SET ANOTHER PLATE- THE FAIRY GODPARENTS ARE COMING!

Neal A. Deutsch, CFP^®

Published in Rivertown Journal, May 2009

As a Financial Planner who has been in the “public eye” for many years, I find myself doing quite a bit of traveling- both giving or attending seminars and workshops with wonderful people like you. I recently found myself in Toronto for a few days attending a learning seminar (hey- my motto is “learn something new every day) and returning from the Toronto Airport. While we don’t think of Canada as foreign travel very much, the fact is that airports in countries other than ours have different rules and customs. As such, I found myself somewhat turned around and looking for my gate. Finally, I was told to walk to the end of the terminal where all of the American flights were departing. After a long walk, I looked up and to my delight, saw a huge American flag hanging from the ceiling, signifying where the flights to the USA were. At that moment I experienced a feeling of warmth and security, knowing in a minute as I passed through customs, I would be back on US soil and safe once again in my country. Patriotism and the motto “Proud to Be an American” never meant so much to me at that moment.

While traveling wherever I am, I am inclined to talk to anyone I can who is native to the area to see how the local economic conditions are, and how they compare with ours here at home. In the past 30 days since my last column, I have been on a few  islands in the Caribbean as well as Canada- and the conversations are essentially the same. Retail is down with consumers being careful as to how they utilize their income, large purchases diminished, and an overall quieter take on life. Everyone is watching their pocket book, 401(k) and real-estate values. In short, that which we are experiencing here at home is being experienced in everybody’s home, where ever in the world you are. While I have no magic formula to restore your portfolio or raise the value of your home, this month I have a clear message for you all:

Down is good.

Wait- bear with me- I’m really not loosing it! When the Dow was at 14000- if your fairy godmother could wave a wand and let you put money into your 401(k) at the prices that we had at an 8000 level, would you have thought twice about it? If your fairy godfather could wave his wand and cut the price of your Florida fantasy second home by half, would you jump on it? Ya’ getting’ it yet?

While erosion of investment accounts is paramount to you and everyone else around you, studies have shown that the number one issue with the public is service. Now is the time to evaluate who your trusted advisor is, and how they have taken care of you in this trying time. Are they in contact with you regularly? Have they done a review with you periodically throughout this trying time? Most importantly- do you feel confident that they are in your corner regardless of the economic climate and have your interest at heart? If not, it’s time to re-evaluate.

I’m not big on clichés: “It’s always darkest before the storm,” yada, yada, yada. But it is true, as my wonderful Elizabeth is prone to say, “When one door closes another one opens.”  Check the back door…opportunity may just be knocking. Think about it. Give me a call…let’s walk through the door together.

Neal A. Deutsch is a Certified Financial Planner^™  & Registered Securities Principal, offering securities through First Allied Securities, Inc., member FINRA/SIPC.  Neal is President of Chestnut Investment Group in Suffern, NY, helping people with financial planning since 1984. Please feel free to call Neal at 845.369.0016 or email him with your questions at neald@chestnutinvestment.com. Visit his website at www.chestnutinvestment.com