John J. Grande, CFP

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This unimaginable horror we are living through in 2020 should not be wasted. It is like a kind of tough love therapy that helps us to re-evaluate our lives.

If we had suggested three months ago these scenarios-that the entire world would be shut down, there would be no travel, millions of people would be ill and hundreds of thousands dying, people would be in lockdown in their homes in quarantine, your practices would be closed and the stock markets down to this level, and we would have no idea how long these circumstances would last or how bad they might yet become-you would have thought us insane.
	But this is what happened and continues to happen today.

So, in the face of this nightmare, is it possible to emerge from it with a sense of waking up to a new way of living?
	Actually, a new way of being? I coined an expression once, “He (she) who is happiest wins.”

But perhaps we need to redefine happiness, especially given the new world we live in. Life, as normal for most of us in the past, meant running after and reaching goals, accomplishing, accumulating, doing something to achieve an end result. Let’s face it, many of us were like puppies chasing our own tails.

For most of us our focus was on the objective world. Out there. Make more money, redo the house or get a bigger one, the next relationship, the next vacation. New this, new that. Better this, better that. More this, more that. But now we have been forced to temporarily stop the chasing. Halt the perpetual running after things or people, in order to feel fulfilled and happy.

What can we possibly learn from this pandemic that we can carry forward with us like a mega-lottery prize from having survived this horror? How do we emerge from this, thankful for what we might refer to as “waking up”? Fulfillment is never to be found outside of ourselves. This kind of fulfillment is only a limited happiness that comes and goes with intermittent suffering. This isolation/self-quarantine has forced many of us to slow down in life.

Questions we might ask ourselves in this quieter time could be “What do I want?” or  ”What do I really want in life?”

Then ask yourself, “if I get just what I want, then what does that do for me?”

After delving into this we will find that fulfillment and happiness isn’t to be found outside of ourselves. It is always present inside. And, if we take a minute to notice, we will see that there is a new sense of silence in our sheltered-in life. A silence where the chatter of the mind has been reduced and we can get more in touch with our hearts than living solely in our heads. This may sound trite, but I notice that recently in Zoom meetings with our clients, it is hard for me not to say, “I love you,” before ending the meeting.

I suddenly find a sense of fulfillment in just looking out the window at nature. At the sun colorfully reflecting on the clouds at sunset. Listening to the birds sing. There is a new sense of freedom for me in not being owned by the objective world and its things, my toys and accumulations. I cannot imagine ever walking in a park again without this new silence that represents my truer nature. Being more fully in touch and in tune with every precious moment.

I’m ready to go back into the rat race again when it opens up for business. But I will never be the same person as I was before this happened. There is a stillness now. I’m allowing myself not to think so much, or just let the thoughts slide by without effect. Not always planning the next “happiness” event.

Instead I see myself going into a world I had become accustomed to, but with eyes fully open. It reminds me of a fish that doesn’t know it’s in water until it is taken out. Or perhaps even better, a fish complaining that it is thirsty. There has been this beauty around me the whole time. I won’t hesitate to be honest about my love for those around me. We have seen firsthand and through our friends and clients the tragedy of losing someone from this dreadful virus. Not just senior citizens either. What can we learn?

How can we allow ourselves to go back into our professions and lives again and not use this experience to change us for the better? When we get right down to it, we are not our money, our possessions, our successes, our ambitions, or even our education and experiences.

The question then is: Who are we? What a wonderful opportunity we have in this “time out” world to self-inquire into who we are and what we really want and need. This may not sound like financial advice, but it actually is. I’ve noticed for decades the lack of correlation between a person’s joy in life and the size of their estate. Money never has, nor ever will buy you this joyfulness. When we are owned by our assets and possessions, we are prisoners of the very things we own and worship. You no longer own your things, but they now own you.

Where is the freedom in this? We have desires and go after them to find out that the brief passing happiness of achieving a desire was only to be instantly replaced with yet another desire and, round and round we go.

Now, we need new desires to chase after, so we can once again look for that ever elusive fulfillment. I’ve seen too many people misidentifying themselves with their fortunes. In so doing, in thinking they “are” their money, they run the risk of suffering horribly at the slightest decrease in their net worth. Money is useful. It makes life easier and gives you more options to play in the world. But it is only a store of wealth. Not worth getting sick over.
	
	We have all, since childhood been taught to succeed. Everything we do in life we do to improve ourselves. Attempting to change “what is” into what “should be.” We have these long-held ideas, images and belief systems in place that we mistake for reality or truth. Do this, accomplish this and you will be secure and happy.

