How much is healthy?

The start
This all started when I had a look a calculating Mrs Zombie’s and my Net Worth, more out of interest than a rare moment of maturity.

The gods of uncertainty aligned and I stumbled across a couple of personal finance blogs not long after doing this.  They mentioned fantastic concepts like Financial Independence, Retiring Early, Passive Investing along with other mind blowing ideas.

The creepiness
These ideas must have sat in my creepy subconscious and began controlling my mind and making me read more and more.  I had to calculate my Net Worth again the following month.  And if I’m honest I quite enjoyed developing the spreadsheet to do this, with all manner of unneeded functions whilst listening to some heavy metal.  What?  It relaxes me.

The expansion
It’s gone from a one off exercise of curiosity on one excel tab, to a weekly process that I actually look forward to.

I have signed up to RSS feeds on enough personal finance blogs that I get a steady stream of material to read every day.

The gods of uncertainty must have recruited the gods of online chirping as I have even started commenting on other blogs, and not just winding up bigoted freaks on the BBC or Telegraph comments pages.

Its all new though
I understand that my new found enthusiasm is partly because a lot of it is new to me, but also partly because the possibility of Financial Independence (or early retirement by 50) is real.  It only needs focus for the next 18 years.

What I do worry is that I will burn out, and the part of my brain that is always looking for something new will find another thing to focus on, carpentry or goat herding maybe…who knows.

Or, as good as goat herding sounds, what is more likely is that as I get more and more comfortable with investment (and my asset allocation is set up, mechanical, working, but boring) I start looking at actively selecting companies for investing in.  Then get burned, get spooked and decide that cash is the only vehicle for me.

How much is too much?
So how much involvement is too much?  I want a passive strategy for the long term, one based on asset allocation, re-balancing and regular contributions, as I think this will give me a lower risk strategy to meet my goals.

But at what point does a passive strategy become an active one?  I don’t know, but I do think that my more frequent updates to my Net Worth are getting me more and more in tune with the markets and the volatility.  One one hand it’s got to be a good thing to be more in tune with your financial health but it could lead to panic buying and selling…

Only time will tell I guess.

Can you get too active for a passive strategy?

Here’s to the gods of uncertainty and online chirping.

Mr Z

Leave a Reply

Your email address will not be published. Required fields are marked *