Do you have a new normal?  I know I do.  There is nothing quite like starting your own business only to learn that you have to take on cancer too.  By the way, did I mention that I also have a toddler?  Life changes for all of us and creates opportunities and new perspectives on how we manage our money.

Navigating the current economic crisis and the change that has come to America and our global nation is another “new normal” and begs a great question about investing:  where do I put my money?  Since I am no longer a broker I can’t tell you to pick stock A or dump stock B, but I can tell you how to think about investing.  And the basis for making these decisions is really no different than times prior to the economic crisis.

What is your risk tolerance?  Are you going to come unglued If your account is off 20 or even 50 percent?  What is your time horizon?  Will you leave your money invested for years or months?  How much income do you need?  Do you need capital preservation with inflation protection or do you need to maximize your growth?

These are questions that financial advisors have asked their clients for years.  And believe it or not, Warren Buffett, Bill Gates, and even President Obama cannot provide you with the answers.  Risk tolerance, time horizon and cash flow are personal and specific to each individual.  Address these issues first, as all prudent financial advisors will recommend, and you can take comfort that you are much more likely to implement the appropriate investment strategy for your specific situation.