two things along their journey: a bear market and a...
Read MoreLessons Learned from the SVB Collapse
In the old days, the veracity and speed at which Silicon Valley Bank (SVB) collapsed could never have happened. Making a run on the bank meant standing in long lines, where rumors spread at a snail’s pace (as compared to...
Read MoreA Lesson Relearned (Again!)
It’s a lesson that has been taught many times over many years yet still goes unlearned. This lesson has gone as far back as the late 1700s with the Buttonwood Tree Agreement, yet still catches young investors today –...
Read MoreThe Crazy Normalcy of 2022. . .
I don't think anyone can look back at 2022 and consider it a "normal" year. Equity markets experienced a bear market for the first time since 2009, and bond markets had their worst year in over a century; meanwhile, cash was getting...
Read MoreThe Power of Resilience
The Power of Resilience History can be two things at once: a blessing and a curse. History can be a curse for the short-term stock trader and a benefit for the patient long-term investor. Short-term traders know how...
Read MoreThe Only Constant is Change
As I grow older, I'm learning to appreciate the nostalgia. The brain doesn't deal with change very well. Case in point: when your life gets out of sorts, how good do you feel when you get back into "your routine"? How often have...
Read MoreBear Market History
“There is nothing new in the world except the history you do not know” – Harry TrumanIt’s all a matter of reference. This bear market began for different reasons yet has done the same damage to investor...
Read MoreSocial Security Increased 2023
Looks like the 65 million Americans collecting social security will receive an 8.7% increase in their 2023 checks. Here’s a brief history of Social Security increases. ...
Read MoreTime has been forgotten...
Every long-term investor with more than 12 years of experience knows the definition of a bear market (a 20% drop from its most recent high). But what about the investors who have less than 12 years of experience? (12 years...
Read MoreExcuse me but I have questions...
I’ve always been this way; I just can’t help myself. I’ve always had questions pertaining to the status quo. It started in grade school, and continues to this day in my financial planning career. ...
Read MoreThank's Dad . . .
Father’s Day is a special time for so many of us. It’s a time to reflect on the meaning of that one special person you've had in your life, who had a big influence on the person you’ve become. Throughout...
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Biden Signs Infrastructure Bill
At the White House on Monday November 15th, President Biden signed a $1T bipartisan infrastructure bill set to enable enhancements for transportation and utilities over the next five years.1 Like it, love it, or hate it. It's now law....
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Supply Chain Pain
One of the more important buzzwords this year has been "Supply-Chain". If you weren't familiar with that concept before 2021, I'm sure that you are now. The state of the global supply chain remains in focus for both Wall Street and...
Read MoreA quick note on inflation
"Inflation is transitory" If I hear that regurgitated one more time, I'm going to lose my lunch, right here in my office. What exactly is transitory mean anyway? Of course, specificity has never been a politician's strong suit. While,...
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Good News about your Social Security
It's that time of the year again! On October 13, 2021, the Social Security Administration (SSA) officially announced that Social Security recipients will receive a 5.9 percent cost-of-living adjustment (COLA) for 2022, the largest...
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Are Capital Gains Taxes Changing?
As the most recent elections finish up, there is a renewed focus from the Biden administration to push through his Build Back Better plan and potential tax law changes, including an adjustment to capital gains taxes. One of the...
Read MoreAnd now for something completely different . . .
In my own small way, I’m always thinking about how our message to our clients can be timely, relevant, and relatable. I’ve struggled for years, often having “writer’s block” as to what message these...
Read MoreA Note About Inflation
It's quickly become this year's buzzword, investors everywhere are talking about it, and it's not hard to miss: What is it you ask? Inflation. As the economy continues to recover from the effects of the pandemic over the past year,...
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Handling Market Volatility with Confidence
"The only thing we have to fear is fear itself" - Franklin D. Roosevelt, from his 1933 inaugural address. I love that quote, it was quite a proclamation in 1933, and it can certainly be helpful for today's investors. Just look back at...
