Opinion: 5 steps to unwinding the ghosts of your investment mistakes
December 23, 2019 by Chris Mamula
“I told you these were shadows of the things that have been.That they are what they are, do not blame me!” — The Ghost of Christmas Past from Charles Dickens’ “A Christmas Carol”.
I frequently hear from readers haunted by past investments. Many of you are trying to build an investment portfolio that meets your current goals, needs and ideals while trying to figure out what to do with these remnants of the past.
After reading our blog and others like it, you realize that a simple, low-cost, tax-efficient approach to investing is the best approach for most people. Choosing a few index funds, or maybe a single target-date fund, combined with an appropriate savings rate will get most readers to the secure retirement numbers they desire.
Unfortunately, for many that realization comes after years or even decades of investing. Many of us have a hodge-podge of investments accumulated over time. We were sold products by financial advisors, tried our hands at stock-picking schemes, or threw darts at the myriad selections in our 401(k).