|
There once was a hawk,
ferocious and swift. He was young and agile with many
years of life to hunt the open ranch lands. In a nearby
field, a mouse scurried about the ground. The hawk saw the
hurried motion and swept speedily toward the rodent.
Just as the hawk's shadow
engulfed the smaller rodent, the mouse fell to its back
and begged, "Please, Mr. Hawk, spare me my
life!" This surprised the hunter and he landed beside
the mouse.
"Why should I spare
your life? I am hungry today."
"It's always about
today, isn't it?" answered the mouse. "Do you
ever think about tomorrow?"
"Tomorrow? Well,
that's just another day to flap my wings. I will eat then,
too."
The mouse scratched his
chin and replied, "But one day you will be old and
gray. You will have chiseled claws. You should prepare for
the future now or starve later."
"I do, I do. I am
building a grand nest as we speak. You see, I fly low to
the highway's hot pavement in search of lost dollar bills
everyday. I find a dollar a day and add it to my nest. I
am constantly constructing my nest egg."
The proud hawk looked
toward the mouse for a reply. The mouse shook his head and
stated, "I will make a deal with you, hawk. If after
fifty years, you have saved more money than me, not only
will I give myself up for your feast, I will lead every
mouse in this field to your nest."
The hawk did not take long
to consider the proposition. He knew he could cover more
ground flying than the mouse could crawling. He would be
able to locate twice as many lost dollar bills and thus
build a much larger nest. The hunter concluded that in
fifty years, he would have a great feast.
Years ticked by and every
day the hawk collected two dollars. On each given day, the
mouse found one dollar and invested it wisely. Fifty years
later, the bird of prey lived in a large nest made of
twigs, mud, and dollar bills. He was feeble and sickly.
And although his nest equaled that of $36,500.00(1) ,
along with a few very nice tree limbs, he knew the mouse
would have less. He no longer invaded the far stretching
fields, but took comfort in knowing he would soon have his
great feast. As the hawk glared down from his perch, he
saw the mouse. The mouse was alone.
"So, hawk, how much
money do you have?"
"Just under $37,000(1)
. And you?"
"I have $508,462(2),
you fool. You see, I invested my $365 wisely every year. I
dollar cost averaged into the market and utilized
well-diversified mutual funds over the course of all these
years. I am the victor and you have no feast."
The hawk collapsed into his
nest and was never seen again. The mouse lived a happy
life and provided handsomely for his family. He passed
along a bit of advice to those who asked about saving:
"The individual most accountable for your future
financial welfare, is the one you see in the mirror
today."
*Hypothetical investment
for illustration purposes only.
(1): Based on a savings of
$730 each year for fifty years with no interest.
(2): Based on a savings of
$365 each year for fifty years earning 10.5% annually.
|
About
The Author
With
over twelve years of experience in the
fields of investments and insurance,
Wardlaw believes familiar life elements
best illustrate practical investment
strategies. Articles that avoid typical
investment jargon help reinforce and
confirm investment ideas.
tools2invest@yahoo.com |
|
|
