Have you taken a moment to reflect on your achievements in 2008? Have you made plans for the New Year?

It’s easy to overlook or underrate your successes and progresses if you don’t. I almost did myself. For me, 2008 was a year of tremendous learning, progress and growth. It was certainly one of the more memorable years for me in hind sight – in hind sight because I almost didn’t recognize how far I’ve come.

The year was absolutely action-packed that I didn’t realize all the foundation that I’ve laid for my new business and the momentum I’ve gathered for it to take off any day now. I can feel that 2009 will be a year of fruitful results and I am excited to see my plans come true.

How about you?

What are your successes, achievements and progresses in 2008? Acknowledge them and celebrate them.

Where did you fall short of your targets? What can you do to get better results?

What are your plans for the year ahead?

What are some things you’ve been wanting to do and still haven’t had the time to do?

What are some things you’ve been wanting to do and still haven’t had the courage to get started?

What’s your strategy for this year? Have you developed bite-sized action steps?

What are the resources available you? Are you putting them to good use?

May your New Year be filled with hope and your days be blessed with excellent health, loving family and friends, a fulfilling career mixed with enjoyment and fun.

Tags: financial, analysts,, real, analysis

It’s been over a month since I last posted. So, what have I been up to? I’m in the process of setting up my new business. The idea of my business is conceived when I think back on one of my biggest realizations while I was a financial analyst.

I noticed there are plenty of parallels between developing an outperforming investment portfolio and creating a successful life (however you would like to define “success”) I am the equivalent of the portfolio manager of my life and I can apply the money management strategies to any and all the areas of my life.

I observed that the key to having a successful life portfolio can be summarized into two ingredients. First, we need to consistently and persistently follow a proven system that can help us reach our goals. All portfolio managers follow a variation of the same fundamental system. They set their investment objectives, plan a strategy, take action, review and revise, and continuously learn new ideas.

This same system is applicable to our lives, beginning with goal setting. If we don’t know what we want, chances are what we won’t get what we want. Skipping over any of the steps in the proven system will only reduce our chances of making it to our goals. I have adapted my interpretation of the system for our life portfolios. You’re welcome to opt in for a complimentary copy of my Create Your Life Portfolio Starter Kit.

You may think, big deal with this system. Nearly all portfolio managers out there follow some kind of system but only a handful of them consistently deliver stellar results. If you’ve ever invested directly in the stock market, you’ll know that two persons can buy the same stock at the same time, same price and it is possible for one to make a profit while the other takes a loss.

What it boils down to is the second ingredient: a success mindset – this I believe is the more important of the two. I believe that people with a success mindset but not a system will eventually develop his own and not vice versa.

Henry Ford once said, “If you think you can or if you think you can’t, you are right.”

The question is whether or not we know what we ourselves really think.

We have more than one level of mind – the conscious and the subconscious. What we are aware of is only our conscious thoughts and beliefs. And yet, did you know that 95% of our conscious behaviors, what we think, feel, say or do, are originated in our subconscious mind?

Our conscious and the subconscious thoughts don’t necessarily have to be in agreement with each other. When they don’t, guess which one is more likely to dominate?

Our subconscious thoughts and beliefs act like a thermostat that sets the limits of what we can achieve. We can momentarily run above or below the preset limit but over time, we will always come back to the preset limit. In other words, our subconscious beliefs set the limits of what we can achieve.

Just think about how often you couldn’t make yourself do something you know you should, like sticking to an exercise schedule, eating a healthy diet and getting to that one item on your to-do list that you’ve for months procrastinated. How many times have you continued to do something you know you shouldn’t – and yet you can’t make yourself quit that bad habit?

The missing link, I believe, to producing the results we intend to create with our actions is to be able to find out and convert our self limiting subconscious beliefs into supportive thoughts. But how, you might ask?

I’ve been in search of this answer for a number of years. The multiple blows to my career during the 1997 financial crisis have dealt a negative impact on my mindset. It’s been a journey for me and now, I’ve been blessed with the knowledge of how to access and change these self limiting subconscious beliefs for myself and for others.

I truly believe that our life is a perfect reflection of our thoughts. My goal is to share this knowledge with as many business professionals and especially with my fellow financial analysts, to help them remove the unbeknown limits they have placed on themselves so they can reach their peak potentials in their career and personal lives.

Tags: success, mindset,, portfolio, management,, portfolio, manager,, real, analysis

Despite the fear and chaos, the financial market will recover over time. Looking back at history, in 1973-74, the S&P lost 45% in 22 months. In 1987, Dow Jones crashed 22% in a single day. That was my first week as an intern at Lehman Brothers. What a warm welcome! In 1997, the Asian currency crisis left four countries (Thailand, Indonesia, Philippines and South Korea) on the brink of bankruptcy. I was an equity analyst in Bangkok at the time, right at the epicenter of the meltdown!

