Thoughtful Financial Planning

Every investor wants their portfolio to perform well, but what does "well" really mean? Many people measure success by whether their portfolio is beating “the market,” often defined by popular U.S. stock indices like the S&P 500 or Nasdaq Composite. After all, if your investments are outpacing the crowd, that must mean you’re on the right track, right?

Not necessarily. Relying on a stock index like the S&P 500 only tells you how your portfolio stacks up against 500 of the largest U.S. companies. It doesn’t provide insights into other assets you may hold, like bonds, alternative investments, or international stocks.

Just as a GPA doesn’t capture the full scope of your academic abilities, or a BMI doesn’t fully reflect your health, relying solely on popular indices won’t give you a complete picture of your financial health or progress toward your goals. A personalized “custom benchmark,” based on a well-thought-out financial plan and tailored asset allocation, is a far better measure of success.