Vancouver, B.C. (October 10, 2000): Aging baby boomers who find themselves getting financial whiplash from the daily ups and downs of an unpredictable market could learn a thing or two about long-term thinking from their investment savvy depression era parents.

Vancouver fee-only investment counsel and financial advisor, Adrian Mastracci, president of KCM Wealth Management says the familiar and sometimes conservative “buy and hold” approach of many people brought up in the 1930's depression can provide better long-term results than jumping in and out of the market, something that happens often to individuals without a long-term game plan.

“Baby boomers are starting to accumulate wealth as they get older and their children leave home. So, most boomers are looking ahead to their financial independence or retirement,” says Mastracci. “Unfortunately, many have a knee-jerk approach to the market and are jumping in and out trying to catch, or avoid, the latest wave, or trend.

“That sort of investment strategy is very different to that of clients who lived through the depression and take a long-term approach to not just accumulating wealth, but holding on to it as well. It's a very strategic and planned approach, one that recognizes that you need to stand back to see the big picture, rather than micro manage each investment decision.”

However, Mastracci takes issue with another depression-era trait: investing only in those vehicles guaranteed by government, such as savings bonds or investment certificates. “Some depression-era investors want absolute security, and for them that means anything issued or backed by government. So, there is no question that you can be overly cautious.”

“However, I still believe that the parents of the baby boom generation have it right with a modern version of the time-tested buy and hold strategy. Over time, a proper mix of solid investments more than pays off in consistent returns and overall stability, two essential ingredients in any sensible plan for financial independence or retirement”, notes Mastracci.

NOTE: The information provided above is intended for general informational purposes only. It does not constitute advice for anyone's specific situation. Everyone should always first consult directly with their advisors to determine the appropriateness of any information contained above before taking any action. KCM Wealth Management Inc. assumes no responsibility for any loss or damage arising from the use of, or reliance upon the above information.