How financial investing is like being a pilotInvestor Behaviors
Investing in your financial future can carry its own share of risks and rewards. Whether you’re rolling over 401(k) into an IRA or tracking your portfolio activity, it’s easy to be overwhelmed by investing jargon, turbulent market activity, and navigating the storms of life. You want the most trustworthy, smoothest journey to your financial destination to enjoy the life you want to live.
Airline pilots face the same type of challenges as financial investors. Think of the last time you looked inside an airplane cockpit. There were countless levers, knobs, switches, and gears, even some directly above the pilot’s head. Every pilot started as a student: they didn’t know all the intricacies and importance of each instrument, let alone how to navigate the skies, without the guidance of a flight instructor.
A flight instructor, like a financial advisor with an investor, gives the insight, education, and resources necessary to help a pilot master their craft. As you gain more familiarity with mutual funds, types of retirement accounts, and other financial vehicles, you will learn the “levers” of financial investing. A financial advisor knows what market environments require more attention and how to weather the ups and downs of your financial journey similar to a flight instructor coaching an inexperienced pilot on difficult flight patterns.
Different planes also demand specific pilot skill sets and expertise. An F-16 fighter and a four-seat Cessna 172 Skyhawk both need a skilled pilot and are capable of flight. However, it’s obvious both aircraft require two different levels of expertise. A financial advisor is trained to operate a variety of financial investment tools and their instruments.
A pilot also knows what type of plane is safe to use. A smart pilot knows not to trust any aircraft with a high level of risk and potential disaster. A pilot will consider an aircraft’s history of performance, its configuration, industry reputation, and other essential variables. In the same way, you as the financial investor can learn what investment types are riskier than others to invest in for your financial future. Without a qualified flight instructor, an inexperienced pilot can encounter potentially deadly situations.
Our team of advisors at American Portfolios Denver can help you navigate your financial journey to reach your financial destination. We have the knowledge, resources, and expertise necessary to assist you in pursuing your financial goals. Click here to schedule a meeting with one of our advisors at American Portfolios Denver.