Tuesday, May 30, 2006
Investing on Faith
www.thestreet.com/_htmlbtb/funds/mutualfundmonday/10288261.html
Tuesday, April 11, 2006
Due Dillegence: Caring for Your Nets
When Christ told the fishermen to cast their nets to the other side of the boat, their nets were ready to be used. Are your nets ready for when you hear the voice of God directing you? What kind of research and due dillegence have you done? What use would have Christ's fishing guidance have been for the disciples if they had left their nets on the shore? They would have been ill equipred to listen to the voice of God. Are you prepared? Are you ready to hear the voice of God and to use the talents he has given you?
Jesus speaks of preparadness in the parable of the ten virgins, five which had brought extra oil for their lambs and five who did not and were not ready for when the bridge groom arived. How prepared are you?
In the parable of the talents, God gives each and every one of us certain talents and he expects us to use those talents and multiple them. These talents are like the nets or fishing equipment we have to be prepared to use them, we have to be prepared to cast our nets. Fishermen spend a great deal of their time preparing and cleaning their nets so that there are no dead fish or holes in the nets. It is our responsiblity as Christians to be responsible. Go to our workplace prepared for the coming day. There is no slacking. Due dillegence and time spent learning and growing is our responsibility.
God has given us our nets and expects us to maintain them an use them properly. Nets have a function, the function of a net is to catch fish. If you are in the stock market it is likely that God gave you that talent to analysing and picking stocks. While prayer is the foundation of stock casting we can't forget it is still our responsiblity to constantly fine tune the talents that God has given us and continue to develop them.
Monday, April 10, 2006
Pathfinder Meeting
I know many of you are getting very excited about our upcoming Pathfinders session on Tuesday, April 25th -- Grazia and I certainly are!!!!!
This is a reminder that we will be meeting up again in 2 weeks to discuss your results from the strengths finder test, how they support or compliment your current work or the work you are looking to do and how they align more broadly to your personal life and your spiritual talents / serving within the church.
If you have not started reading the book, DO NOT PANIC or worse, elect not to attend. We advised you take the test from the book Now Discover Your Strengths because we found it personally invaluable and we still encourage you to take the test, read through what your top strengths mean and then perhaps a chapter or two on the theory / methodology. But the most important task is taking the test. So please don't feel the pressure to read the book in its entirety.
Please RSVP with graziasorice@gmail.com between now and Friday, April 21, if you plan to attend so we can nail down the location. If there are fewer people, we may move venues to our apartment on the upper west side. Your cooperation in this is appreciated.
Looking forward to seeing you!
Best,
Grazia & Gian-Carlo
Thursday, March 09, 2006
The Power and the Glory
Success is independent of your employer. Daniel severed under more than one king and under each kingdom God raised him up. Likewise your success is independent of who you work for. Your success and your glory ultimately comes from above. Psalm 84:11 says, "The Lord will give grace and glory: no good thing will he withhold from them that walk uprightly." If God is giving you the glory, there is nothing wrong with it, as long as we don't fall into pride.
Embrace the power God has given you because like Daniel or Joseph it was probably for a purpose remember power also comes from above, Deuteronomy 8:18 says "Thou shalt remember the Lord thy God' for it is he that giveth thee the power to get wealth." In Ecclesiastes 5:18-19, "As for every man to whom God has given riches and wealth, and given him power to eat of it, to receive his heritage and rejoice in his labor, this is the gift of God."
Tuesday, March 07, 2006
When You Are Down, You Are Not Out!
When you are down and you don't know what to do and you are second guessing your every move, that is the time to take a step back and ask God to help you in the situation. God is a gentleman, he is not going to do the trading for you, but if you ask him he will lead you. In Proverbs 3:5-7(Peterson version) says, "Trust God from the bottom of your heart; don't try to figure out everything on your own. Listen for God's voice in everything you do, everywhere you go, he's the one who will keep you on track. Don't assume that you know it all."
In John 10, the Bible talks about the sheep knowing God's voice because they are "familiar" with his voice. It is important for us to familiarize ourselves with God's voice, so that when we are down and in need we are able to distinguish it from other voices. There are predominately three kinds of voices that we hear, our own voice, God's voice and the enemy's voice. The enemy's voice is typically the easiest to discern because it is usually going to suggest to us to do something that is a short cut that is ultimately corrupt and for selfish greed driven results. I would like to suggest that it is more of a challenge to distinguish between our own voice and that of God's. Many times God's voice doesn't make sense and is not necessarily rational. It is like Christ telling the fishermen to cast there nets on the other side of the boat. There is no rational reason for there to be any more fish on the right side of a boat than on a left side of a boat. Many times our own voice tells us what we want to hear. Our voice tells us what we think is going to be best for ourselves, however God knows better.
