Hi Friends,

If you asked most people what they own inside of their investment accounts, they would probably say stocks and bonds. However, for us, this doesn’t tell the full story. What we actually own is a small percentage of lots of extremely successful, worldclass businesses.

These businesses are the most innovative, profitable, and well-organized companies in history. They not only have many of the smartest people in the world working for them, but they have access to technologies that we could only dream of 20 years ago that have allowed them to become extremely effective.

Every few years something will happen to temporarily disrupt the operations and profitability of these businesses. For example, a global pandemic, recession, or war. The bright, hardworking people at these businesses that you own will then come together and strategize ways to not only survive this crisis but ultimately turn it to their advantage and come out even stronger than before. We bet that many of you have even contributed to plans like these at your own companies.

During this time, your other fellow business owners may become frustrated or scared and sell their ownership stakes in these wonderful companies at a price much lower than they should. At times like these, you should stand proudly by the businesses you own and even purchase an even larger percentage if you can.

Admittedly, some of the businesses you own may not survive a global catastrophe or innovate fast enough to keep up with new competition. This is normal and is why instead of holding just a handful of them, you have diversified your business ownership and hold so many companies across a wide range of industries and global locations.

So, our advice is next time you see stock prices going down, please think of all of the amazing people working at the businesses you own coming up with brilliant solutions, working on spectacular new ideas, or restructuring to maximize your profits. Ignore the other owners who are panicking and selling their stakes at significant discounts and instead think about all of the financial goals your businesses are helping you to reach.

Be on the lookout for our next Financial Planning Fridays episode. Subscribe to our Youtube Channel so you never miss an episode. Or contact us directly; schedule your 15-minute call with us today.