Tag Archives: Mindset

Pledge to Action

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Recently, four Black Alumni from the U.S. Naval Academy’s Class of 1988 penned a short, yet strong message and call to action ‘Pledge’. The Pledge was written for and shared with their approximately one thousand classmates.

They asked their classmates “to read carefully and consider acknowledging publicly” the intent and and message of the Pledge.

I offer their message to my blog readers to do likewise, to read carefully and consider acknowledging.

Pledge:

“Recent reprehensive comments of a fellow Naval Academy alumnus, along with the worldwide call to address racial inequality and police brutality have deeply impacted many of us in ’88.”

“We have drafted a Pledge that we ask each of you to read carefully and consider acknowledging publicly.”

“This Pledge is not only about race, but about openly discussing and understanding all our differences as people and offering a deeper level of support for each other in a way that many of us have already come to embrace in our lives.”

“It is about conversation, engagement, and using our influence to help us be even stronger as a class and better friends.”

I will take these 3 steps:

1. Listen to my peers.

  • I will interact intentionally with shipmates and have real conversations about our respective life experiences.
  • My commitment is not only to hear but also to try to understand. I pledge to listen to my Class of 1988 brothers and sisters.

2. Lead by example.

  • I will engage to address any displays of injustice and any statements of untruths.
  • If I am in an environment among friends or peers and something insensitive, derogatory, or untrue is proffered, I will reject it and encourage others to do the same.
  • I will lead by example. Silence is no longer an option.
  • What I can do, I will do.

3. Leverage my network.

  • I will use my sphere of influence, an important extension of me, to the benefit of my classmates and the U.S. Naval Academy.

It is critical that we all affirm our commitment to fairness and integrity, and that we carry out our message to the broadest audience possible.

One of their Naval Academy classmate wrote an article that appeared on the website www.medium.com where she pledged to do the following:

“I recognize that we are men and women of action, and only through our actions can we effect a change.” She wrote. “Because it is not enough to only recognize and speak against the mistreatment of our brothers and sisters who served alongside me, I commit to you that I will also engage on your behalf.”

“What I can do, I will do. I commit to each of you to serve alongside you.”

References:

  1. https://medium.com/@leelauras/annapolis-grads-write-powerful-pledge-9976017cc1f9
  2. https://www.news4jax.com/news/local/2020/06/06/jacksonville-area-naval-academy-alumni-member-resigns-apologizes-after-racial-comments-aired-on-facebook-live/

Understanding the Black Experience | Psychology Today

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“Can a White Person Understand the Black Experience? Layers of pain, mistrust, and taboos keep people divided along racial lines.”

Having frank discussions about or asking questions about racism and injustice is challenging for many well-meaning people. They simply don’t know how to approach or “connect to our fellow human beings who are from different ethnic/racial groups and cultural traditions”.

This is particularly difficult when there are over 200 years of racism, injustice and oppression between groups; and, it is difficult while significant social, health and economic inequities remain.

Without an American and world history lesson, it’s safe to say that there are many reasons for discomfort on both sides. This is the major reason why most White people do not understand the African American experience in America.

“Yet, making an authentic connection with another person means understanding, empathizing, and being able to see the world through their eyes.” And, it is hard to imagine that people of color are living a completely different experience in America simply by virtue of their race, ethnicity or gender.

Racism hurts. 

As much as people of color adopt a stoic attitude and pretend that racism does not impact their psyche, repeated and persistent racism can be traumatic. And it hurts doubly so when those around refuse to acknowledge the experience and its potential impact. Well meaning people tend to view an experience as only a single racist occurrence, rather than understand that the incident adds to a lifetime of accumulated experiences and frustrations.

People of color do not want other people to discount their experiences or tell them that they’re being overly sensitive. So if you are a White person patiently waiting for a “Black person to spontaneously share their experience, you may be waiting a long time.” 