In order to familiarize ourselves with God's voice so that we listen to it when we are down, we have to practice being in constant communication with him. Try seeking Him in the little things in life and as you learn to listen to His guidance you will learn to hear him in the big things. Why do baseball players who have been playing for years still go to batting practice before a game? You would think that they have been swinging at balls for all there life and could probably skip batting practice, but they go to batting practice so that at the time of the game, when the distraction of the roar of the crowd and the pressure of the game is at its pinnacle, they don't take themselves out of the game, they go to the familiar. Our prayer life needs to be like batting practice. Praying is something we should be doing as often and as frequent as possible so that when the market is going against you and the pressure is on, you automatically go to your place of prayer and know how to hear God's voice.
Tuesday, February 21, 2006
Now, Discover Your Strengths
In the book "Now, Discover Your Strengths" Marcus Buckingham and Donald Clifton describe two major flawed assumptions.
1. Each person can be competent in almost anything.
2. Each person's greatest room for growth is in his or her areas of greatest weakness.
The truth is:
1. Each person's talents are enduring and unique
2. Each person's greatest room for growth is in the areas of his or her greatest strength.
To understand our strengths we must understand that one's strengths are made up of three things:
1. Talents are your naturally recurring patterns of throught, feeling or behavior.
2. Knowledge consists of the facts and lessons learned.
3. Skills are the steps of an activity.
The largest problem we all face is not knowing the strengths that God has given them and that causes them to spend 90% of their time in the market working on what they don't know, instead of what they are good at. If this is you go out and buy the book "Now, Discover Your Strengths" because in it there is a test that they give you that allows you to discover your strengths. Once you have discovered your strengths, focus on applying them over and over again to different problems confront in your analysis or trading.
Monday, January 30, 2006
The Number: A Completely Different Way to Think About the Rest of your Life
The "number" is a goal not a vision. It has an endpoint that give us comfort but also limits us. Unlike a goal, a vision is boundless. A number or goal is also usually selfish. It is about what I need, what I want, how I can live the rest of my life comfortably without a care in the world.
The Bible teaches us the opposite of carefree living, it teaches us that "those that cared for the least of those cared for me." The number limits our vision and is selfish in motivation. How much charity does our "number" have included in it? Whatever amount of charity it is probably not enough. I'm reminded of the ending scene in the Steven Spielberg movie "Schindler's List" where the main character Oskar Shindler realizes in the end even the little things he kept like his ring and his car were acts of selfishness when he could have saved more Jewish lives from the holocaust.
Bill and Linda Gates and Bono are examples of people who have visions not a "number". Neither of these individuals need to work another day in their lives. They have has many homes, yachts and islands to keep many generations happy, yet they press on. Why? Because if they once had a "number" they have long since surpassed it and discovered that there is more to life. I imagine attaining the "number" is like Dorothy in the Wizard of Oz realizing that there is no Wizard but an old man behind a curtain. Is that all there is? What is next?
Instead of creating a "number" or a goal, I like to think of my life work as mile posts that show me from where I've come and remind me that I'm still on the road but that there is a lot more road out there for me to travel.
Note: This blog entry is in no way a recommendation to buy or not buy "The Number by Lee Eisenberg. The sole intent and purpose is to think about how goals hinder our spiritual vision.
Monday, January 23, 2006
Stubborn: Don't Fight the Tape! Or Argue with God!
The portfolio manager was one of the smartest men I ever knew however, he was frequently to early with his ideas. While he was often correct, his timing caused him to endure a lot of pain as he waited for the market to catch on. He often found himself having to cut back on his positions and eventually would not make as much of a return as he could have had he been more patient an not so stubborn.
In "Stock Casting" we do our work and come up with a thesis just like this portfolio manager however, we listen to the voice of God and allow him to dictate the timing (See 1.10.05: The First Principle of Stock Casting: Listen). I have found that as I pray and seek the voice of God, the more he speaks to me in every aspect of my day.
Just the other day I was about to park my car in a parking space and I felt God tell me not to park it there. Just like my portfolio friend that was trying to fight the tape, I started to argue with God. My reason said this was a great spot, it was good until the end of the week and it was right in front of a well-lit Deli so I wouldn't have to worry about it being broken into. Later that afternoon, I walked by my car and the mirror on the side on the sidewalk side had been broken off. It was a very windy day and some siding from the deli blew off and struck my car. My stubbornness in the face of God telling me not to park there cost me $700 to replace the mirror.
God knows what is going to happen in the stock market and he knows what is best for us in every area of our lives so why not pray and listen to His voice? I found out that arguing with God is like fighting the tape; you're going to have to endure a lot of pain going against His will.
