As we know the media thrives on bad news, and right now there is plenty of it about. The ASX has had a bad year, commodity prices are tumbling, and Australia’s budgetary position appears to be going from bad to worse. At the time of writing the Mid Year Economic and Fiscal Outlook was projecting a $37.4 billion deficit for this financial year – $2.3 billion worse than predicted last May.
While all this makes for sensational headlines, it’s good to keep in mind that all these events are outside our control, and worrying about them isn’t going to change the situation. It has been my experience that if we take care of the things over which we do have control, life tends to go on regardless.
When I was researching 25 Years of Whitt & Wisdom, I spent days in the State Library and I was struck by the way history keeps repeating itself. This is why the book contains many extracts from major newspapers, which highlight what was scaring people at the time.
A good starting point would be to go to my website, click Resources, Free Downloads, and download the 20 Commandments of Wealth if you are under 50, or the 20 Commandments of Wealth for Retirees if you are in the older age bracket. There is a wealth of information here. For example, the Commandments for Retirees will tell you not to panic if the market has a bad day, and investigate if you have a Binding Death Nomination in your super fund. It’s interesting that Number 1 is to ignore the prophets of doom, and Number 20 is to be aware that your potential worst enemy can be the media because all they focus on is bad news.