Your Investments: Reflecting on the past for a better future

It is the most focused time we have on our calendar for personal reflection. Not getting the headlines, but in many cases much more acute, birthdays are another time to reflect on the past.

Unfortunately, when looking back, people too often focus on “what could have been.” Instead of learning from the past to better their future, they start getting depressed. What really should be done is to look back and focus on what went wrong, and then use that to make certain changes going forward.

It’s never too late to make changes. In a few weeks, we start the last of the five books of the Torah, Devarim. It starts: “These are the words that Moshe spoke to all of Israel in Transjordan, in the Midbar, in the Aravah, opposite the Sea of Reeds, between Paran and Tofel, and Lavan and Chatzeiros, and Di-Zahav.”

The great commentator Rashi, whose yahrzeit is next Friday, 29 Tamuz, explains the various places mentioned as subtle chastisement that Moses was giving the people based on the bad events that happened in each location.

Our sages teach that the word eleh – “These are the words” in the sentence quoted – always excludes that which came prior.

Rabbi Yissochar Frand quotes the Maor v’Shemesh and says: “Moshe Rabbeinu (Moses) “learned a lesson” (if we may use this terminology) over here. These are the last days of his life. Moshe said to himself, ‘I have made some mistakes in the past. One major mistake I made in the past was that I was too harsh with them. I have been too explicit with them in my criticism. I called them Morim (you rebellious ones).’

Now Moshe Rabbeinu decides he is going to take a different approach. He is going to give rebuke, but he is going to do it subtly. ‘I will remind them of all the places they acted inappropriately, but I will do it derech remez (by hinting), because that is that way that rebuke must be delivered.’”

Rabbi Frand continues: “Moshe Rabbeinu is now 120 years old. He has been in this business for the last 40 years. He did a very good job. Most people, who have been at something for 40 years, with the success that Moshe Rabbeinu had in his career, think to themselves, ‘There is nothing more for me to learn about how to do this business.’

However, Moshe Rabbeinu, on the very last day of his life, is looking at himself and saying, ‘You know what? I made mistakes along the way. My rebuke sometimes was too strong. I got angry. I lost my temper. I am going to try a different approach.’”

NOT SURPRISINGLY, when it comes to money, people often obsess about missed opportunities, and how if they had just invested in such and such, they would be millionaires by now. If all you do is look back with regret, it’s going to be hard to solve problems moving forward.

Now, I can sit and cry about it and accomplish nothing, or learn from the mistakes, understand what I did wrong, and if the same type of opportunity comes along, pounce on it. That’s what we all need to do. Learn from our past mistakes so that we can improve as individuals. It can be life changing.

Change is far from being a simple process. But just because you have lived a certain way financially for decades doesn’t mean you can’t change.

Start making smart financial decisions. If you live in financial chaos and feel that you are being pulled in many directions and sinking into debt, take control of your situation, start making financial order, and get on a budget.

While it may seem intimidating, living on a budget is empowering. It’s okay to say no sometimes.

By understanding what went wrong in the past, you can create a much better financial situation in the future. You need to define your goals.

Where do you want to be in five, 10, or even 20 years? Take a few minutes and start jotting down some short-, medium-, and long-term goals. Then speak with a financial professional to figure out how you can achieve those goals.

Don’t fret over getting a year older. Learn from your past mistakes to create a better financial future.

The information contained in this article reflects the opinion of the author and not necessarily the opinion of Portfolio Resources Group, Inc. or its affiliates.