Fast forward to this Sunday, I slip out of the church service to go to the bathroom and while I'm washing my hands I feel God tell me to grab a bunch of napkins from the bathroom because someone is going to need it in the congregation. I think that is the silliest thing, why would God tell me to do that. But I figure if I'm practicing "Stock Casting" principles in my work place I better start practicing them in every aspect of my life, so I grabbed about 20 paper towels and stuff them in my pocket. As I'm returning to the sanctuary a woman runs out with a panicked look on her face, "Can you get my paper towels from the bathroom, I just spilled my coffee all over the floor of the sanctuary." I was in shock, I reached into my pocket and handed her the paper towels, as she ran back inside I realized she was actually seated in my row and her coffee was starting to spread toward my bag laying on the floor. If God is interested in telling me about my bag that is about to get drenched with coffee, and my car that is about to be damaged, I believe he is also interested in guilding me in my investment decisions.
Tuesday, January 10, 2006
The first principle in Stock Casting: LISTEN
The trader, being a good trader cut the chase and asked the practical question. "How do we do that?" Being an analyst, I pulled out my excel spread sheet and began to describe the equation for hearing God's voice (I'm joking).
If you feel the same way don't feel bad, because you are not alone. We all have difficulty discerning the voice of God. The first couple of times Samuel heard the voice of the Lord he had the same problem, he didn't know who was speaking. At first Samuel thought the voice calling to him in the night was that of Eli his master.
In Stock Casting we basically struggle with discerning between three voices; our own voice, God's voice and that of the enemy. The easiest voice to discern is that of the enemy, his suggestions while often enticing are usually very short sighted and involved cutting corners and they usually feed our pride because they are driven by greed.
The real challenge is discerning between God's voice and our own. This is a learning process. It starts by turning the voice in your head into a prayer. What do I mean by this? We all have these thoughts that come into our head. Sometimes those thoughts are our own and sometimes they are God speaking to us. Whenever I have a thought that I think is a good idea I immediately turn that thought into a prayer. God is this you? It may sound simple but the results may surprise you.
Thursday, January 05, 2006
This Stock Will Change Your Life
Isn't why were are all in this business? To find that one stock that will pay for our grandchildrens' education? If you missed getting into Google (GOOG) at the ipo, waiting for the next stock that can change your life can be like the Samuel Beckett play "Waiting for Godot" It happens once in a lifetime and usually we are not prepared for when it does occur.
I recently was introduced to Scott Harrison a photojournalist who had a life changing experience with a stock. The stock that changed his life was Google's arch rival Yahoo (YHOO). While still in college, Scott decided to make a very risky move and took all the money is father had saved for his college tuition and he opened brokers account. With that money he shorted Yahoo (YHOO). Unfortunately for Scott his timing couldn't have been worst, shortly after making his bet, Yahoo started its ascent to $300 a share. The impact this stock had on his life was not the one he had hoped for. Scott lost it all.
In retrospect Scott would likely agree that his actions were similar to putting his money on black at the roulette wheel in Vegas. So why do I share with you Scott reckless behavior? What impressed me about Scott's story was how he rebounded. A blow like this would impact most people beyond recovery, but not Scott. In order to make the money back without his father finding out, he started working nights promoting clubs in NYC. Soon thereafter Scott became one of the most celebrated promoters in New York. Scott was able to recover all the money he had lost and then some. Scott entry into the NY club scene was not the best for his spirit but he has now walked away from that world to fulfill his promise to God to dedicated a year of his life working as a volunteer photojournalist on a hospital ship called, the Mercy Ship.
So did a stock change his life? Yes but it is not quite the fairy tale story he was hoping for. Instead his story is that of one where his character was challenged and in the end he was an overcomer. If his stock investment had a different outcome would his character held up to the challenge? Everyone is looking for a quick fix something that will make us rich overnight, but very few are ready to deal with the consequences of investing in a life changing stock.
As analyst on Wall street I always get people asking me for stock advice. I like to ask people what they would do if they actually invested in that life changing stock what would they do with the return. Many of the answers are very similar to what people say they would do with the money if they hit the lottery. If you invested in that life changing stock would your character remain in tact? Would you do the right thing? If you are looking at stock casting or investing like a lottery ticket you have got it all wrong. It is this attitude that will cause a person to sacrifice their character for a quick return, maybe even cut corners that are unethical at best and maybe even illegal.
Stock Casting is about seeking God first in everything including our investments. Maybe one day you will invest in a stock that will change your life, but until that day, the more important question is what will you do when that day comes. Will you let your character shine or will you crumble to temtation and greed?