Read more: https://www.psychologytoday.com/us/blog/culturally-speaking/201408/can-white-person-understand-the-black-experience

References:

  1. https://www.psychologytoday.com/us/blog/culturally-speaking/201408/can-white-person-understand-the-black-experience
  2. Carter, R. T. (2007). Racism and Psychological and Emotional Injury: Recognizing and Assessing Race-Based Traumatic Stress. The Counseling Psychologist, 35(1), 13-105.
  3. https://www.msn.com/en-us/news/us/being-black-in-america-shouldnt-feel-like-a-overwhelming-burden-opinion/ar-BB15jkne
  4. https://www.nytimes.com/interactive/2018/03/19/upshot/race-class-white-and-black-men.html

Power of Vulnerability

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In a speech that Teddy Roosevelt gave in 1910, Roosevelt said:

“It is not the critic who counts; not the man who points out how the strong man stumbles, or where the doer of deeds could have done them better. The credit belongs to the man who is actually in the arena, whose face is marred by dust and sweat and blood; who strives valiantly; who errs, who comes short again and again, because there is no effort without error and shortcoming; but who does actually strive to do the deeds; who knows great enthusiasms, the great devotions; who spends himself in a worthy cause; who at the best knows in the end the triumph of high achievement, and who at the worst, if he fails, at least fails while daring greatly.”

The powerful Roosevelt quote resonated with Dr. Brené Brown, a research professor at the University of Houston Graduate College of Social Work, who gave the blockbuster TEDTalks “Brené Brown: The Power of Vulnerability”.

In the introduction to her book, Dr. Brown comments on Roosevelt’s words, which she says perfectly encapsulate her research into why she and other researchers find being vulnerable such a hard thing to do.

According to Dr. Brené Brown, Ph.D, in he book, Daring Greatly: How the Courage to Be Vulnerable Transforms the Way We Live, Love, Parent, and Lead:

“When we spend our lives waiting until we’re perfect or bulletproof before we walk into the arena, we ultimately sacrifice relationships and opportunities that may not be recoverable, we squander our precious time, and we turn our backs on our gifts, those unique contributions that only we can make,” says Dr. Brown. “Perfect bulletproof are seductive, but they don’t exist in the human experience.”

Here are a summary of the ThenPower of Vulnerability key points:

  • Vulnerability makes you authentic and allows you to feel love, belonging and joy
  • To be vulnerable you have to:
  • – Internalize that you are a worthy (of being loved) and enough the way you are
  • – Have the courage of showing up and engaging even if could hurt
  • “Your willingness to own and engage your vulnerability determines the depth of your courage”

“Daring greatly means the courage to be vulnerable. It means to show up and be seen. To ask for what you need. To talk about how you’re feeling. To have the hard conversations,” according to Dr. Brown.

Source: 5 insights from Brené Brown’s new book, Daring Greatly

  1. https://thepowermoves.com/daring-greatly-summary/

Mindset: Creating Your Own Opportunities

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“You either walk inside your own story and own it or you stand outside your story and hustle for your worthiness.” Dr. Brené Brown, Ph.D

Dr. Brené Brown’s research has shown that you are the only person responsible for your life story and its outcomes. Not your mother; not your spouse; and, definitely not your “bestie” are responsible. You , and you alone, must take responsibility and assume accountability for your thoughts, your habits and your behavior that have resulted in the outcome of your current life.

If you want things to happen in your life for the better and want to improve the trajectory of your life, then you need to do something about it. If you just sit about waiting for opportunities to come to you or waiting for the government to come to the rescue, it is likely that they will never happen.

You, and only you, need to make your own opportunities in life if you want to become a success. Set goals and take action to steer your life in the direction you want it to go, and take advantage every chance and opportunity that comes your way.

Yes, it takes courage and accepting that occasionally you will fail and ‘get your ass kicked’ in the process of creating your own opportunities.

Dr. Brown’s research on the power of vulnerability has shown that without the willingness to rumble with one’s vulnerability, you are unlikely to achieve the success and life you desire without a willingness to accept failing and accept ‘getting your ass kicked’ on occasion. Vulnerability is the emotion you experience during times of risk, uncertainty and emotional exposure.

References:

  1. https://moneyinc.com/brene-brown-quotes/

Dr. Brené Brown, Ph.D, is a professor, researcher and lecturer on the subject of vulnerability, best selling author of ‘Daring Greatly‘, and podcast host. She is based at the University of Houston’s Graduate College of Social Work.

7 Habits to Help Build Your Wealth | U.S. News and World Report

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By Paulina Likos. — U.S.News & World Report May 18, 2020

Successful investors practice these habits to be one step ahead of the market.

Develop a routine of successful investing habits.

When you’re investing for your financial future, practicing successful habits is a fundamental step in constructing a resilient portfolio. It’s evident that in the world of investing, money management can get complex. That’s why having the right habits ingrained in your investment approaches is important in bringing clarity to your decision-making and confidence in your portfolio management. Here are seven habits that will help guide you through investing decisions during unprecedented market movements.

