Harvest

Autumn has always been one of my favorite times and not just for the colorful palette in nature.  To me, it’s always been the return of many exciting “seasons”.  It’s football season, festival season, for some hunting season, and for all the approach of the holiday season.  For a time, I worked in agriculture and welcomed the celebrated harvest season, when risks finally bore out the rewards of reaping what was sown and tended.  On a recent trip through south Alabama, I passed many fields, some recently harvested, some nearing maturity, and I reflected on how a prudent investment strategy resembles the annual cycle of planting, nurturing and harvesting.

 

How can we align the lessons of agriculture to your investment strategy?

 

Being a good steward over investments is a lot like an orchard keeper faithfully tending the orchard.  Once planted, and tended well through good and bad times, the regular harvest sustains and prospers the orchard keeper for many years.  If properly planned, many generations will benefit while creating a blessing for others besides.

 

This very simple philosophy of creating regular harvest opportunities in a portfolio, called cash flow investing, has been somewhat hijacked in the last few decades by the concept of “growth” investing.  Interestingly some investors are willing to trade off steady cash flows for the allure of bigger, yet more uncertain, “gains” over the long run. The concept of stewarding surpluses should cause us to take pause at the idea of this trade-off.  A steward may weigh prudent risks/return tradeoffs but should certainly seek to eliminate as many unknowns as possible.  An increase in one’s time horizon doesn’t mean one should speculate how markets will behave or even arrive at a certain point.

 

My good friends and colleagues at Camelot Advisors, who provide 95% of investment management for my clients, specialize in cash flow investing. I hope you will take time to watch this related video about the ideas I’ve shared.  For those clients who allow myself and Camelot the privilege to continue to help you steward the surpluses you have entrusted to us, we thank you.

 

Disclosures

“This material is intended to be educational in nature, and not as a recommendation of any particular strategy, approach, product or concept for any particular advisor or client.  These materials are not intended as any form of substitute for individualized investment advice.  The discussion is general in nature, and therefore not intended to recommend or endorse any asset class, security, or technical aspect of any security for the purpose of allowing a reader to use the approach on their own.  Before participating in any investment program or making any investment, clients as well as all other readers are encouraged to consult with their own professional advisers, including investment advisers and tax advisors.  Camelot Advisors can assist in determining a suitable investment approach for a given individual, which may or may not closely resemble the strategies outlined herein.”

 

“Different types of investments involve varying degrees of risk, and there can be no assurance that any specific investment will either be suitable or profitable for a client’s investment portfolio.”

Submit a Comment

Your email address will not be published. Required fields are marked *

STEWARDLY FINANCIAL ADVISORS WEBSITE “LEGAL DISCLOSURE”

Stewardly Financial Advisors d/b/a Camelot Advisors LLC (“Stewardly”) is located in Alabama. Stewardly and its representatives are in compliance with the current registration requirements of the United States Securities and Exchange Commission and those states in which Stewardly maintains clients. Registration as an investment adviser is not indicative of any level of skill or training. Stewardly’s website is limited to the dissemination of general information pertaining to its investment advisory services. Accordingly, the publication of the Stewardly website on the internet should not be construed by any consumer and/or prospective client as Stewardly’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the internet. Any subsequent, direct communication by Stewardly with a prospective client shall be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides. A copy of Stewardly’s current written disclosure statements discussing Stewardly’s business operations, services, and fees is available from Stewardly upon request. Stewardly does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to Stewardly’s website or incorporated herein, and takes no responsibility thereof. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.

Past performance may not be indicative of future results. Therefore, no current or prospective client should assume that future performance of any specific investment, investment strategy (including the investments and/or investment strategies recommended by Stewardly) or product made reference to directly or indirectly by Stewardly in its website, or indirectly via a link to an unaffiliated third party website, will be profitable or equal the corresponding indicated performance level(s). Different types of investments involve varying degrees of risk, and there can be no assurance that any specific investment will either be suitable or profitable for a client or prospective client’s investment portfolio. Historical performance results for investment indices and/or custodial charges, the deduction of an investment management fee, nor the impact of taxes, the incurrence of which would have the effect of decreasing historical performance results.

Certain portions of Stewardly’s website (i.e., newsletters, articles, commentaries, etc.) may contain a discussion of, and/or provide access to, Stewardly’s (and those of other investment and non-investment professionals) positions and/or recommendations as of a specific prior date. Due to various factors, including changing market conditions, such discussion may no longer be reflective of current position(s) and/or recommendations(s). Moreover, no client or prospective client should assume that any such discussion serves as the receipt of, or a substitute for, personalized advice from Stewardly, or from any other investment professional. Stewardly is neither an attorney nor accountant, and no portion of the website content should be interpreted as legal, accounting or tax advice. Correspondingly, each client and prospective client agrees, as a condition precedent to his/her/its access to Stewardly’s website, to release and hold harmless Stewardly, its officers, directors, employees and agents from any and all adverse consequences resulting from any of his/her/its actions and/or omissions which are independent of his/her/its receipt of personalized individual advice from Stewardly.

To the extent that any client or prospective client utilizes any economic calculator or similar device contained within or linked to Stewardly’s website, the client and/or prospective client is advised that the information resulting from the use of any such calculator/device, is not, and should not be construed, in any manner whatsoever, as the receipt of, or a substitute for, personalized individual advice from Stewardly, or from any other investment professional.

×