As the title to this tab suggests, when properly informed, you — as an individual investor — have an advantage. As we have noted several times in the two tabs of the Learn section, many of the self-defeating behaviors that I hope to help you avoid have actually been institutionalized in the investment services industry. These include over-complexity in asset allocation, market timing with “tactical asset classes,” lack of accountability in the separation of financial planning/advisory and investment fund management, performance chasing from the fixation on near-term fund returns and, finally, with index investing, forgoing returns that markets readily make available over time.
Empowered by understanding, you can forge your own path, avoiding these many pitfalls. This is the essential mission of Constancy Investors.
This is the area of the website where you get to roll up your sleeves and tinker. It includes a tool I developed—an Investor Temperament Questionnaire—and links to financial planning calculators that help you blueprint your financial goals and formulate a plan to realize them, as well as perspectives on hiring a financial adviser. In the third tab, Goals-Based Asset Allocation, you can see—in a matrix format—an example of how to take into account both your temperament and your time frames to arrive at asset allocations well-suited to each of your goals. Hover over the tabs at left for the key take-way for each.
I. Your Investor Temperament
A questionnaire you complete that is scored to help you anticipate how your emotions may affect your ability to stick with a plan during periods of market decline.
II. Planning Tools and Calculators
Links to third-party planning calculators to help you form a complete picture of your financial life and develop plans to save and invest to meet all your goals and thoughts on selecting a financial adviser. With greater clarity in your financial life, comfort follows.
III. Goals-Based Asset Allocation
Tables that illustrate how asset allocation should take into account objective factors—your financial picture and goal time frames—and your investor temperament.