Well, here we are in 2020. Wealth is reduced. We have lost our freedom to move around. Our very lives are now at risk. Is it possible to be happy in these circumstances?

I can only share my experience with you. But my answer is a resounding yes! Just to be alive, to be aware and conscious of being in this life is joy. To calm the mind, relax the desires a bit, and go inside to a freedom that needs nothing.

Then, to re-emerge into the outside world after realizing, discovering that possessions and things, fame and notoriety, never could have given you this peace. Bring this calmness back out into the world when it opens up again.

Yes, you will do all the things you did before, but you will be awake to the fact that all fulfillment lies within. Not out somewhere out there. Now you can enjoy everything in life, but from a different perspective. We now know, as other generations have learned in the past, there is really no such thing as security. However, to be able to live life without fear of loss is to live life fully.

This unimaginable horror we are living through in 2020 should not be wasted. It is like a kind of tough love therapy that helps us to reevaluate our lives. It is a time for self-inquire and questioning one’s priorities. It is a once-in-a-lifetime opportunity to get a second chance in life. To smell the roses. To slide down for a moment from your head to your heart. To end needless suffering and replace it with wisdom. To be free!

I am not attempting to tell you how to think or be. I am only sharing my observations of others and myself over the last several decades. I offer my insights only with love.

John J. Grande, CFP, Traudy F. Grande, CFP, and John S. Grande, CFP, are co-editors of the Money Matters column in Ophthalmology Times®. They are owners and principals of Grande Financial Services Inc., Oakhurst, NJ, (

). The Grandes advise doctors across the country on a diverse range of investment and financial matters. Readers may submit their financial questions to them at 

The views depicted in this material are for information purposes only and should not be considered specific advice or recommendations for any individual. All investing involves risk, including the potential for loss. Past performance is not indicative of future results. No investment strategy can ensure a profit or protect against loss in a declining market.

John J. Grande, John S. Grande and Traudy Grande are Registered Representatives offering securities through Cetera Advisor Networks LLC, Member FINRA/SIPC. Advisory services offered through Summit Financial Group, Inc., a registered investment adviser. Summit and Cetera are related and are under separate ownership from any other named entity. Registered Branch: 257 Monmouth Rd, Oakhurst, NJ 07755. Phone: 732/531-4111; toll-free: 800/722-1258. Website: 

Articles

What can we learn from COVID-19?

Would you ever consider entering into a complex surgery procedure with a patient without first doing every test and possible scenario before entering the operating room? Why should one approach finances any differently?

There are three senior partners in our practice, and we have all been working with ophthalmologists for more than 25 years. I don’t dare do those years in the aggregate!

Plus, we’ve attended well over 100 ophthalmology conferences around the country and on the islands and have sat down with many hundreds of ophthalmologists to listen to their concerns and questions.

We have eye-doctor clients across the country and have worked with some of them throughout the entire 25 plus-years.

This article is an attempt to share with you the insights we have gained about their personal and financial lives. Their financial aspirations, failures, and fears.

First, it has been beyond a privilege to have spent most of our profession in the most intimate relationships with this group of men and women, who are the crÃ¨me de la crÃ¨me of the medical profession. What an honor and a challenge it is to deal daily with what must be the kindest and most intelligent of any group in medicine.

For us, it started with having as clients some of the brightest and most shining stars in ophthalmology.
	A. Edward Maumenee, MD, Ron Michaels, MD and Ron Smith, MD, to name just a few. Talk about gentlemen and intellects. The medical profession lost these doctors far too early. The one word that comes up for these three incredible men is kindness. Besides their scientific brilliance and love of ophthalmology they were giants when it came to being human beings. They were our close and cherished friends and we learned so much from them about life. So many stories we could share. Such selflessness always emanating from them. We were then, and still are, in awe of these gentlemen.

And as it started, so it continues, working closely with the upper echelon of humanity. Working closely with so many men and women who are seemingly all blessed with multiple talents in life. No doubt, being so humbled by these professionals has been a gift in many ways. We always knew we were going to be asked sophisticated questions. Still, underneath this intellect and goodness lie the normal emotions of any human being.

No two doctors are alike, but there are definitely commonalities to be found among them and their immediate families. Families we are so proud to call our friends.

We have observed, through the questions put to us, that most ophthalmologists think that their peers have more money than they do. It’s almost never true. Many have been great savers, good investors and prudent spenders, and it is rather remarkable, taking away the outliers in either direction, the similarity of accumulated wealth between them.

