It might be funny to think about money in terms of fitness, but go with me here. Money doesn’t act too differently than we do when it comes to being active. Some people don’t exercise and lay around like couch potatoes. After being inactive for a while, some bad things start to happen. Just ask your doctor: Muscles start to atrophy and a whole bunch of other negative side effects start to develop. In other words, we start losing the health we had.
Well, the same thing is true for money. If you let it just sit around, it starts losing some of its value. Before you know, things like inflation, taxes and low growth start to take away its strength. Just like a sedentary person slowly starts to lose their health, the same thing happens to lazy money as its potential and longevity diminish over time.
Money can also benefit with attention and exercise just like we do. For instance, every medical professional will tell you that part of living a healthy life is getting enough exercise. Those of you who regularly give your portfolio attention and exercise may be rewarded with longevity of funds. While your money might not benefit from a brisk walk on the treadmill, it thrives on attention just as much as we do. Having regular portfolio reviews with your financial professional is one way to make sure your investments are not feeling neglected.
Maybe a good word to use is active; taking an active approach to managing your money is how to keep it fit. Part of taking an active approach to money management also involves making sure you are not exposing yourself to unnecessary risk. If you think your portfolio might need to get back in shape it’s time to meet with a financial professional.
Many financial professionals offer a no obligation, complimentary second opinion review, which is kind of like taking a fitness evaluation. They’ll be able to tell you if your portfolio is on track with your retirement goals, or if it could benefit from a little more attention. Make sure to request a complimentary second opinion review so you can know what kind of shape your money is in.
Part of ensuring your money lasts as long as you do is making sure it’s getting the right kind of exercise and attention. The next time you hit the gym you’ll feel better knowing your money is working out as hard as you.
