"Someone's sitting in the shade today because someone planted a tree a long time ago."
Warren Buffett's timeless quote, deeply resonated with me recently. Harvesting the Fig trees my grandfather planted over 50 years ago this summer, following his passing earlier this year, brought the true meaning of legacy and heritage to light. Seeing my brother's kids, the 4th generation, enjoy the fruits of my grandfather's labor emphasises the importance of long-term investments and generational wealth.
Reflecting on the essence of good investing, it's crucial to adopt a long-term perspective. While the future is unpredictable, historical data can guide us. Over the past 50 years, the S&P500 yielded an average annual return of 11.47%, despite wars, pandemics, and economic challenges. This underscores the significance of planning beyond our lifetime and considering future generations in our investment strategies.
As my co-host and good friend Akim Guerreiro (Etcaetera) aptly put it, "I used to plan for the 21st century, but after my son's birth, I'm planning for the 22nd century as well." Shifting priorities and extending time horizons are essential for securing a prosperous future for our families and beyond. Let's heed these lessons from the past and plant the seeds of financial stability and success for generations to come.
