Erica Cummings Morgan Stanley.mp3

Wednesday, March 7th


Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

Oh welcome to the city Clifford and to date we. If every one in mind but we're gonna focus on. On the women in the audience just a little bit I am joined by Erica Cummings. Erica you're with Morgan Stanley in new Larry CE. SP is at certified financial planner you that's awesome dude you've been with Morton Stan it will be seventeen years and only goodness now well. And it's. That's awesome. I'm now hi I always hesitate to do this but I'm going to guess that you're somewhere in your early thirties. Oh you just may. I think he felt good okay are great. In my early for me that's the value you will you Wear well I think do these days. I mean it's just the path to stardom. That's very good and enact and I mention that because. Talk a bit about. The generational. Way of looking at finances in your family and we're gonna do that from the viewpoint of women this. I'm gonna go back to. Personally. Because in kissing sixty years old spare you equity goblet him. And my mom and dad and paid in this so we're talking about the 1960s and 1970s. I used to watch this it was like choreography. They would clean everything off of their bad. They would have a series of maybe it doesn't envelopes. They would walk in with their paycheck all. Cashed in my mom worked full time as well and they begin stuffing envelopes. And one is gas electric one was more. You know mortgage it was. I used to sit there yakking away because I'd have always been someone who's. If I'm awake and talking to. Al and they were kept of body. It all he stayed with me it always stuck with me is is if that's the way it's supposed to happen they were paying everything. Including themselves. Is there was a savings account envelope. Before they were making any other plans for their money and it was very much a 5050. House that's great. And it was only when he you know aged. At least 2225. Years that I realized probably. We may have been the only house on the street where that was the case especially back in time. An. And maybe it was why men wise. Is. Prepared if she was only in the area when we lost art at relatively. Early. But let's talk a bit about what issue or experience because if you found your way in financial planning. It had to have come from use on eight years. And either from either direction. It absolutely dead so. Much like a wet you are saying during the sixties and seventies one of B. Common themes was divorce so I was born in 1975. And we Wear latchkey kids I was nine and my brother was five when my parents divorced and my dad owned a very successful business while we are growing up and my mom took care of on the finance as. So he would come home and hand terror attack. And she would make sure that everything was distributed out. And had savings and she was very. Involved in very intact with the financial decisions. My father was actually the one who just worked. And he he made the money. And so when they did get divorced luckily. My mother had that that firsthand knowledge on how to handle the household share it was extremely. Difficult at times but she never let us see yet. So we went along thinking everything was okay. Obviously as I got older she let us in a little bit more are behind the curtain as to how stressful that was it. Making sure that everything was taking care of but she did it and I grew up seeing a strong independent woman. Who kind manage everything. Says she not only managed all the finances in the house but she also managed the house from the inside out whether it be mowing the line. Are having to fixing door cabinet. And she also really instilled in me to be in Japan and she didn't want to meet you and up alone jurist but if heaven forbid there was some sort of transition in my life. That I could always take care of myself. And so I went off into the world thinking this was common because most of my friends' parents were divorced in their moms were raising them in their homes. And so wasn't until I became an advisor I was 26 I started. That. Little by little every single year I started to realize that this was not the case with every single family now yes. I ate. It's interesting because it it is a contrast to the way I was growing mountain. A member of my mom lost her youngest brother Kerry suddenly at age forty. His widow I'll never forget this. She knew. Nothing. About. About anything with in the house bills. And so my mom and dad had a pretty much. Swooped in along with your other Brothers and sisters and try and shore her up and and catch your app relatively quickly. And it is there were four kids involved too and I'll never forget the night night if the phone rang and I answered it and there's my aunt she is just hysterical. And she is furious. At the city of Auburn which is where we were living. Because they have the nerve to. Try and pull one over on her they were sending her bills for water. And everyone knows waters free it comes out of the lake right. In an epidemic now. Having us my parents. Even I you re I said. Com. In its own. She utters free. And nice and. Out okay and I think it was at that moment I said to myself yeah. I'm not gonna find myself an MP at shoes yet. It and she was in the shoes through no fault of her own because