Those outliers usually come about from one or more of these factors:

the negative financial impact of divorce(s);

when both spouses are physicians, obviously income is augmented;

how many children have to be educated since most doctors don’t qualify for any assistance;

attempting to invest in a “sure thing” that promises astronomical returns with little risk and then losing a large portion of their investments (high intelligence doesn’t override efficient markets);

greed/fear, both equally having no place in investing.

The above items contribute the most for the discrepancy in rare cases between a doctor’s net worth when compared with his or her peer group.

As for aspirations, almost everyone wants financial security for the future. Educate their children. A nice home. A second home. Vacations, a secure retirement, etc.

Given the high income for most ophthalmologists, there is a choice one is faced with after having handled income taxes and living expenses; what to do with discretionary income? Most doctors are maxing out their 401(k)s, 403(b)s, profit-sharing plans, etc., and this is paramount, but what do they do with what is left over?

Some people are just born savers and others are born spenders. Herein lies the biggest factor between doctors’ net-worth statements.

As for fears. That’s an easy one. It’s always the same question. Will I run out of money in retirement? After receiving a pay-check for 30 plus years and suddenly this dependable income stops, this question would surely arise.

Along with this question come so many others. How long must I work? How much will I need to spend in retirement? Should I (we) take social security right away or wait? How much should I keep in the stock market? Are annuities a good or a bad idea to use? What if the market collapses right before or after I retire? What if one of us goes to a nursing home, how will that impact us?

We hear these concerns every time we listen to a doctor who is meeting with us for the first time or sitting down with them at a conference.

So, here we have it. A group of extraordinary professionals and humans, with the same hopes, emotions, and fears as everyone else.

Unfortunately, what we generally observe are people with some level of anxiety over the unknown. That’s normal. This is human nature. But it is a form of suffering, and probably not great for one’s health. We have spent our careers attempting to show people how to reduce these fears and it’s basically pretty simple.

Construct a realistic investment/financial plan, showing short, intermediate, and long-term goals. Invest a little of your time with the guidance of a professional developing a plan that leaves you strongly grounded in financial reality.

Not hoping, fearing, guessing, reacting, but having a thoroughly thought-out plan of action that you follow. Monitor, adjust, and review as circumstances change both in your life, and in the world.

With this in place, you can get on with life knowing that at least your finances are in order.

Would you ever consider entering into a complex surgery procedure with a patient without first doing every test and possible scenario before entering the operating room? We don’t think so. Why should you approach your finances any differently?

You spend your professional lives dedicated to caring for others, making a positive difference in society. You are all a credit to the medical profession. We wish you the happy, healthy lives you so deserve.

Is there a correlation between happiness and wealth? Our experience from observation is “no,” a topic for another day. But, is it not easier to be light and happy when you aren’t stressed out about money?

So, our advice is to have a plan in place that gives you freedom from anxiety.

“Let the good times roll.” Stay safe and remember this, too, shall pass.

John J. Grande, CFP, Traudy F. Grande, CFP, and John S. Grande, CFP, are co-editors of the 

. They are owners and principals of Grande Financial Services Inc., Oakhurst, NJ, (

What we've learned from the commonalities of financial aspirations, fears

It was April 8, 2020 at our home. It started with a severe headache. Then the sore throat came. Then I noticed I was unusually out of breath. In fact, if I walked up several stairs, very slowly, I had to sit in a chair to recover. Then my right lung had a pain that was nearly unbearable, which was followed by a fever. My G.I. system was completely off, and I now had a constant dry cough.

Why am I telling you this in what is supposed to be a practice management, financial column in a medical journal?

Please hold on for a minute, and you will see the amazing correlation between my frightening experience and your finances.

I’m over 70, and 12 years ago underwent open-heart surgery. These two factors put me in a high-risk category for not surviving COVID-19. I had been self-quarantined, for two weeks, before these symptoms began, so I was surprised, to say the least, that I was experiencing what seemed like the exact symptoms that were being talked about on TV every day.

I kept waiting to feel better the next morning, then the next morning came, and I would feel worse. At night I would lie in bed and look out our bedroom window, over the water to the bridge about half a mile down river, and watch the flashing lights on the ambulances as they went back and forth to the hospitals around us.

We live in NJ and it is one of the hot spots of the world for the virus. I can’t say I was in any kind of terror, but my mind pictured me being dropped off by my wife at the tents that are set up outside our emergency rooms and being wheeled into the infected hospital by people whose expressions I would not be able to see because of their masks. I even imagined being on a ventilator and quickly erased that thought. It was two nights in a row that I awoke around 2 a.m. with severe pains in both lungs when attempting to breath, and waking my wife, Traudy, suggesting we should go to the hospital.