Long story short, I believe the US and overseas financial markets will evolve and recover from the current crisis. But at this point, many of you in the financial industry are probably facing a grim career outlook over the next 12-18 months.

What can you do in the meantime? Make lemon out of lemonade! Learn from history, about the Asian financial crises, the bailout programs from their governments and from the International Monetary Fund (IMF). What opportunities were created during the crisis? How did their financial industry reinvent itself? I remembered those finance companies that shifted gear to debt restructuring and distressed assets disposal did well. Those which upgraded to commercial bank status also survived.

How do you think that US financial market is going to evolve? What opportunities would open up for you? Are any of these possible opportunities in line with your long-term career goals?

There is a tendency for us to think that the road to success from here to there is a straight line. Reality is, it is full of twists and turns like this drawing here. Don’t be depressed by the sight of it. You’ll never know whom you’ll meet on the way. You might meet your future employer at point A, learn a new skill that propel your career to new heights at point B, meet the love of you life at point C and then live happily ever after!

Tags: Real, Analysis,, career,, financial, analysts

Perhaps this is a reflection of why her life is not in orders. Often times, we archive our old mail, useful or not. Our mailbox may appear organized on the surface. Sooner or later, it reaches capacity and the mail function breaks down.
Our life is the same. If we don’t periodically clear out things that no longer serve us, it’s only a matter of time we reach break point. With our time being the most precious commodity, it is crucial that we regularly review whether there are any unproductive routines, events and habits in our day, our week or our month that needs to be cleared out to make room for better things.

Perform a time audit if you haven’t done so in the past six months or if you feel that your life is getting out of hands and then follow through with an updated ideal time schedule.

Tags: financial, analysts,, time, management

Speed has come to be a highly regarded quality in today’s world. The advancement of technology in the past few decades made possible instantaneous financial transactions at the speed of light while your client can be anywhere in the world. With this significant increase in the tempo of work follows intensified work pressure and stronger competition.

We are humans after all. There is only so much speed we can compress into our lives.

Is slowing down such a bad thing? All economies go through growth and slowdown, so do stock prices, real estate prices and commodity prices. The same can be observed in nature where growth slows down in fall and winter and accelerates again in spring and summer. When we are tired, a good rest is usually the only thing we need to reenergize us.

I was recently at Canada’s Wonderland and I watched a bunch of roller coasters in action. The fascinating concept about roller coasters is, other than the initial haul up the first slope, the rest of the ride is powered by the momentum generated on the way down. When you’re on the ride, it can be quite scary coming down. It is precisely during this downtrend when the roller coaster gathers momentum for the upturn.

I can appreciate that as a financial analyst, you’re probably a high achiever who have high expectations of yourself. Perhaps, some of the exceptionally demanding expectations you set on yourself are based on your perception of what may be other people’s expectation of you, e.g. that of your boss, your parents or your spouse.

Let me share the words of wisdom by Harry Lewis, Dean of Harvard University in a message he wrote his students in 2001: Slow Down: Getting More Out of Harvard by Doing Less. Surprised? Although his article is written for students, the principles can easily be adapted to your financial career and any area of your life for the matter. You will get more out of your life if you allow yourself more time and space to truly enjoy and experience the things you do.

Related video:
Slowing Down In A World Built For Speed

Tags: financial, analysts,, career,, mindset,, stress, management

A reader asked me last week if it is too late in her early thirties to follow her passion to become a financial analyst. My answer to her was, “No, it’s not too late.”

A study has shown that the majority of people, estimated as high as 80%, are in the “wrong” industry. When students are fresh out of school, some reasons they base their choice of their first job may be:

• a career they think they like
• a career that was popular at the time
• conforming to peer influence
• following the advice from their parents or peers
• taking the first job that’s available
• a temporary job that became permanent
• strong earnings potential

Do any of these describe you?

Career switch is more common than most people think. Most people realize in their thirties that they are in the “wrong” career. They discover their life passion and want to follow a new direction. They want to stop doing what they can do well but don’t enjoy.

I don’t have the statistics but my feeling is that most people end up not making that switch. I say this because I meet many more people who are dissatisfied with their work than those who are fulfilled. I can relate to the multitude of fear that comes with making a major career decision:

• Fear of change
• Fear of the unknown
• Fear of what others may think
• Fear of appearing like a failure
• Fear of starting over
• Fear of a lack of experience in the new field
• Fear of the financial gap during a career transition
• Fear of being too old or too late to change

I was in a love/hate situation with my job at one point and I was so grappled with all these fears that I never voluntarily made the choice to switch. It took a layoff to spare me from making the tough decision. It wasn’t until I had turned down several job offers that were even more attractive than the one I lost that I finally realized that I had wanted to switch career anyway.