Read more: https://money.usnews.com/investing/portfolio-management/slideshows/habits-to-help-build-your-wealth

Periodically review your investment plan.

Know what your specific financial goals are and develop an investment policy statement. An IPS is a plan that outlines investment objectives and goals for a particular investor drafted by the portfolio manager and their client. This can be a helpful tool to guide portfolio managers on implementing strategies to grow or preserve a client’s investments. Experts advise that clients stick with the initial plan even when drastic market changes occur; however, certain benchmarks should be monitored from time to time. You should examine your risk tolerance and investment plan every six months to ensure you’re on track with your investments when a financial crisis hits. “Changes will likely need to be made in accordance with a well thought out plan that was put in place before the first punch is landed,” says Tim Bain, president of Spark Assessment Management Group.

Invest in what you know.

While experienced investors can try to evaluate the quality of a company, more often than not, it can be difficult to define its overall valuation and understand its trends. Taylor Kovar, CEO of Texas-based Kovar Capital Management, says, “Don’t invest in something you’ve never heard of just because someone online said it was going to make you a millionaire.” It’s best to focus on companies with products that you’re familiar with, that way it will be easier to predict and understand the ebbs and flows of a company and, most importantly, help in managing your portfolio effectively. “Look in your closet [and] kitchen cabinet, and invest in the brand of the products you see,” he says. “This will help you invest in companies you actually enjoy. It’s like you are paying yourself every time you buy their products.”

Stay away from the latest fads.

Investors seeking yield in a low interest rate environment should try to steer clear of fads. This short-term phenomenon is prevalent during market underperformance and tends to be pretty risky. “It is psychologically very difficult to remain true to your patient investing convictions when it seems investors speculating in the latest fad (think cannabis or tech ‘unicorns’) are being rewarded,” says Robert Johnson, professor of finance at Creighton University in Omaha, Nebraska. There are plenty of other ways to diversify your assets rather than putting your money at risk with fads. “One doesn’t need to chase the latest trend to have investment success. Quite the contrary, chasing investment trends can be hazardous to your wealth,” Johnson says.

Be honest with your risk tolerance.

At any stage of your investing journey, it’s important to know if you are a conservative or aggressive investor. Defining risk tolerance is a habit that directly aligns with your financial goals. But sometimes, it can be unclear on how to determine where you lie on the risk spectrum. “Many investors tend to overestimate their level of risk tolerance, which causes them to sell at the worst times,” says Jerry Verseput, president at Veripax Wealth Management in Folsom, California. Market sell-offs like the one in March are good opportunities for investors to assess their feelings honestly as they saw the value of their investments drop.

Keep educating yourself.

An expert tip: Keep reading about how the market is changing. With the pandemic in mind, think about how habits and behaviors are changing in the short term, how that will affect the long term and how future trends might evolve. “What is going to be long-lasting in work and personal life? Do you want to be [investing in] Kodak film or the person investing in digital cameras? Don’t believe what you hear as much as know-how and where to find the facts,” says Peter Creedon, CEO at Crystal Brook Advisors in New York City.

Save for retirement.

Keep investing in your future by adding into your retirement account each month — that’s the power of dollar-cost averaging. Even if some months are fewer than others, allocating some of your income to retirement savings consistently puts long-term investors in a better position toward meeting their future financial goals. You can measure how successful you are as a saver by monitoring your retirement score, an estimate of what your retirement income may look like according to the steps you are taking to save now. This estimation will predict whether you’re on target on meeting your retirement needs or if you need to boost your allocation. It will also give you an idea of how much you will need for retirement and what changes you need to make that happen.

Know when to seek assistance.

Many individual investors try to find “do it yourself” methods for investing. There’s a misconception that successful investors should be monitoring the markets constantly and hold a finance degree, but most experts say the biggest hurdle is knowing when to seek help and how to find the right financial advisor. One tip: Find out what kind of experience the advisor has and which investing strategies they often use. “Make sure in an interview that the advisor shares your investing values and has a well-defined process to develop an investment policy statement for you and your goals,” says Jamie Ebersole, founder and CEO of Ebersole Financial in Wellesley Hills, Massachusetts. “If you and your advisor are not aligned on these important issues, it will make for a very frustrating relationship.”

Setting yourself up for investing success.