I had a virtual conference with my wonderful GP and he looked exhausted and emotionally spent. He said he was losing many patients and his trips to the nursing homes were scaring him. He was feeling frustrated and helpless.

I asked if I should be tested, and he said that even if I came up positive, until I displayed very serious symptoms, e.g., blue lips, being incoherent, that there was nothing he could do. He felt I didn’t have the virus because I was able to talk to him without coughing between every sentence. I found myself trying to lift his spirits, as I had never seen him look so grim before. Give that man an award for bravery, please!

I’m happy to tell you that several days ago I turned the corner. I am not all better, after being sick for three weeks. Still feel like a Mac truck ran over me. My lungs are still a little sore, and I am tired, but I can feel the daily improvement. The fever, sore throat, and headaches are gone. Breathing is getting better. I don’t know if I had the COVID-19 or not. But, in all my years, I’ve never experienced these symptoms before.

So, where is the correlation I referred to before between my experience with this and finance?

I will tell you. I have always prepared for a health crisis. I walk daily, I eat properly, I lift weights, and I even run. I take any supplements that I feel will improve my immune system. In fact, on a good day, my wife and I will walk over 20,000 steps. (I’ve averaged under 200 steps a day the last two weeks.) When I fell ill these few weeks ago, it would have been too late to prepare for it. If I had not been strong and healthy, I may have gone to the hospital not to return.

It is the same thing with your finances. At a time of crisis, it is already too late to prepare for it. This must be done ahead of time.

Before I suggest how you might do this, let me first give you a few strategies to consider for right now since we are still in the middle of this severe contraction.

You could consider looking at your traditional IRAs and think about converting to a ROTH IRA when; a) your income may be lower, b) the IRA isn’t as large now as it was before the downturn.

Look at your losses outside of your qualified plans and talk to a tax advisor about tax-harvesting. Moving from one investment to another for at least 31 days to avoid the “wash-sale” move, and remaining fully invested in case the markets move up quickly. These losses can be carried forward indefinitely into the future to put money in your pocket.

If you have excess cash, consider slowly entering further into the market again as there are many quality stocks on sale these days that most likely will rebound in the future. But, never be more invested in equities than your plan dictates. Remember, “all boats float lower in an outgoing tide.”

See if interest rates would be lower if you refinanced your mortgages.

Rebalance your portfolio to bring it back to where it should be. This means shifting some of the funds from your fixed income over to equities, e.g., an originally 60% equity/40% fixed income portfolio could now be 50% equity/50% fixed income.

Getting back to how you should plan before such a “black swan” event occurs. It’s actually simple. Know where you are financially, where you want to go, have a plan that has the highest probability of success with taking no more risk than necessary to achieve your financial goals, and monitor it.

Then, stick to your plan. I’ll be honest with you; our clients have not been calling us, although we have been calling to check up on them. They have confidence that if they just stay the course they will be okay.

This experience, as most unpleasant experiences have been, has been a great teacher for me. One lesson I was reminded of: don’t panic.

This is no different than with the stock market; you can be concerned, you can figure out strategies, but panic will generally guarantee the wrong move. I’ve seen it, and I know it exists. I have learned that being prepared, protecting myself physically by being as fit as I can be, acts as an insulator against the unknown.

It is the same with investing. Adding some protection to your portfolio, even if it means leaving a small percentage of profits on the table, is prudent.

Greed, as is fear, are two emotions that will sabotage your financial security. I learned that planning ahead is always smart.

Back in January we had already ordered and delivered to our home, masks, hand sanitizers, water, food, and ways to get food without having to leave our home. We shared our stash with our family. Same with financial planning. Plan ahead of time for the unknown. Don’t be afraid to add guarantees to your portfolio.

In closing, this experience reinforced just how much I love life and living it fully. This includes my family, clients, friends, our travel, and the freedoms I took for granted. I find myself emotional when I speak to my kids on Zoom, as the love I feel for them is almost uncontrollable.

I never thought I’d actually have appreciation for breathing, but even that is a gift these last few days. Please be safe out there.

We will all get through this in time, be back to where we were several months ago before all of this horror unfolded around the world, and will be much wiser for it. We will be stronger for it. We will have learned from it.

We will all be more appreciative of every person in our lives and for every moment when all is well.

“This too shall pass,” but what a gift in retrospect. What a gift going forward.

John J., Traudy, and John S., and Grande, CFPs, are co-editors of the "Money Matters" column in 

 They are owners and principals of Grande Financial Services Inc., Oakhurst, NJ (

). The Grandes advise doctors across the country on a diverse range of investment and financial matters. Readers may submit their financial questions to them at john.s.grande@grandefs.com or call 800/722-1258.

