Who Benefits from Your Investments

People struggle to find good birthday gift for their parents, but my children know the trick. They can always buy me a book by Rabbi Lord Jonathan Sacksz”l. From their most recent present, Lessons in Leadership, I discovered that Rabbi Sacks’ conclusion, “Seven Principles of Jewish Leadership,” corresponds to some of the most important financial planning lessons. 

Improving your portfolio by reading Rabbi Sacks 

Rabbi Sacks explains that Moses’ work was really that of a humble servant, not so much a leader. He served others. It is important to figure out who and how you can help. In determining our own success, he writes, “It is the cause we dedicate ourselves to and the people we serve that lift us, not our own high estimate of ourselves.” 

When designing your portfolio, see yourself in light of Rabbi Sacks’ comment. Dedicate yourself to the people you serve – your family and the charities you support. When you think about them, hopefully, you’ll make better investment choices that focus on meeting their specific needs and goals, as well as on the risk that you can handle. On the other hand, if you invest without humility, you make choices based on your own “high estimate” of yourself. That’s a formula for failure. Believe you can outsmart the market or time the volatility? No way! The best investors I know are humble about their ability to predict swings in stock prices and instead focus on the long-term goals of the portfolio. 

Goals-based investing is the way to go 

When I speak with clients, we focus on their family’s needs, their charitable designs, and their tolerance for risk. If you’re handling your family’s finances, you are a leader. For help in leading, and really serving your family’s needs, feel free to contact me directly, doug@profile-financial.com. 

Douglas Goldstein, CFP®, is the director of Profile Investment Services, Ltd. www.profile-financial.com. He is a licensed financial professional both in the U.S. and Israel. Call (02) 624-2788 for a consultation on how to set up your American assets to meet your financial goals. Securities offered through Portfolio Resources Group, Inc. Member FINRA, SIPC, MSRB, FSI. The opinions expressed are those of the author and not those of Portfolio Resources Group, Inc. or its affiliates. Neither PRG nor its affiliates give tax or legal advice.

Published February 11, 2021.

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