In the depths of the financial crisis of 2008, I was very discouraged about my ability to invest wisely. At the time, I was focused on a portfolio of companies my firm had bought at my recommendation. The survival of many of our companies was on a knife’s edge. Decisions had to be made about which companies to support through the crisis and which to let go. I was very stressed and wondering whether this career was really for me.
I tread carefully here, for I do not recall the details of the reference I'm about to make, but the Talmud tells us something about advice, too, and if memory serves me correctly (make that IF), the point was to not water down advice for others in order to be more cautious on there behalf, thereby possibly costing them some missed opportunity. The example was something like this: If you give me money to invest for you, I should not invest it more conservatively than I would my own, for I might be costing you the same profit I would make and that would be doing you a disservice. To the contrary, I should invest your money as I would if it were mine, neither more or less conservatively.
I was thinking about investing advice. I think it's a good example of how different circumstances dictate different levels of risk/reward of how to invest.
That said, i agree that being entrusted with investing someone else's money should not by itself make the investment plan more conservative.
I tread carefully here, for I do not recall the details of the reference I'm about to make, but the Talmud tells us something about advice, too, and if memory serves me correctly (make that IF), the point was to not water down advice for others in order to be more cautious on there behalf, thereby possibly costing them some missed opportunity. The example was something like this: If you give me money to invest for you, I should not invest it more conservatively than I would my own, for I might be costing you the same profit I would make and that would be doing you a disservice. To the contrary, I should invest your money as I would if it were mine, neither more or less conservatively.
I was thinking about investing advice. I think it's a good example of how different circumstances dictate different levels of risk/reward of how to invest.
That said, i agree that being entrusted with investing someone else's money should not by itself make the investment plan more conservative.