Speakeasy

Michael Norton – How to buy happiness

Wednesday, May 9th, 2012 by David


Viewing time, 10 minutes, 59 seconds
http://www.ted.com/talks/michael_norton_how_to_buy_happiness.html

We may conclude incorrectly that we can’t buy happiness, but let’s face it, the options are a whole lot better with money than without! In this video message from one of my favorite sources, the case is made for buying happiness. The application is nearly universal, yet it may not be what you think!

In the book, Life is What You Make It, by Peter Buffett, it is suggested that it’s a good idea to ensure your own measure of success is something you have control over. Stock market performance, how much money you make, or how well your favorite team plays are often matters that are out of our hands, so linking your happiness and success to those items would be less than favorable. The choices we make, including the thoughts we keep and those we let slip away, are far more easy to control. As an example, practicing kindness could bring far more joy than buying more stuff. The smile on the face of someone you made happy may cost next to nothing, yet it’s priceless. Try buying coffee for the person behind you at the drive thru, or giving up your spot in line at the grocery store – and toss in the words, “I’ve got a lot of spare time!” I’ll bet you feel like a million bucks! :)

Filtering for Truth

Friday, March 9th, 2012 by David

Estimated Reading Time: 4 minutes, 40 seconds

In my role as a financial advisor I am often called upon by my clients to serve as a primary filter for financial information.

As one may expect, during times of financial uncertainty, there is a lot of sludge dredged up from the bottom of the barrel and it mixes in with a lot of flotsam that ought to have been skimmed off the top. The truth is thought to be somewhere in the middle, or is it?

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Warren Buffett: Why stocks beat gold and bonds

Friday, February 10th, 2012 by David

Estimated Reading Time: 8 minutes, 40 seconds
Link to Fortune Magazine Article on CNN Money

The master says it best! In an adaptation from his upcoming shareholder letter, the Oracle of Omaha explains why equities almost always beat the alternatives over time. Buffett redefines risk as, “the probability — the reasoned probability — of that investment causing its owner a loss of purchasing power over his contemplated holding period. Assets can fluctuate greatly in price and not be risky as long as they are reasonably certain to deliver increased purchasing power over their holding period.”

Conventional methods taught in textbooks measure risk as as the difference in price between the highest and lowest points, and the technical term used on Wall Street is “beta”. Buffett comments, “Investments that are denominated in a given currency include money-market funds, bonds, mortgages, bank deposits, and other instruments. Most of these currency-based investments are thought of as “safe.” In truth they are among the most dangerous of assets. Their beta may be zero, but their risk is huge”.

“Person to Person”: Warren Buffett

Friday, February 10th, 2012 by David

Viewing time: 11 minutes, 42 seconds
Link: CBS News Video

Person to Person” takes you to where Buffett’s mega deals are done. His private office in Omaha, Neb., is as unconventional as the man himself. Spend a few minutes as Charlie Rose and Lara Logan interview the “Oracle of Omaha” at his office.

Asinine Theory Exposed by Octogenarian

Wednesday, January 25th, 2012 by David

Estimated Reading Time, 2 Minutes, 55 seconds

The emotional scars left by the twin beat downs of 2002-03 and 2008-09 are still healing, even though portfolios have rebounded “nicely” off of the bottom both times, and every time in history before that.

For those who may be suffering, the lingering damage to the psyche is often greater than the amount of the sustained physical loss. Here is why. Your, “once bitten, twice shy”, reflex may influence your future outcomes in ways that are far more costly than all of the financial damage you have ever sustained as an investor. You already know you can protect yourself; we’ve done that, so where do we go from here?

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E-News Archives at Talismanspeakeasy.com

Tuesday, January 10th, 2012 by David

We work hard to keep all our clients informed about important financial topics. To this end, we publish a monthly e-Newsletter full of articles and links to help our clients make smart choices about their money.

Click here to enrol or to view the most recent issue.

Buffett Speaks on the Buffett Rule

Friday, September 30th, 2011 by David

Viewing time, 13 minutes, 13 seconds
Link: Bloomberg News – Warren Buffett

Good leadership is hard to come by. Often times people get hung up on the details and miss the point. The Buffett Rule, apart from it’s economic impact, is a signal to other hard working people that we’re in this together and we will come through it together. Buffett is recognizing that the wealthy among us have benefited from the society we live in and as such, it’s in the best interest of everyone involved to be understanding and lend a hand in the recovery.

The Buffett rule applies to about 50,000 people out of a country of 310 million and it is only the ultra rich with low tax rates, mainly those making money by shuffling money, who are affected. These people are making on average about $227 million of income per year per person and paying taxes at average rates of 21%, with some paying much lower rates. This tax generated by the Buffett Rule is estimated to raise about $20 billion per year, or with other words, would benefit 20 million families with cheques of $1,000 per year.

In this clip Buffett also comments on politicians playing like grown ups, the natural regenerative juices of capitalism, and how they are playing out in this recovery.

US Debt Downgrade

Tuesday, August 9th, 2011 by David

Estimated reading time, 4 minutes, 43 seconds
Link: David Atwood – US Debt Downgrade

We’ve been experiencing another round of market jitters in the past while, this time on the heels of a downgrade to US treasury notes. At times like this many people find it difficult to ignore the noise and distraction. As with similarly unpleasant disturbances in the past, there are remedies we’ve been using that make these experiences more tolerable, even beneficial.

The Chirp of the Gold Bug

Wednesday, July 13th, 2011 by David

Approximate reading time, 7 minutes, 37 seconds
Link: David Atwood – The Chirp of the Gold Bug

The current environment of uncertainty gives rise to speculation, where actions are taken without regard for all of the facts. While many will continue to regard the future with pessimism, there are those that will behave in the same calculated manner as they have always done.

Berkshire Hathaway Inc. – AGM 2011

Wednesday, May 11th, 2011 by David

Link: David Atwood – 2011 Berkshire AGM

The Annual General Meeting of Berkshire Hathaway Inc. is about the biggest thing to hit the city of Omaha, Nebraska every year. Airlines schedule extra flights, hotel rooms fill up, car rentals are scarce, and reservations are needed for dinner. The normally placid city is over run with tourists of capitalism. This is my account of what got me started and why I keep going.