www.CornerstoneWealthGroup.com | 866-485-8505
August 2017
Wouldn’t it be fantastic if these small-business owners and entrepreneurs have all the opportunities those who do have a huge financial backing? Who have trust funds or other major sources of income to get their business off the ground? Fromthere,IdevelopedCornerstoneWealth ManagementGroup.Inmanyways,itwasthe culminationofthoseideascoupledwithmyown entrepreneurialdrive.Iwantedbethatone-stop resourceforbusinessownersandentrepreneurs, tohelpthemmergethefinancialaspectoftheir business with everything else. I’ve come a long way from my early days as a teenage magician, but in many respects, the spirit remains the same. I’m here to serve the people who come to us with their financial goals. And Cornerstone is here to deliver on the expectations of our clients and help them reach a higher purpose.
A Higher Purpose The Enduring Entrepreneurial Spirit
I’ve always had a business owner’s mindset. As far back as middle school, I was an everyday entrepreneur. I remember when I started doing magic. During the day, when I should have been paying attention in class, I was practicing various tricks and illusions. As I got better, I started doing birthday parties, charging $50 a show. From there, my magic enterprise grew. I invested in rabbits, doves, and other magician’s accoutrements. I was booking gig after gig. For a middle schooler, this was a big deal. It turned out magic shows were a pretty good source of income, but they were more than that. My early experience as an entrepreneur helped set the stage for my career to come — and I don’t mean in magic. As I performed magic for other kids and their parents, I was finding my purpose as a business owner. Part of that purpose was working for myself. From those early days onward, I never worked for anyone other than myself. But more importantly, I realized that while I was working for myself, I was there to serve my customers. They were the reason I was in business.
expectations. They deserved to get their $50 worth and then some. My customers — the kids and parents — expected a great show, and I dedicated myself to that. It required practice and more hard work on top of my studies and other extracurricular activities, but I made it happen. finance and insurance. As I learned about the business owners I was working with, I realized they excelled at running their individual businesses, but they struggled with the financial side of things. They didn’t have the skill set they needed to really tie things together. There was a need for a one-stop shop for business owners who didn’t have that financial management skillset or a huge financial backing. These are people who have a family and who rely on the accountant down the street and the attorney they’ve known for years. I thought, “Wouldn’t it be fantastic if these small-business owners and entrepreneurs have all the opportunities those who do have a huge financial backing? Who have trust funds or other major sources of income to get their business off the ground?” Years later, and with that same entrepreneurial mindset, I got into
My customers hired me for a reason, and it was up to me to deliver on their
www.CornerstoneWealthGroup.com | 1 – Scott Ford
Published by The Newsletter Pro . www.TheNewsletterPro.com
The First Spot Is the Best Spot Why Parking in a Prime Spot Isn’t Worth It
in common: They offer convenience, a convenience many drivers are willing to fight for.
When it comes to scoping out the best spots, carinsurance.com has identified two types of drivers. Upward of 38 percent of drivers are “vultures.” These drivers circle around the parking lot at least twice before settling on a spot. Another 24 percent of drivers are “stalkers.” These drivers follow people carrying bags or pushing carts toward their own cars. Stalkers can be particularly troublesome for other drivers who only care about getting in and out. They are notorious for pulling near their target spot and waiting. This can cause traffic jams and hamper the parking process for others. Are parking tactics like this really worth it? If you value your time, the answer is a resounding no, according to the Southeastern Psychological Association. Drivers defined as vultures or stalkers “spend significantly more time on the lot” compared to virtually all other drivers. If you value your time, parking in the first available spot you see will get you in and out faster than parking anywhere else.
But is it worth it?
hour or day to day can be an emotional roller coaster. For some investors, this emotional factor can directly impact their behavior, leading to snap decisions. Financial markets are not suited for anyone looking for instant gratification. Those who dedicate themselves to the long-term mindset, remain immune to emotional upheavals, and stay consistent in their approach are likely to find success. Setting emotion aside can be difficult, but it’s essential. The market can shift considerably over a single day, let alone a week or a month. These ups and downs are minor fluctuations over the course of a year, five years, or a decade. Let’s look at the parking spots near and around the entrance of the store. In an ideal world, parking in these spots ensures you get in and out quickly. But we don’t live in an ideal world. In reality, the spots closest to the store entrance are often the least convenient spots in the entire parking lot and almost never worth the hassle or aggravation. Foot traffic dominates the area around a store entrance. During peak hours (and peak shopping days), you may spend more time waiting for people to filter in and out of the store than it would take to park farther away and walk into the store. Areas near store entrances are routinely congested, and when drivers compete for those “best” spots, traffic jams are guaranteed.
