For years, we have been living in a world where one's word too often means nothing. The lack of commitment to one's word has seen an appalling decline in college sports especially.
It is now the norm to expect that when a coach signs a good player that there is a significant chance that the player will only stay one or two years. The majority of the large, Division One college basketball players come to play basketball, with little or no concern about getting a degree and actually sticking around for four years to help their school win a championship.
The same lack of commitment is commonplace with the coaches as well. A current example is Minnesota's Tubby Smith. Having been at Minnesota only three seasons and only halfway through his contract, it is common knowledge that Mr. Smith is open to other suitors.
Thank God for the smaller schools with a double thank God to Butler coach Brad Stevens! He just turned down large schools that were willing to pay him over $2 million per year and essentially guarantee him $10 million dollars over the course of a contract. He resigned with Butler for a 12 year contract. Come on, 12 years, can that be true? Fairy tales still exist in my home state of Indiana!
Click this YouTube link that reveals the character of Butler Coach Brad Stevens and that, despite the obituary, there still do exist men of character in college sports.
How Does This Apply To You and Investing? The average tenure for a mutual fund manager is four years. The majority of financial advisors "sell people stuff" and then wash out of the business. Over 80% of financial advisors who enter the career are no longer in the career in 10 years.
For 26 years, I have told clients that they would know where to find me. The majority of those clients have stuck around for the ride, enjoyed the view and still know where they can find me and now my legacy company, Wade Financial Group. This is called mutual commitment!