The Biggest Typo of All: That’s Buffett, With Two Ts

A Wendy’s Wednesday Whimsy

This week’s Whimsy is going to be short and to the point. Having edited evidence-based advisors’ work since 1998, I’d be an independently wealthy writer indeed if I had a nickel for every time Warren Buffett has been referenced, quoted, cited or shared in our communications.

As beloved as the man seems to be in our community, you would think we would at least spell his name correctly.

Quite the opposite. I estimate that I’d nearly double my wealth if I also received a dime for
every time I needed to add the second “T” to the end of his name: Buffett, not Buffet.

I haven’t actually kept score, but it is the most consistently common correction I’ve made during my career – by far. That includes figuring out whether it should be “who” or “whom.”

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This is a buffet.

It’s also a more serious error in my estimation. I’d rather see your readers forgiving you for not being sure whether it should be “its” or “it’s” than catching an error that suggests you’ve confused the Chairman of Berkshire Hathaway with an all-you-can-eat food bar.

Here are a few more handy associations to help you remember Mr. Buffett’s name:

  • Think of him as “Tea for Two.”
  • He’s such a great big name in our business, he deserves all the letters he can get.
  • He’s twice the guy most of the rest of us are.
  • Two Rs, Two Fs … might as well make it two Ts too.

Last but not least, when in doubt, double itt.

Free Stuff, from Me to You


You know those “free offers” we get deluged with daily? My common refrain for 99% of them is:
Just because something is free doesn’t mean it’s worth the price.

That said, I’d like to think that my free stuff is the 1% exception – worth every penny and more.

Several of you who read last week’s Whimsy, figured out that you could retweet or share my post among your social media connections, and come as close to a (probably) compliant investor testimonial as a Registered Investment Advisor firm can ever hope to get.

www-web_optimizedYou can still do that if you haven’t yet.

Retweet it on Twitter

Share it on LinkedIn

Share it on Facebook

Plus, I’ll do you one better. For this week’s Whimsy, I’m pleased to share a newly created, non-branded PDF handout based on last week’s post, for you to reprint and share with your peeps. Visit my website’s new Free Stuff page, and you’ll be able to download a copy from there.

There is one catch. I’ll ask you to subscribe to my e-newsletter to complete the download. That way, when I offer more worthy free stuff in the future, you’ll be sure to hear about it.

That’s it. Otherwise, it’s free, $0.00, nada. (If you’re already subscribed to my e-newsletter, go ahead and fill out the sign-up form anyway to proceed to the free download; don’t worry, you will not end up receiving duplicate e-mails.)

Oh, and one relatively non-whimsical but critical caveat: Please consult with your compliance team on proper use for your firm.

Why Even I (Especially I) Need an Investment Adviser

A Wendy’s Wednesday Whimsy 

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Hire an Adviser or Do It Yourself? If ever there were a promising candidate for a DIY approach, it would be me.

That’s not always been so. When I embarked on my investment journey around 1990, I was just a typical investor about to enjoy a tech-boom-fueled run in the markets. Then, in 1998, I happened to accept a position at Buckingham Asset Management, where I was introduced to a new way to invest. I’d written about healthcare, libraries and pet care products. Why not finance? I knew as much about investing as the next person.

Which is to say, I knew nothing.

In what turned out to be one of the luckiest breaks in my life, I heeded the advice of my new employers and shifted my scattered stocks into a portfolio of Dimensional Fund Advisors funds. I didn’t really know why, but to be a team player, I took a leap of faith.

Continue reading “Why Even I (Especially I) Need an Investment Adviser”

Fantastic Facts That Are Stranger Than Fiction

www-web_optimizedAs part of my daily routine, I keep an eye on a variety of news sources for ideas and inspiration. There’s the financial beat, of course, but I also have been known to wander farther afield, since I never know where the next “Eureka” is going to be. There’s wonder to be found in whimsy, any day of the week.

Here are a few of my favorite finds that seem too fantastic to be true … but they are. You may find them handy for using in a post of your own sometime.

Continue reading “Fantastic Facts That Are Stranger Than Fiction”

Thou Shalt Not Testimonial (Or Shalt Thou?)

www-web_optimizedLast week’s launch of WWW (Wendy’s Wednesday Whimsy) was some fun. And it quickly generated an idea for this week’s post, when one U.S. adviser commented: “I noticed that [the] site includes testimonials, which is verboten here. Lucky him.”

Lucky indeed. Advisers who are based abroad may not know that U.S. Registered Investment Advisor representatives are strictly prohibited from including client testimonials in their advertising (website included). Thou shalt not testimonial is set in regulatory stone here; woe be unto the adviser who violates this commandment.

Flip that around, and many U.S. advisors may not realize that our prohibition on client  testimonials is not universal. In Canada and the U.K. (at least), they are A-Okay.

Continue reading “Thou Shalt Not Testimonial (Or Shalt Thou?)”

What Should You Say About the DOL’s Ways?

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© Can Stock Photo Inc. / damedeeso

While the Department of Labor’s fiduciary ruling is not any sort of death knell (unless, perhaps, you’ve been peddling some seriously toxic investment products), you might think it was, given last week’s glut of headlines in the financial press. I’ve seen all five of Kübler-Ross’ famed stages of grief on exhibit: denial, anger, bargaining, depression and, ultimately, acceptance.

