Invest in Futures?
By Steve Gahagen
Many amateur investors got burned in the recent oil plunge. Those who invested in oil futures may have lost everything and even more as they realized there was no demand and no place to store the oil that was under contract. The fine print in the futures was important.
Almost all of us, who didn’t have access to warnings about the impact of the COVID-19 crisis, lost substantial amounts in our savings and retirement accounts. It was a plunge of historic proportions. I still haven’t had the courage to check my balance.
The financial crisis was a wake up call that life can change quickly and what we thought we had under control was not under our control. Investments are always a risk and can be lost.
The crisis reminds me that our most important investments are those we make in the stories of people - also investments in futures. However, investments in the stories of others are investments that live on. Whether we invest in our employees, our kids, the homeless, or in young people who have the odds stacked against them, it is these investments that give life meaning and add to our own story.
My wife, Jane, and I have prioritized investing in the stories of other people over our retirement accounts. That sounds foolish, but we haven’t been irresponsible. Although my children might have a different opinion if they have to take care of us someday.
The consolation of the recent financial crisis is that our investments in the stories of people live on as they too invest in others. Writing our greatest story is always about investing in the future stories of others.
Questions to Consider:
In what ways are you investing in the stories of others?
Are you mentoring someone? If not, who could you mentor and invest in?
List three people who have made a significant investment in you at some point in your life. If they’re still alive, let them know. They’ll be glad that they have investments that live on.