The Tragic Loss of Jose Fernandez & Investing

The Tragic Loss of Jose Fernandez & Investing

    by: Brendan Magee

As the weekend approaches and the reality that this is the last time we will get to see Ryan Howard in a Phillies uniform, those who love Phillies baseball can't help but feel a little sad. In comparison, our sadness cannot compare with the grieving that is taking place in the Miami Marlins organization.

Just 24 years old, with a child on the way, and on the verge of a hall of fame career, Jose Fernandez died Sunday, September 25th along with two friends in a late night boating accident.

Reports are that, after an argument with his girlfriend he decided to blow off some steam by taking a ride on his 32 foot fishing boat. In trying to get fellow teammates to join him they declined the invite and  cautioned him not to go out under such dangerous conditions.

Another report is that his neighbor, former pitcher Pedro Martinez, had tried to counsel him in the past on driving his boat. He told Fernandez he was riding too close to the jetty. He told him he needed to be at least 200 feet away from the jetty in order to be sure he stayed clear of it.

Obviously at night, it is practically impossible to see a jetty and man doesn't do well when he collides with one. The consequences of which in this case proved to be fatal for Mr. Fernandez.

So what does this tell investors?  The lesson here is that it is not the problems or dangers that you can see that will cause the most damage. It is the ones you cannot see that cause the most danger, and some times the consequences are fatal.

So what is your best bet in terms of avoiding fatal problems with investing? The answer is to have your focus on the right questions.

How many people have you heard of losing 30, 40, even 50% of their portfolio who had no idea they were in such volatile investments? What if that person would have known to ask, "How can I get a measurement of just how diversified I am? What if they knew to ask, How can I get a measurement of how much risk/volatility is in my portfolio? Perhaps, in advance, they would have known their investments were not right for them. Perhaps they would have known that you can't have control of anything until you get a mathematical measurement of it.

The other key is to have a coach who you trust enough to not only point out your blind spots, but that you agree you will also follow their coaching even if you can't see the value of their coaching. Perhaps if Fernandez had listened he would still be here and all we would have to be sad about is that this is the last time Ryan Howard will play for the Phillies.

Brendan Magee is the founder and president of Inevitable Wealth Coaching. With questions or comments e-mail brendan@coachgee.com or call 610-446-4322.