Sunday, May 18, 2008

Find Your Investing Soulmate on the Jersey Turnpike

As a followup to a former column, “Irreconcilable Differences,” Iodine received an e-mail from a reader request how she could ensure, ahead of time, investing rapport with a hereafter spouse.

Unfortunately, like most issues in life, the direct attack makes not work. Asking him, “Sweetie, how volition you put our 401(k) funds?” will only ensue in getting the reply he believes you want. “Honey, whatever you believe is best,” volition be the reply you will hear. The idea that different investing strategies could ensue in irreconcilable injury to your hereafter human relationship looks distant to him. But we cognize better. He will state whatever you desire in order to travel the conversation to supposedly more than of import inquiries like, “How many children make you want, five or six?” Or, “What faith should we raise the children in?” We all know, however, as index investors, that our Investing Gestalt (IG) is the cardinal forecaster of future happiness. Fortunately, I have got developed a diagnostic diagnostic test that volition addition the chance of matching your immunoglobulin with that of a prospective partner.

This is the scenario: Your friend (and I would maintain the human relationship at a platonic stage until after this first test of compatibility) is driving and you near a toll on the New Jersey Turnpike. It’s 5:30 p.m. and traffic is backed up a one-fourth mile. Now watch carefully as your friend chooses one of 10 lanes to near the tollbooths. Bashes he scan the mass of chances and abruptly cut across eight lanes of traffic to get into the shortest lane? So far, so good, correct? No, don’t leap to any decisions yet. Wait and see his behaviour as his lane Michigan dead. Bashes he draw out and squeezing into the fastest moving lane two rows to your left? Even worse, makes this behaviour go on for the adjacent 10 proceedings as he chases the best acting lane? Stay away from this person. Don’t give him a buss goodnight and don’t take his phone calls in the future. His attack is strictly short-term. He chases short-term performance (and he is ill-mannered too).

Still confused? The most suitable mate, the 1 with a similar immunoglobulin would have got randomly selected a lane and not wavered. He recognizes that the lane that moves the fastest cannot be determined ahead of clip and that short-term performance have no statistical significance to the concluding outcome. Your Mr. Right would have got selected a lane and stayed in it. He would have got used the extra clip to happen your favourite cadmium and inquire how your ma is feeling.

Stay stopping point to this guy. (Please note: With the introduction of express toll booths the cogency of the above diagnostic test have been challenged.) My inquiry to our readers: what are the habits, oddities of personality that aid you place a individual with a similar IG? Please share your positions with us.

Is it the sort of car he drives? Or the sort of domestic dog he walks? Or how neat he maintains his apartment? Are it of import that he names his ma each night? Or is it totally counterintuitive? Are Indy 500 or Formula One drivers more likely to be index investors, while bibliothecs take very large places in hedge funds?

Please e-mail me with your penetrations so that Iodine can share them with our readers.


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