Weekend Papers Impressions of Persistence

It has been another busy week, quite a bit of last minute end of tax year planning and some horrific stories. The markets have had another set of wobbles.. perhaps a sell-off in response to high valuations, or problems in

[fill in the gap!] or of course people doing their end of year capital gains tax planning. If you are invested, then it probably doesn’t really matter, unless you planned to withdraw from markets this week, last would have been better… such is life. The truth is that most people are long-term (life-long) investors, so current trouble (which is ever present) is simply something that we live with and plan for. My job is to keep you focused on what is actually important and not get distracted by the noise that fills our daily experiences.

Persistence is a key aspect of a good investment experience. Something that I was reminded of by the art dealer Paul Durand-Ruel, who was a long-term advocate or champion of impressionist artists like Monet, Pissarro, Degas, Manet and Renoir. The National Gallery put forward the argument that we wouldn’t have the impressionist art that we now know without Durand-Ruel, who was a very persistent advocate, his quotes are a great compliement to the works. Its a really good, well curated show, tucked away off Trafalgar Square in the National Gallery – called “Inventing Impressionism – The Man Who Sold A Thousand Monets” and lasts until the end of May – well worth a trip.

So I will persist, much like Mr Durand-Ruel and keep pushing the idea that markets rise and fall, attempting to time the market is a loosers game and a long term plan that is reviewed regularly is vital. We, like Mr Durand-Ruel, curate the content of a portfolio and the things that are of true value. If this is something you think someone else may need to hear or experience, then do pass on my details or perhaps point them to this weekend’s Sunday Telegraph where we will apparently feature as one of the UK’s top advisers… hopefully it will be good coverage, but if not, my belief in our approach isn’t about to change. So do look out for the 8-page supplement from VouchedFor in the Sunday Telegraph.

Dominic Thomas

Faking It – Big Eyes

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Faking It – Big Eyes

As you may have gathered, I enjoy stories, particularly those that seem to have something to say. As a financial planner, naturally I’m interested in money and how investors behave. However money is just a tool, what people really want are the choices that money offers. We all relate to money differently and history is littered with examples of good and not so good financial decisions.

The new Tim Burton film Big Eyes explores the true story of artist Margaret Ulbrich (Amy Adams). Primarily this is an intriguing story about how a struggling single mother, plying her skills as a street artist meets a fellow artist Walter Keane. He is charming and encouraging, enabling her to regain some sense of confidence in her own ability. Following their marriage Walter exhibits his work and includes some of his Margaret’s which she has effectively now signed as Mrs Keane. It is mistaken for his and unwilling to correct the error for fear of losing the sale, so begins a sequence of events in which he passes off Margaret’s work as his.

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The deception does not come naturally to Margaret, and the severity of her “crime” is exaggerated by husband so as to ensure her silence. Largely due to his skills the work becomes commoditized, world-famous and naturally very lucrative. As the money flows in her fear about the magnitude of the crime multiplies, leading her to feel trapped, friendless in her studio, unable to take any credit for her work. One wonders whether this would have been a very different story had Walter Keane not been such a brilliant salesman and marketer. The sadness of the story is that Walter is unable to recognise the value of his own skills, preferring to deceive and take full credit for the work and is unable to acknowledge the deception.

Ultimately, Margaret finds the self-confidence to leave her increasingly belligerent husband and gains the confidence to reveal her “crime”, though in practice this is more of an unmasking of the truth. What is surprising is how it took so long and why his deception was not uncovered sooner. Therein lies an uncomfortable truth – much like the emperors new clothes, sometimes the obvious observation isn’t spoken for fear of appearing foolish, even the art critics (the experts) misinterpret the source of the work. It is only a judge who assesses the claims with the obvious solution…much like King Solomon’s wisdom when two women argue over a baby…. so when it comes to assessing a fraudster, you need eyes to see.

Dominic Thomas
Solomons IFA

You can read more articles about Pensions, Wealth Management, Retirement, Investments, Financial Planning and Estate Planning on my blog which gets updated every week. If you would like to talk to me about your personal wealth planning and how we can make you stay wealthier for longer then please get in touch by calling 08000 736 273 or email info@solomonsifa.co.uk