Terry’s Journal

[KateMoloney]

Hi Terry,

Nice result for 2022.

Re: your children. I know its not trading related, but my Dad is a deca millionaire from business/real estate and is dealing with a similar issue with his children.

My brother and his wife are quite entitled, which Dad struggles a lot with. His wife of 6 months asked for $700,000 as a gift because “Dad has the money” whilst my brother asked Dad to gift him his $250,000 sports car because “I am your son”. I am not saying your children are that entitled, but the experience in my family has taught me a lot about succession planning and responsible handling of the family business.

Dads approach, for what its worth, is he is willing to do business with his children provided it is fair exchange. For example, buy an investment property together 50 – 50, profits split 50 – 50 and when the child wants to buy Dads share out, this is done at market value. This (in Dads view) builds business acumen in his children. If we don’t want to do business in a fair exchange manner, then Dad won’t do business with us.

If you give something to someone for nothing, they may not appreciate it as much as you do. In extreme cases, it can destroy peoples lives (google lottery winners ….).

If your children were really keen, you could send them off on their own journey of learning to trade, creating their own systems and trading with their own money. If they are still in the game 12 – 24 months down the track then you could offer to teach them. That way you know they are genuine about trading rather than chasing the perception of quick and easy money.

Trading is not for everyone.

 

[TerryDunne]

Thanks for your thoughts Kate, I really appreciate it…it seems like you have an interesting family.

[KateMoloney]

Terry Dunne post=13720 userid=719 wrote:

Thanks for your thoughts Kate, I really appreciate it…it seems like you have an interesting family.
 

Don’t we all 

[RobertMontgomery]

Stellar results in a very challenging year Terry. 

Appreciate you sharing the family situation as we are going through my parents’ estate distribution at the moment, as they were both hit by the metaphorical truck within the last year and a half.  I’m learning a lot about what not to do and what to do to make things as easy as possible for my kids.  I feel like I could write a book when we are done.  The experience is making me value much more having those uncomfortable conversations about their wishes, pre-planning arrangements, assigning beneficiaries, setting up property in a trust, etc. …  and now I am finding all the small pieces that were not addressed.  All of this has motivated me to put together a similar instruction booklet.  I may label the book in big bold letters. “Read this first if I get hit by a truck.!”

[TerryDunne]

Hi Rob,

I’m sorry to hear about your parents. I too have been through this in the last few years with both of my parents as well as an aunt who was like a mother to me…very painful!

I’m part way through making things easier for the kids, but perhaps I could buy your book once it’s finished? 

[KateMoloney]

Rob M post=13727 userid=5369 wrote:

Stellar results in a very challenging year Terry. 

Appreciate you sharing the family situation as we are going through my parents’ estate distribution at the moment, as they were both hit by the metaphorical truck within the last year and a half.  I’m learning a lot about what not to do and what to do to make things as easy as possible for my kids.  I feel like I could write a book when we are done.  The experience is making me value much more having those uncomfortable conversations about their wishes, pre-planning arrangements, assigning beneficiaries, setting up property in a trust, etc. …  and now I am finding all the small pieces that were not addressed.  All of this has motivated me to put together a similar instruction booklet.  I may label the book in big bold letters. “Read this first if I get hit by a truck.!”

Sorry to hear about your loss Rob.

An instruction booklet is a great idea. I have one stored in our safe and with solicitors. It is updated every year in January.

[JulianCohen]

A few years ago my wife and I sat down with solicitors and went through every possibility we could think of, plus a few the solicitors told us about that we’d never have thought of; solicitors often get to see the worst side of people I guess.

I also enclosed a codicil to the wills that I update regularly with a letter to the recipients explaining our choices (very useful in case of arguments afterwards that go to your state of mind) and details like computer passwords, lists of companies and bank accounts etc etc.

[StevenPola]

Cracking results Terry, Congratulations. Hope it continues into 2023…

I feel your dilemma with the kids…. This is a massive topic which I have been wrestling with in recent years. No clear answers yet……

[MarkCottle]

I wrote a document called ‘Kick The Bucket Plan’. It’s a series of instructions for people who have to clean up my mess.

My business partner and my life partner both have copies.

They also have half of the encryption key each to unlock my password manager so they can easily access everything in my world.

My son asked me last week what I want him to do with his share of the estate. I told him to respect how hard I worked for the money and don’t piss it up against a wall. Buy a house or something enduring. There is zero chance any of my kids will follow in my footsteps.

Here’s the intro to the document:

If you are reading this, then I’m probably dead. And it’s possible I kicked the bucket unexpectedly. That means along with burying my fat ass and spending a moment remembering what a prick I was, there is also a bunch of admin work to do. So, buckle up, and I’ll walk you through how to handle my shit.

[Nick Radge]

[TerryDunne]

 Fantastic Mark!

Now if you could just send me the document I can just change the names and be done!

[MarkCottle]

I would, but it’s useess to anyone, even as a template. It’s explaining what countries I’ve got bank accounts; acct numbers; brokerage; how to access encrypted files; people who owe me money; shares in private companies; who has a copy of my Will and boring stuff like that.

[TerryDunne]

January 2023

MOC 1000 5.60%
MOC 2000 7.07%
MR 2000    2.66%
Swing         0.37%

Total           4.89%

Swing is Nick’s weekly swing system modified (only a little) to suit my preferences and traded on the Australian and Canadian markets. Although ‘traded’ on the Canadian market at this stage means placing limit orders without having any filled…

Good luck to all for 2023!

[TerryDunne]

February 2023

MOC 1000 -1.30%
MOC 2000 -2.51%
MR 2000     7.51%
Swing          0.47%

Total           -0.11%

[TerryDunne]

March 2023

MOC 1000 22.44%
MOC 2000 10.86%
MR 2000     -3.53%
Swing          -3.68%

Total          12.10%

[Author]

Posts