If you are currently contemplating a switch, either into or out of the financial industry, I challenge you to let go of limitations and open your mind to possibilities. I also challenge you to be comfortable with developing your career based on your own time frame rather than conforming to the norm. You’ll bring with you valuable experience from your previous work to your new career.

To help you make an informed choice about your new career direction, here are some considerations to help you explore:

• Why are you gravitated towards the field?
• What does it mean for you if you succeed in this new career?
• What would be the cost to you if you stay in your current career?
• What’s the worst that can happen if this new direction does not work out for you?
• Research the industry, the major players and the companies you’re considering.
• Talk to some insiders to better understand what it’s really like to work in the industry – is it like what you imagine it is?
• If you’re switching into the financial industry, are you prepared to put in the demanding hours to work?
• Are you willing to invest your time to study for the exams to earn your credentials?
• In some cases, if there aren’t any transferable skills, are you willing to start from the entry level?
• What is your financial plan during your career transition?

Most important of all, follow your passion. There is nothing more rewarding that doing what you love doing rather than feeling stuck doing what you have to do.

Tags: financial, analysts,, financial, analyst, jobs,, career

Have you ever tried stretching beyond your limits? What are limits anyway? Who set these limits on you? Here are some examples of how we sometimes impose limits on ourselves: “I’m too tired today to write another financial analysis.” “There is no way I can finish this project in a week!” “I can’t find any client who would pay for my services.”

I was away on a summer camp. That explains why I haven’t posted for two weeks. It’s actually an experiential seminar where the participants have to go through both intensive physical and mental exercises. Let me share with you one of my biggest takeaways from this trip.

I’ve come to realize that success is a choice and commitment is a decision. Granted, there will always be fear when I’m testing my limits. Throughout the seminar, I was put to face my various fears. Fear is a good thing. It signals when we are moving to the edge of our comfort zone.

On the fourth day, my group was let to an open field with a daunting activity setup. I took one look and immediately told myself, “This is where I draw the line. There is no way I’m going to participate in this one.” I almost allowed my fear of height and open space stop me from one of the most transformational experiences of my life.

This was when the wise trainer told me, both metaphorically and literally, “If you’re not sitting on the edge, you can’t see what’s on the other side.”

It took me a while to decide to take part in this activity. The flight of 30-foot ladder is a one-way climb which meant that my first step up the ladder was a commitment. Once I made up my mind, my focus shifted from my fear to taking each step carefully towards the top of the ladder and the things I needed to do to come back down.

I struggled through this exercise and I completed it. I have achieved something I never thought was possible for me. Had I allowed my fear to hold me back, I would not have discovered that the limit I had in my mind was not only self-imposed but also nothing more than my mental perception.

You must be wondering by now what I did that was so frightening and empowering at the same time. I’m afraid I can’t disclose it. The surprise element is a main reason this exercise was so powerful and effective. This in itself was another lesson for me: embracing the unknown with an adventurous mindset and be okay with it.

If you are curious or interested enough to find out what this seminar is, it is the Wizard Training Camp organized by Peak Potentials Training.

Tags: financial, analysts,, mindset

I assume that as a financial analyst, you can’t escape reading the daily news. I can’t imagine a financial analyst who isn’t up to date on the latest Bloomberg headline. In this past year, the problems in the financial industry have inundated the news front. Being exposed to negative news day in and day out can certainly undermine most people’s confidence and feeling of job security.

Now that I’m no longer in the financial industry, I have the option to just skim the headlines or simply delete any brokerage report that bears depressing news. If you’re still in the financial industry or someone who is looking to break into the field, how would you handle this wave of economic downturn, the layoffs and corporate restructuring?

To some degree, there is a sense of helplessness. There is little control if the management of a financial corporation decides to freeze hiring, downsize or worse, the company collapses. However, I believe everyone has control on how to respond to the changes characteristic of this volatile industry.

When you can accept the fact that the financial industry is volatile and fluctuates mostly in tandem with the economic trend, you’ll be able to go with the flow. By default, financial analysts have diverse talents, as it takes a comprehensive range of skills to successfully break into the financial industry.

In the worst case scenario, even if someone got laid off and has to make an involuntary change of career direction, there are plenty of possibilities to work with. Three valuable assets to have are:
• Flexibility
• Adaptability
• Creativity

Have you noticed that there are many similarities and transferable skills between the work of a financial analyst and a recruiter? A stock broker can comfortably, with some new industry knowledge, become a salesperson in another industry. With the financial background and training, financial analysts can also transition to become an entrepreneur.