  • Periodically review your investment plan.
  • Invest in what you know.
  • Stay away from the latest fads.
  • Be honest about your risk tolerance.
  • Keep educating yourself.
  • Save for retirement.
  • Know when to seek assistance.

Sources:

  1. https://www.entrepreneur.com/slideshow/307635
  2. https://money.usnews.com/investing/portfolio-management/slideshows/habits-to-help-build-your-wealth

Habits of the Wealthy Anyone Can Adopt

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“The reason why someone is either rich or poor can be traced back to daily habits.” Tom Corley, author of “Rich Habits: The Daily Success Habits of Wealthy Individuals”

Replace bad habits and behaviors. 

Aristotle, the 4th Century B.C. Greek philosopher, was attributed as saying, “We are what we repeatedly do. Excellence then, is not an act, but a habit.”

It has been said that nature abhors a vacuum, and the same can be said about habits and behaviors; it’s hard to replace a bad habit or behavior with nothing.

Instead of ceasing a bad financial habit or behavior, investors need to replace them with positive and successful financial habits and behaviors.

Rather than liquidating an account, encourage a replacement behavior like rebalancing, tax-loss harvesting, making more incremental portfolio adjustments, or putting in “crash bids” for high-quality stocks that may be trading at a discount.

It’s easy for individuals to be disorganized, without vision, undirected and at the mercy of poor habits. Embracing good habits often takes ficus, effort and desire to improve. Here are eight rich habits:

Habit #1: Exercise.

Exercised an average of 30 minutes, four days a week.

Habit #2: Build relationships.

Keep a running list of positive influencers in your life and regularly connect with them.

Habit #3: Visualize your goals.

Look at your goals—each set with an expiration date and action plan—when you wakes up and before bed. Attack goals with intensity. Keep goals top of mind, and always in sight. This will yield big results.

Habit #4: Read. A lot.

Start reading two books a month—focusing on emotional well-being, leadership, personal finance, and health

Habit #5: Practice affirmations.

Positive mindset provides a huge influence on one’s quality of life. The more you like yourself, the higher your self-esteem and well-being. Practice daily affirmations related to the most important areas of your life, focusing on faith, family and professional career.

The key to successful affirmations is choosing a mantra that’s tied to a dream and a realistic goal that are specific, achievable and true: “I’m working 10 extra hours per week to make $100,000 by next year.”

Habit #6: Volunteer.

There are many reasons to volunteer; use the opportunity to expand your network of like-minded people. It is an opportunities to give back and to create relationships with high-level thinkers.

Habit #7: Confide in a mentor who’s been in your shoes.

The most successful people on earth value mentors who’ve walked in their shoes and made it to the other side.

Habit #8: Practice gratitude.

Meditate or focus for a few minutes each morning and evening on what your grateful: spouse, kids, job and friends, to name a few. This habit helps you pay more attention to what’s going great in your life, puts life in the correct perspective, and keeps you focused on always moving forward with the right attitude.

Henry David Thoreau once said, “The mass of men lead lives of quiet desperation.”

If you want to remain unrewarded, unfulfilled and ultimately unhappy, then continue to accept your habits which are not useful to fulfilling your aspirations, dreams and desires.

Bonus Habit:

“If you want to become really wealthy, you must have your money work for you. The amount you get paid for your personal effort is relatively small compared with the amount you can earn by having your money make money.” John D. Rockefeller

References:

  1. https://grow.acorns.com/7-daily-rich-habits-anyone-can-adopt/
  2. https://grow.acorns.com/money-mistakes-wealthy-people-dont-make/

Staying Physically Active and Socially Connected

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Physical distancing, not social distancing is mandated

Blame psychology for why many Americans still cannot accept the gravity of the coronavirus pandemic.

  • First, foresight is not a particular skill for most of us, experts say.
  • And “live free or die” is more than a slogan; it’s an apt description for the mindset of many Americans.
  • Finally, it is hard to assess the threat of an enemy you can’t see.

American mindset is another reason it’s so hard to enforce strict public health measures. Americans are independent-minded and don’t willingly sacrifice personal freedom for the sake of the wider society. That’s especially so for people who distrust science, detest government regulations and have never seen a situation like this pandemic with their own eyes.

Image of SARS-CoV-2, virus that causes COVID-19

Social Distancing

With the advent of the pandemic, we have been hearing a lot about “social distancing”, which according to governments and medical authorities mean we should keep at least 6 feet apart from others, as much as possible.

