It’s only mid-January, but chances are pretty good that all those lofty resolutions you made before the clock struck midnight on Dec. 31 have fallen by the wayside. You’re not alone.
A small, but oft-cited, longitudinal study of New Year’s resolutions by John Norcross, a professor of psychology at the University of Scranton, revealed that nearly a quarter of people abandoned their goal after one week. That number swelled to 46 percent at a month and 64 percent after six months. Less than a fifth, 19 percent, were able to hang on for two years.
Winter is almost over. How many of your resolutions did you keep? Gretchen Rubin’s Better than Before presents a framework to help readers to understand their habits and to change them for good.
Thanks to the notorious fallibility of New Year’s Resolutions, if you’re like most people, chances are you’re not quite where you hoped you would be this time of year. Maybe you’ve held on. But statistics show that you probably haven’t.
Forming new habits is hard. We humans spend a lot of time trying to change ourselves, indeed, there are entire industries dedicated to selling self-improvement. But we rarely succeed. Why is this? According to Gretchen Rubin, this might be because we’re conceptualizing the whole thing wrong.
Millions of Americans make resolutions to hit the gym, eat more salad and smile frequently. But don’t forget to pay as much attention to your money.
Keeping tabs on your investment portfolio can be just as important when it comes time for retirement.
Here’s CNNMoney’s suggested list of New Year’s resolutions for investors:
1. Find your password and log on! Many investors who have their portfolios in cruise-control mode. While you don’t need to trade daily, it’s important to at least do an annual checkup on your accounts. Log in or call your 401(k) or brokerage account provider and see whether you should make any changes.
At your annual physical, you get your blood pressure checked. The equivalent to that in investing is looking at your asset allocation — how much you have in stocks versus bonds versus cash and commodities.
Is your asset mix still appropriate based on your age and risk tolerance? It could be time to make a change.
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Tagged 401k, bonds, brokerage account, cash, commodities, investment portfolio, investors, New Year resolution for investors, New Year's resolutions, resolutions, stocks