For myself, speaking with hindsight, my layoff was the best thing that ever happened to me. It was tough accepting it at the beginning. Now, I see that it has opened up many new opportunities that were not previously obvious to me.

Know that whatever direction you’ll be taking, you’ll be meeting people or learning a skill that could be critical to your success down the road. These are probably opportunities that you would not have considered had your career plans all worked out smoothly as you had expected.

Tags: financial, analysts,, career,, layoff,, mindset

Many financial analysts have solid financial background and qualifications. How can you differentiate yourself from your peers in the competitive financial industry? Strong people skills can be the distinguishing factor, assuming you and your peers offer similar level of value to the organization. Here are five characteristics that will help your colleagues to better know you, like you and trust you:

Positive attitude. Would you prefer to work with someone who is enthusiastic than one who whines often? Likewise, your colleagues would feel the same way too. Do you embrace new responsibilities or do you grumble about having too much work? Do you see challenges as opportunities or threats? Do you take initiatives or act helpless when some negative events happen? Be sure that you are part of the solution and not part of the problem.

Emotional maturity. The intense work of a financial analyst is stressful. Take responsibilities for your own feelings and don’t let it get out of control in the workplace. Be honest. Are you quick tempered? Do you often act on impulses? Find healthy ways to express your emotions and vent out your frustrations. Exercise, rest and relaxation are just a few simple ways you can release tension. Taking your frustrations out at work certainly won’t take you very far in your career.

Empathy. Remember that your fellow co-workers are also under work pressure and some may even have their personal struggles to handle. Be understanding of their seemingly unfriendly behavior. Develop the ability to identify the wants, needs and perspective of others even when they are not verbalized. Being a good listener helps. Empathy is a basic quality of an excellent leader and is the foundation for developing strong people relationships.

Team player. Be generous and share your knowledge with your team. Although you will be evaluated based on your individual performance, you belong to a team. It may be counter-intuitive to help your co-workers when some are competing with you for the next promotion. Helping your colleagues achieve their goals will earn you their support and respect. When you help to give solutions to your team members, they will also reciprocate the support when you are in need.

Network. The more people you connect with, the wider your network for information, ideas and potential opportunities. Do you have any regular networking meetings? Do many people know about your quality work and great work attitude? Does anyone know about your work achievements? Be authentic and do not brag. Networking is the opportunity to apply the people skills that you have developed.

A good way to improve your people skills is to know yourself first. How do you currently interact with people? Do you observe any patterns? Do you have a positive attitude or do you always focus on the negative? Are you well-liked or do your co-workers tend to stay away from you? What are the qualities that people like about you? Where do you have room for improvement? Your strong people skills will increase your chances of you getting the next promotion over your financial analyst counterpart or keeping your job safe during cutbacks.

Tags: financial, analysts,, people, skills,, social, skills,, Communicating

But seriously, IMF in its latest World Economic Outlook Update, continues to project global growth to decelerate significantly in the second half of 2008, with only a gradual recovery in 2009. IMF is forecasting a moderate contraction in US economy during second half of 2008 and a slowdown in Euro area and Japan. China, while slowing, is expected to expand by 10% in 2008-09. Inflation is a core concern, driven by higher food and fuel prices in many countries.

I suppose, we should be thankful that our economic worries are much more manageable by comparison.

Here’s the full BBC News article on Zimbabwe:

Zimbabwe introduces Z$100bn note

Zimbabwe is to introduce a bank-note worth Z$100bn in response to rampant inflation - but the note will barely cover the cost of a loaf of bread. Some Zimbabweans are already calling for higher denominations in a country where the official annual inflation rate has exceeded 2,200,000%.

Independent economists believe the real rate is many times higher.

Zimbabwe’s meltdown has left at least 80% of the population in poverty, facing mass shortages of basic goods.

The country’s central bank has introduced several new notes already this year in response to the hyperinflation.

In January, a Z$10 million note was issued, followed by a Z$50 million. By June the denominations had reached tens of billions.

Daily bread

In a notice in the state-controlled Herald newspaper, central bank governor Gideon Gono said the Reserve Bank of Zimbabwe would introduce the new notes - known as special agro-cheques - to help consumers.

“This new $100 billion special agro-cheque will go into circulation on Monday,” the notice said.

But Zimbabwe residents say the latest note is already worthless, and does not even cover their daily lunch.

“Nowadays, for my expenses a day, I need about Z$500 billion,” one resident said.

“So Z$100 billion can’t do anything because for me to go home I need Z$250 billion, so this [note] is worthless.”

Zimbabwe was once one of the richest countries in Africa.

But it has descended into economic chaos in recent years, with many international observers blaming the policies of President Robert Mugabe.

Tags: Real, Analysis,, inflation,, financial, analysts