We are all guilty of circling the parking lot at least once in search of the perfect parking spot. There are spots we consider more valuable than others — spots where we desperately want to leave our vehicles. For some people, the prime spots are nearest the store entrance. For others, the best spots are under trees, or spots that give you optimal door-opening space. All of these “perfect” spots have one thing
AMatter of Time Why Long-Term Investing Makes Sense
There are many misconceptions about how and when to invest. Many investors look for trends and hope to invest at just the right time in order to reap the rewards. When it comes to timing, however, following trends may not be in an investor’s best interest. Take, for instance, the attributes of a successful investor. There are two major attributes shared by all successful investors. First, their behavior is not unduly influenced by their emotions. Second, they maintain a deeply consistent and methodical approach to investing. It’s critical to remember that financial markets are inherently unpredictable. This is particularly true in the short term. Observing market performance hour to
A 2014 study by DALBAR confirmed the notion. The study found that the overall results of an investment rely more heavily on an investor’s behavior than on individual investment performance. The study also revealed that investors incurred the heaviest losses following market decline. Investors were largely reactive. They reinvested once the market had already started recovering. This is emotional investing.
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Myth & Reality 3 Facts About Investment Risk Management
Myth: All risk is bad. Reality: False.
investment process works to do three primary things:
Grilled Mexican Street Corn There will always be some level of risk when it comes to investing; however, some of that risk can be managed with a disciplined investment process. The When it comes to investing, the word “risk” raises a lot of eyebrows. People tend to take a step back when they hear the word tossed around. However, when it comes to investing, risk is necessary. With risk comes reward, and investors must take on risk if they desire to gain returns that exceed the rate of inflation. Take a look at Treasury bills and certificate of deposit. These are backed by the U.S. government and are regarded as risk-free. With a rate of return less than 1 percent, that isn’t at all surprising. Myth: A disciplined investment process helps manage investment risk. Reality: True.
1. Outline steps required to create an investment portfolio and the sequence of actions involved, including defining risk parameters, asset allocation, investment selection, a buy/sell discipline, performance evaluation, and more making and implementing a strategy tailored to your specific goals, objectives, time frame, risk tolerance, and values that seek to manage risk and return over time 3. Establish a framework for evaluating your strategy and tracking progress toward your goals Myth: It’s reasonable to expect high market returns with low risk. Reality: False. 2. Provide structure for decision-
when it comes to investing. Consider one of the basic principles of behavior finance known as loss aversion . An investor becomes “loss averse” when they develop an expectation for high returns from a low risk portfolio. In this case, an investor should not expect high returns if a capital preservation strategy is being applied to part or all of an investment portfolio.
It’s not uncommon for investors to form unreasonable or unrealistic expectations
Sudoku
Ingredients • ¼ cup mayonnaise • ¼ cup sour cream • ½ cup finely crumbled feta cheese • ½ teaspoon chili powder
• 1 medium clove garlic, minced • ¼ cup finely chopped cilantro leaves • 4 ears corn, shucked • 1 lime, cut into wedges
Instructions 1. Set burners of gas grill to high heat and allow to preheat for 5 minutes. 2. Combine mayonnaise, sour cream, cheese, chili powder, garlic, and cilantro in large bowl. Stir until well-combined and set aside. 3. Place corn on hot grill, rotating occasionally. Grill until cooked through and charred in spots on all sides, for about 8 minutes. 4. Transfer corn to bowl with cheese mixture and use large spoon to evenly coat each ear on all sides. Sprinkle with extra cheese and chili powder and serve immediately with lime wedges.
Recipe inspired by seriouseats.com
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INSIDE • A Higher Purpose PAGE 1
• Don’t Become a Parking Lot Vulture PAGE 2 • Why Long-Term Investing Pays Off PAGE 2 • 3 Facts About Investment Risk Management PAGE 3
• Grilled Mexican Street Corn PAGE 3
• View of a Lifetime PAGE 4
View of a Lifetime Where to Watch the Great American Eclipse
On August 21, 2017, the greatest show of the summerwilltakeplaceintheUnitedStates:atotal solareclipse!ThiseclipsewillbevisibleacrossNorth America,butthepathoftotality—theareawhere themooncompletelycoversthesun—willonlyfall inthecontinentalU.S.,leadingthiscosmiceventto be called the Great American Eclipse. Ifyou’realreadyintheUnitedStates,aday’sroadtrip isallyouneedtograbafrontrowseatforthisrare astronomical occurrence. Columbia, South Carolina Need a place to watch the eclipse in the southern U.S.? Then get yourself to South Carolina, where the state capital of Columbia is almost right in the middle of the path of totality. Plenty of hotels make
Columbia a great viewing location for those who don’t want to camp out, and the vibrant city life means you’ll have a lot to do even when the eclipse is over. Sandhills, North Platte, Nebraska In the heartlands, you’ll be hard-pressed to find a more perfect viewing location than the Sandhills of western Nebraska. With wide-open skies, low rolling hills, and no towering buildings to get in the way, the Sandhills are sure to be a popular viewing spot. The Museum of Idaho, Idaho Falls, Idaho The Museum of Idaho has been designated an Official NASA Observation Site, and
the museum is hosting four days of awesome events to celebrate. Enjoy live presentations, technology demonstrations, and special exhibits as you prepare to watch the total eclipse with NASA scientists. Visit the official website of the Great American Eclipse at greatamericaneclipse. com for everything you need to know about this once-in-a-lifetime sight!
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