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A Roaring Start to Earnings Season
Investors have turned their attentions to the most important season on the calendar, and unlike most seasons that come only once a year, this season I'm talking about come four times a year. Yes, that's right the corporate earnings...
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Oil Prices Hit Six-Year High
On July 6, oil prices reached a six-year high of $76.98 a barrel. This benchmark came as the Organization of the Petroleum Exporting Countries (OPEC) and allies failed to reach an agreement regarding an increase in production.1This...
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The answers you seek are not where you are looking...
Who else thinks that the world has gone stark raving mad? I think we can all agree that the last 18-months has made for one epic chapter in the book of history. I mean we’ve experienced a pandemic, continuing social...
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History doesn’t care about your narrative . .
While 2020 certainly was one of the most challenging years of recent memory, it simply doesn’t hold a candle to 1968.
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One bite at a time . . .
Start investing, and keep investing. No matter the state of the economy, equity markets, bond markets, or what political consternations are happening around you. Every contribution you make, you’re taking another bite! Just keep putting
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Aesop . . . The Greatest Investor of all
A quick question for you: When it comes to your own investments, and the psychology of owning those investments, are you like the Hare or the Tortoise?
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Finally, my suspicions are confirmed . . .
As I enter my 28th year of advising clients and for which I’ve spent the greater part of the last 15 years writing commentaries for clients, that my suspicions about the mainstream media has finally been proven correct.
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A Year of Lessons
A Year of Lessons I think that we all can agree that 2020 had its share of challenges. No matter the person, nor the circumstance, we may not have all been in the same boat, but we certainly were in the same storm. The gambit of the...
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The Great Unknown In Retirement
The Great Unknown in Retirement We plan. That’s what our firm does. We plan for our client’s future financial goals. We ensure that every “i” gets dotted, and every “t”, gets crossed. We plan...
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An Investment Cycle has to Cycle
An Investment Cycle has to Cycle . . .I had recently sat in on a conference call, where we discussed the current status of the COVID pandemic, and during the presentation, something caught my ears, and triggered my inspiration for this...
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Can You Deduct Your Work From Home Expenses on Taxes?
The ongoing COVID-19 pandemic has kept countless people working from home for months now. Many have been wondering whether they should consider claiming the home office deduction on taxes next year so we thought we’d pass along...
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Careful . . . Your Confirmation Bias Is Showing
the psychology of being a long-term investor by digging deeper into confirmation bias. Confirmation bias as become so prevalent in today’s highly charged political climate, that the long-term, patient goal driven investor may ignore ...
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I Choose Hope
In this edition of Emotional Wealth, we discuss the importance of hope and love in these difficult times. We also discuss how far we've come as a society, in a relatively short period of time by historical standards, and that having hope...
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"The Fallacy of Safety"
A byproduct of panic is to re-evaluate how much risk you are taking, and how much “safety” you should have in our own investment strategies. You can’t avoid the conversation around “safety” because it surrounds the investor and here's why.
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"Enjoy the Journey"
Enjoy the Journey . . . The world is lost, or so I keep hearing. It seems by all appearances that a great many people are troubled by today’s headlines and happenings. COVID-19, social injustice, the movement to unlink the past...
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The Greatest Threat to Your Long-Term Goals
Let me first begin this little diatribe by thanking my clients, and expressing my sincerest appreciations of their continued trust and confidence. These times are not easy, and the long-term, goal-focused, planning-driven investor is under
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"Lessons Learned From The Rubber Band...."
As I sit to write out my thoughts during this most calamitous of equity markets, I can’t help but think of that common office staple: The Rubber Band. The rubber band is complex in its chemical makeup. Technically speaking rubber...
Read More"Welcome To Normal"
What is normal? Of course, I’m not referring to the small town located in the middle of Illinois where the campus of Illinois State University resides, and where you’re bound to notice the “Welcome to Normal”...
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