John J. Grande, Traudy F. Grande, and John S. Grande are Registered Representatives offering securities through Cetera Advisor Networks LLC, Member FINRA/SIPC. Advisory services offered through Summit Financial Group, Inc., a registered investment adviser. Summit and Cetera are related and are under separate ownership from any other named entity. Registered Branch: 257 Monmouth Rd, Oakhurst, NJ 07755. Phone: 732/531-4111; toll-free: 800/722-1258. Website: 

Breathing through COVID-19: First-hand account in protecting one’s health, finances

By John J. Grande, CFP; Traudy Grande, CFP; and John S. Grande, CFP

Whether the news affecting the stock markets came from overseas economic issues, speeches by the Federal Reserve Bank, political unrest in the Middle East, decline in oil prices, or home-grown economic reports, investors are left unsure of just what to do.

Many investors-just out of fear-are contemplating or have exited the stock market, in part or completely. Pulling out of the stock market and waiting to re-enter it is called 

. The term is a strategic investment theory to predict future market movements that investors use to time their buying and selling decisions.

It is understandable that when markets are high, one would think of selling out at the top. Conversely, when markets are low, fear can persuade an investor to get out of the markets with the idea that stocks were heading lower–and perhaps on the way back up, they will re-enter the market again.

The problem with this strategy is that investors usually guess wrong because of either fear or greed being the catalyst for their move. When this is done and an investor guesses wrong, the cost of missing out on the upward market moves, or the best market days, can make a huge difference in their returns.

A widely cited study, called DALBAR’s Quantitative Analysis of Investor Behavior, compares investors’ average annual returns to market returns. The latest DALBAR study shows that over the 30 years that ended Dec. 31, 2014, the average equity investor earned 3.79%, while the market returns averaged 11.06% during the same period. The rational for this difference in returns is that the average investor timing the market incorrectly.

Look at the chart below. When investors miss just a few of the up days, the days the market turns around and retraces some of its decline will have a significant impact on an investor’s long-term returns.

Average investors miss out on performance in part because their money tends to come in near the top and come out at the bottom. When studying the stock markets back to the Great Depression in the 1930s, corrections are a normal part of market cycles and periods of high growth often occur very close to major pullbacks.

If investors are not in the market when it begins to move up again, they may miss a large gain. It is virtually impossible to accurately enter at the top or bottom of the market, especially consistently.

Our recommendation is to have a well-thought-out investment plan and stay the course. Naturally, there will be some shifting of asset classes and rebalancing of the portfolio, but we strongly suggest that investors stay the course.

What is more important than market timing is spending proper amount of time in the market. Having a disciplined investment strategy outlined in a well-defined Investment Policy Statement–with just the right risk and exposure to equities to meet an investor’s goals–this strategy is more effective than making emotional decisions.

Research and long experience have demonstrated that successful investing requires discipline and patient execution of a long-term strategy. In light of this year’s initial stock market decline, it is tempting to sell and head for the sidelines.

Actually, a contrarian approach might be better if an investor has cash available that is earmarked for the market, and getting in now rather than coming out of the market would be a better strategy.

John J., John S, and Traudy F. Grande, CFPs, are the editors of the 

 column. They are owners and principals of Grande Financial Services Inc., Oakhurst, NJ, (website: 

) and registered principals of Wells Fargo & Co., member of SIPC. The Grandes advise physicians across the country on a diverse range of investment and financial matters. 

Readers may submit their financial questions to them at

The views expressed in the Money Matters column are the views of Grande Financial Services, and should not be considered as investment advice. Grande Financial Services does not provide tax or legal advice. All information is believed to be from reliable sources, however, Grande Financial Services make no representation as to its completeness or accuracy. Past performance does not guarantee future results. Investing involves risk including the potential loss of principal.

Wells Fargo Advisors Financial Network, LLC, Member SIPC, is a registered broker-dealer and a separate non-bank affiliate of Wells Fargo & Company. Stocks offer long-term growth potential, but may fluctuate more and provide less current income than other investments. An investment in the stock market should be made with an understanding of the risks associated with common stocks, including market fluctuations.

Investment products and services are offered through Wells Fargo Advisors Financial Network, LLC (WFAFN), Member SIPC. Grande Financial Services, Inc. is a separate entity from WFAFN.

Author | John J. Grande, CFP

Articles

What can we learn from COVID-19?

What we've learned from the commonalities of financial aspirations, fears

Breathing through COVID-19: First-hand account in protecting one’s health, finances

Why market timing cannot beat a disciplined strategy