But clearly, it’s about keeping your physical distance at least six feet from others and not about increasing your social distance from family, friends and neighbors.

Governmental authorities screwed the pooch on the phrasing of social distancing. The term “social distancing” is not only a misnomer, it is exactly the opposite of what people should do during the current pandemic.

During a time of great fear and uncertainty, it’s important to stay connected to people that matter most in your life. Whether it be with friends or family, social interaction is important for communities. It keeps us feeling like we’re all a part of something greater than ourselves.

Stay Physically and Socially Active

Staying active can help you stay healthy both physically and emotionally. Take a walk. Take a virtual exercise or dance glass.

Staying socially connected is an important part of our emotional health. Human beings are social animals. Man was not created to be or exist alone. Most people need a certain amount of social interaction every week, or they start to feel isolated and alone. Social interaction can still occur, even as we retire and age. It just needs to occur in a different way when compared the our working years .

And remember, we must keep our physical distance to hinder the virus spread. But, we must stay emotionally and socially connected with our family and friends. Go out of your way to reach out to those who are socially alone and isolated.

We are in this together and awe will overcome this together. As a result, you should keep a physical distance at least 6 feet apart from others, but clearly this has nothing to do keeping socially distant from others. Instead, it’s all about keeping your physical distance from others.

References:

  1. https://psychcentral.com/blog/alone-together-why-its-physical-distancing-not-social-distancing/
  2. https://www.stripes.com/news/us/the-psychology-behind-why-it-s-hard-for-us-to-accept-a-pandemic-1.628550#

3 tips to avoid locking in losses | Mass Mutual

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By Allen Wastler
Allen Wastler is a former financial journalist with over 30-years of experience, including time at CNBC, CNN, and Knight-Ridder Newspapers.
Posted on Apr 13, 2020

After a huge market downturn and a major loss of value in your investment portfolio, the temptation to do something — anything — may be hard to resist.

But in many ways, the best action may be to take no action. Why? An investment plan is a long-term project and making changes to it based on short-term considerations is often ill-advised. That’s why financial professionals encourage people to stay calm during market sell-offs and think about long-term objectives.

“It is a tough and scary time, and not locking in losses by panic selling is critical,” said J. Todd Gentry, a financial professional with Synergy Wealth Solutions in Chesterfield, Missouri.

But even if you did resist the initial impulse to flee during a market retreat, you still need to keep some discipline about your portfolio as you wait for a market recovery. Here are some traps to avoid….Read more: Avoid Locking in Losses

Markets, as a whole, have historically bounced back from downturns with time, as the following chart illustrates.

Source: Bloomberg. The S&P 500 is an equity index that consists of the stocks of 500 large U.S. companies measured by market capitalization. The results here include the effect of reinvested dividends. You cannot invest directly in an index.

Getting Better at Something

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To Get Better at Something, Ask Yourself These Two Questions

Anyone can get better and improve at anything, including personal finance, with the right mindset and deliberate action. That includes getting better at saving by paying yourself first, investing for the long-term and accumulating wealth.

But in order to get better, individuals need to honestly answer “yes” to two very basic questions. Those two questions are:

  1. Do you want to do or get better?
  2. Are you willing to feel the discomfort of putting in more effort and trying new things that will feel weird and different and won’t work right away? To fail?

If the answer is “no” to either question, then it would be foolish for an individual to believe they can improve and get better by doing things the way they’ve always done it or thinking the same way they’ve always thought. Additionally, it would prove a waste of time and effort for any coach to undertake a client or player to improve their skills who do not answer yes to both questions.

Essentially, getting better, especially at saving and investing, is about wanting to get better by embracing a positive mindset and is about having a willingness to experience discomfort. It is important to know that you can become better at anything if your willing to do what is necessary.

But you will not get better if 1) you don’t believe you can and 2) you aren’t willing to accept the discomfort of doing things differently and do whatever it takes to get better.

Learning anything new means moments of feeling uncomfortable. You will need to act in ways that are unfamiliar and take risks that are new. Try things that, in many cases, will be initially frustrating because they won’t work the first time.

You are guaranteed to feel awkward and possibly experience failure for the first time. You will make mistakes. You may be embarrassed or even feel shame, especially if you are accustomed to succeeding.

The key take-away is that answering these two questions yes are a prerequisite to growth and achieving financial success.

  1. https://hbrascend.org/topics/if-you-want-to-get-better-at-something-ask-yourself-these-two-questions/