Simplify | Wisdom, Wealth, and Wellness

Jonathan Satovsky
CFP®, ChFC®, CIMA®, CPWA®, CDFA®, DACFP

Good morning, good afternoon, good evening. Depending on the part of the world you’re in. This is Jonathan Satovsky of Satovsky Asset Management and on today’s episode of “Seeking Wisdom, Wealth, and Wellness,” I want to talk about one of my favorite topics, time versus timing.

People have a tendency to overcomplicate their lives, to make things so much more complicated than they need to be. Simplicity beats complexity. That being said, it just sounds sexier to have complicated stuff going on, to sound busy, to sound like you’re part of the action.

Let me give you some mathematical perspective. January 1, 1996, to September 30 of 2023. If you invested a million bucks in Berkshire Hathaway and you just left it alone, what do you think your return would be? Or for that matter, what do you think your return would be just sitting on it in the stock market – the S&P 500?

During that period we experienced the dot-com bubble, the dot-com bust. We’ve experienced the great crash from ’07 and ’08. We experienced Brexit. We experienced COVID. We experienced all sorts of things.

So what do you think [about] that simple aspect of buying and holding, the S&P or Berkshire for the last 25 years? Well, I’ll give you the answer. With the S&P 500, you’d have over five to six times your money. So, for a million dollars, you’d have about $5.8 million at the end of that time. If you invested in Berkshire, 40% of the time you would have underperformed the markets by magnitudes of 20% to 60%. And yet, at the end of the decade, you’d have $15.5 million.

So, simplify your life on your path to Wisdom, Wealth, and Wellness. Look at the horizon. Ignore the crowd.

Simplify over complicate.

Get the Latest Wealth Insights, Delivered.

Video Recorded October 23, 2023
SHARE
Disclosures

This blog post is not intended to be, nor should it be construed or used as, an offer to sell, or a solicitation or offer to buy any securities or interests in any strategy offered by Satovsky Asset Management, LLC (“SAM”). SAM is a registered investment advisor with the Securities and Exchange Commission – for more information see www.adviserinfo.sec.gov. Please remember that different types of investments involve varying degrees of risk, and that past performance is not indicative of future results. Therefore, it should not be assumed that future performance of any specific investment or investment strategy (including the strategies recommended or undertaken by SAM) will be profitable. Market index information shown herein is included to show relative market performance for the periods indicated and not as standards of comparison. The market volatility, liquidity and other characteristics of SAM’s portfolio composition are materially different from the securities listed on public market indices. Market index information was compiled from sources that SAM believes to be reliable. No representation of guarantee is made hereby with respect of the accuracy or completeness or such data. Opinions are as of date of video and are subject to change. A copy of SAM’s current written disclosure statement discussing our advisory services and fees continues to remain available for your review upon request. SAM undertakes no duty to update information presented herein.

Further Reading

The Good Life | Wisdom, Wealth, and Wellness

Good morning, this is Jonathan Satovsky of Satovsky Asset Management and on today’s episode of “Seeking Wisdom, Wealth and Wellness – Vlog Style,” I want to reference the book “The...

A Surprising (?) End to the Year

It was quite a year. At the start of the year, inflation was at 6.5%. Nearly everyone was predicting a recession. As we went through the year, the Federal Reserve...

Impulse Control | Wisdom, Wealth, and Wellness

Good morning, good afternoon, good evening. Depending on the part of the world you’re in, this is Jonathan Satovsky of Satovsky Asset Management. On today’s vlog, I’m trying to help...

Talk to an Advisor today

232 Madison Avenue, Suite 400 New York, NY 10016
(212) 584-1900

© 2024 SATOVSKY ASSET MANAGEMENT | PRIVACY POLICY | FORM CRSTERMS OF USE/DISCLAIMERS

NOT FDIC INSURED. NOT BANK GUARANTEED | MAY LOSE VALUE, INCLUDING LOSS OF PRINCIPAL | NOT INSURED BY ANY STATE OR FEDERAL AGENCY

Website Developed by Finovo

Get Wealth insights Delivered To Your Inbox

Don’t miss a beat – Sign up to have the latest investor insights, mindfulness tips and market news from our blog delivered right to you.