I have experienced these myself. For some time, I doubted that the DOL would ever achieve a ruling. When they actually did, I was angered by some of the last-minute holes that were blown into what could otherwise have been a more solid fiduciary stronghold. While I am in no position to bargain with the DOL, I debated with myself, mulling over shifting moods on whether the ruling was a good or bad thing for investors.

In the end, I have accepted that we should think of the ruling as a modest victory for investors and that, by and large, you should communicate it as such to your community.

Continue reading “What Should You Say About the DOL’s Ways?”

Matt Hall’s “Odds On” — Turning an Investor Chump Into an Evidence-Based Investment Champ

Matt Hall, Odds On Author“How did you find evidence-based investing?”

This is a question I often ask advisors. The answer usually involves a journey that begins with a broken brokerage-house gig before the fiduciary-minded find their financial footing in a finer place.

You’re probably all too familiar with such stories. Still, it can be challenging to share them with investors who struggle to understand the essential difference between financial business as usual, versus what YOU have to offer.

Fortunately, evidence-based advisor, and now author Matt Hall has just provided a new book to help you share this critical message. Due for release in early April, “Odds On: The Making of an Evidence-Based Investor” relates Matt’s journey from stock-picking chump to evidence-based investment champion. Your own tale may vary, but once investors hear it, it’s usually only a matter of time before those who understand what it can mean to them want to know how they can join our ranks.

Matt’s book can cue up that conversation for you. Or, if you’ve always wanted to successfully publish material about your own experiences, he offers some first-hand advice in our Q&A below. Enjoy.


Your new book, “Odds On: The Making of an Evidence-Based Investor” is about to hit the newsstand. What inspired you to write it?

It’s absurd how excited I am about it coming out April 12th! The feedback from the early reader group has blown me away and gets to the heart of why I did this – I want the message of our approach to stick! Remember the book Made to Stick by the Heath brothers? I’ve been haunted for years by the fact that not everyone embraces an evidence-based investment approach. In my experience many people give up on reading about how to improve their financial lives because of the wonky technical jargon. The question I knew I could answer – Can we bury the technical inside of stories? – allows the essential investment message to get through to a bigger audience.

Continue reading “Matt Hall’s “Odds On” — Turning an Investor Chump Into an Evidence-Based Investment Champ”

Client Communications and Current Crises: What’s an Advisor To Do?

Hero Image

The New Year’s market volatility gives me an excellent opportunity to explore a question I am frequently asked by evidence-based advisors:

When the markets are having a bad day (or few), should I reach out to my clients right away, or hold off until the results are more clear?

I get that there are a number of reasons it may seem logical to pause and reflect before sending out client communications in the midst of a market crisis:

  • You might inadvertently generate anxiety where none existed. If you’ve done your job, they should already be remaining calm.
  • If your clients haven’t noticed the crisis or they don’t care about it, they already are best positioned to adhere to their long-term, evidence-based plan. Why mess it up?
  • Either making too light of breaking news or analyzing it too deeply could backfire on you if the markets render your comments obsolete or just plain wrong.
  • Reacting to breaking news may feel contrary to your evidence-based philosophy. Are you sending the wrong message by implying the news matters?

Go Ahead, Hit the Hero Key

So, yes, I can understand why you may be reluctant to be in touch with your clients during market crises. But here is why I believe that none of these bullet points should prevent you from doing so anyway.

Continue reading “Client Communications and Current Crises: What’s an Advisor To Do?”

Ensuring the Evidence Is Evident

© Can Stock Photo Inc.
© Can Stock Photo Inc.

As I’ve covered in past posts, it takes years of painstaking academic inquiry to gather the right data and perform the right analyses to support your evidence-based investment strategy. Then, there’s step two: Effectively communicating what you’re doing to everyday investors. As fond as I am of the written word, data visualization – those tables, charts and graphs that accompany your prose – is also essential to ensuring that investors internalize the “what” as well as the all-important “why” that will help them stay the course in turbulent times.

Data visualization is for sharing data in ways that our dominant sense — sight — can readily interpret. Or, as Edward Tufte, an early leader in data visualization, says, data visualization occurs when “clear and precise seeing becomes as one with clear and precise thinking.”

A few years ago, to learn more about data visualization, I attended a Visual Business Intelligence workshop offered by Stephen Few of Perceptual Edge. Few, an author and expert in applied data visualization, cuts to the essence of effective delivery with a three-step process:

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Evidence-Based Investing and Adviser Gray Matters

For years, advisers like you and service providers like me have been defending evidence-based investing against the opposite of it: Active vs. passive. Alpha vs. beta. Rational vs. emotional. Scientific vs. speculative. Market timing and stock picking vs. risk factors and diversification.

Evidence-Based Investing Gray Matter
© Can Stock Photo Inc.

Evidence-Based Advances

Call it what you will, ours has long been a relatively black and white conversation about “us” vs. “them.” It’s a conversation we’ve gotten good at too, as we state the case for keeping market efficiencies high, unnecessary expenses low and human emotions in check. By keeping our message loud and clear through the years, we’ve been winning over an increasing numbers of investors, fellow advisers, fund providers and even the financial press.

So, congratulations, we’re winning! That’s good news. But I believe it’s also the fuel that’s igniting a new communications challenge. Our black-and-white messages may no longer suffice. These days, expect a finer shade of gray in your conversations, with more nuanced variations on the theme of active vs. passive investing. Continue reading “Evidence-Based Investing and Adviser Gray Matters”