The Sunday Best (12/9/2018)
The Sunday Best is a collection of articles I’ve curated for your reading pleasure.
Presenting, this week’s Sunday Best:
I wrote about burnout for the first time in a couple years this week. Physician Sense is talking about a different kind of burn. Why You Should Set Your Money on FIRE: How Financial Independence and Retiring Early (FIRE) Can Work for Physicians
FIRE can work for physicians, but not if you’re taking on debt to support your lifestyle. Our friend Steve from Think Save Retire has thoughts on this phenomenon. High-Income Debt: Why High-Income Earners Still Struggle to Build Wealth.
A number of docs who don’t want to be dull have made the conscious choice to work less. Crispy Doc and I are among them, and he’s featured several more in his interview series.
- Docs Who Cut Back #1: Vagabond MD
- Docs Who Cut Back #2: Hatton1
- Docs Who Cut Back #3: XRAYVSN
- Docs Who Cut Back #4: B.C. Krygowski
Continuing on a theme, the mohawk-rocking J. Money from Budgets are Sexy, whose blog is on sabbatical through the end of the year, shared a guest post from Marc at Vital Dollar. 40 Money Lessons Learned in 40 Years on This Earth.
I may have been the first doctor to tout the benefits of geographic arbitrage for physicians, but I’m not the latest. That would be Smart Money MD who has been Weighing the Geographical Arbitrage Scale for Physicians.
If you want to be a millionaire, geographic arbitrage can help you punch your ticket. Learn how these five millionaires made their money in their interviews with ESI Money.
- Millionaire Interview #91
- Millionaire Interview #92
- Millionaire Interview #93
- Millionaire Interview #94
- Millionaire Interview #95
The Market is Down. This is Not Abnormal.
When the market gains 5% or 6% in a good week, you don’t hear a lot of “what should I do now” chatter. But when it loses that much, the noise can become deafening.
Part of it is due to a lack of experience. For some, it may be insufficient memory. The market dropped as much or more early in 2018, and in most years prior, even during this nearly ten-year bull market.
Where do things go from here? I don’t know. Those who portend that this is the beginning of the next big bear may prove to be right. Or not. And if so, this is probably not the first time in the last ten years they’ve made such a statement. Some have been sounding alarm bells since 2011, and we’ve had a fantastic run since then.
What am I going to do? Nothing different. Stay the course. Perhaps I’ll be investing in funds at reduced prices. Or not. A quick rebound would not be a surprise, either.
I won’t be altering my asset allocation or looking for “safe havens.” Successful market timing requires multiple correct calls. When to get out, when to get in, and to what extent. Times like these are a good time to have an IPS to refer to if you’re having any doubts.
A few people on Twitter have been quick to point fingers at index fund investors, saying “I told you so” as the market is slightly down for the calendar year, as if such an event is completely unexpected.
The stock market loses money for us nearly 1/3 of all years. The gains in the good years more than make up for it. A down year is not surprising or unexpected. Whether we end the year up or down, we expect volatility.
It hasn’t been as placid a year as 2017, but the ups and downs we’ve been seeing could be called “normal accidents” in a complex system, as Ben Carlson recently described them.
While it may not feel normal, this is not abnormal.
Join a Mastermind Group
In the fall of 2017, I was approached by a couple people I respected, asking if I wanted to be a part of a Mastermind group.
I said “Yes.”
Then I said, “What’s a Mastermind group?”
Apparently, the concept was introduced by Napoleon Hill in his 1937 masterpiece Think and Grow Rich. While uncommon among those of us in the medical world, these groups are commonplace among entrepreneurs looking for advice and support while growing their businesses and reaching set goals.
The idea is you get a diverse group of individuals together to share best practices, current challenges, ask questions, and lend expertise.
I’ve been a part of a Mastermind group with bloggers and podcasters from around the country, and we log in for a video chat every other week. I’ve learned a ton in these sessions from others who have been successful in various ways, and I’ve been able to help other Mastermind members on occasion with tips that I’ve picked up these last few years.
Who would benefit from a Mastermind group? If you’ve got an entrepreneurial side hustle, you could learn from others doing something similar. Private practice physicians could share best practices from docs around the country who are not competing in the same patient population.
A Mastermind group could consist entirely of people you know in real life or it could be people you’ve only known online or have never met in any capacity. All you really need are people who are willing to listen, teach what they know, and be supportive of one another.
How do you find a mastermind group? My friends Sean and Eric want to make it easier for you to take your business to the next level. They’ve created an online platform where you can search for mastermind groups, create mastermind groups, and participate in them via the tools on their site.
That site is mastermindhunt.com. Currently, most of the groups currently created on the site are for online content creators, but as the membership grows (it was just launched this fall), I expect the breadth of topics will grow.
You can, of course, set up a mastermind group independent of any particular platform. You’ll need the group of people, a place to chat (Slack works well) and preferably a video chatting platform (I’ve used Skype — it works so-so).
Whichever way you go, I strongly recommend a Mastermind group as a way to put your side gig or main business on a faster track to success. If you do opt for mastermindhunt.com, coupon code pof will give you the first month free. After that, membership is under $5 a month.
Have a Masterful week!
-Physician on FIRE