her parents. Took care of everything and when they stopped her husband took care. And that's that's the other part that. I have this other viewpoint from my grandmother's. Heart situation when my grandparents were her. Raising a family they were actually pretty. Nontraditional my grandmother worked and soda my grandfather. And my grandfather cocked and cleans used car in the Renaissance man pick and hand and maybe they share the duty and household. But my grandfather deathly took care of every single day of the finances. And he was nine years older than her and unfortunately he passed away when he was 75 and my grandmother was only sixty say oh my goodness yak and so she had. No idea what was going. Because my grandfather wouldn't have shared that information and this is the part that a lot of people. Don't understand is that it. Comes from a place of my chair my guess either was taking care of things to keep her protected any acting made really great decisions for her. But she didn't have an interest and so therefore they have a lot of communication. And it ends when he passed away same thing my mom and her sisters had this hoop and and figure everything out. And it really puts women at a significant disadvantage because it. The person that. Past I lurk. If you get to bars. If you don't have knowledge of what's there room and you're constantly. Wondering if you have to be looking for something he should be your admits that silky IC at. Or now I think in the last five years and I have in my whole life yes I'm amazed. That I don't know. What I don't know not now exactly it in it's it's almost frightening what went out here you know in. Whether it's health issues or financial issues or or the anything that you need that affects your daily life yes it's it's and it's always an eye opener and it always. I swear falls on you like a brick wall. And you feel like an idiot. Yes in your thinking you're the only one yeah I did and you're an act and you're not have to voice yeah of course not. An end to this and you we have begun a series of workshops you day help women. You sometimes get up does speed sometimes. Hone their skills correct absolutely is that in the financial world. Absolutely. So the program that we developed ways it's about two years old now and it way is on labor of love and it came from my a fifteen plus years at the time experience as advisors seeing. Couples come to me and perhaps the wife was there at the first meeting. But then she never came for the subsequent meetings. Or when she was there she was very engaged and again not because the husband was trying to keep anything from our war. Was talking over her by. They were just disconnect did share and over the years I noticed that each generation has. A different reason for that disengagement. A lot of my older clients it's just this. Unconscious bias that man should be taking care net or it's this traditional role. All our fear or intimidation and this industry can be intimidating to every one man out our team now and especially for women. And then my generation. It's about time. We see as working mothers especially have a laundry list of two dues on any given day. And it's just easier to you delegate that component. And so I started to seat either. The husband's passing on with my older clients sure poured divorces. And much like your hands. They come to my office and their just devastated. So on top of dealing with one of the most emotional transitions in life whether it be a divorce there aren't even if their husband is ill and can't take care of these Friday these finances anymore. They are destroyed. Emotionally from the actual situation and then on top of it they're scared to adapt because they're so overwhelmed they don't know where they are. They don't know where it began and they don't know they're going to be okay. And every one of them have that steam here am I going to be okay. And I just said something has to be down and we have to start to you empower women. To be excited about taking care of themselves to be excited about the power that knowledge brings. And how to reach you that in an environment that they want they want to be share share this industry it's exciting to me I love money has. Managing it at that it not exciting to everybody out and you're traditional. Industry. Lingo if you well is very. Male centric. So it's very sports like let's beat the market. Outperform. A ball. Is an ask I ever thought that financial industry that's so true so it is. Very intimidating and very off putting to him and also most of your traditional financial corps says. Art taught in. Classroom types and there's a person in the front of the room and they're speaking to you it's typically. Both male and and being now participants and women tend not to ask questions and that type of environment. They don't want to make themselves feel even more insecure by showing their vulnerability at their lack of knowledge. Lot of times in a seminars where it's actually be an outperformance. And and asset allocation and thinks that. A lot of people don't truly understand and share Unita key yeah follow along acts and so when no house is asking questions or the other people in their rooms seemed to be grasping it and the women to shut down. And so they leave having gained now. So we did a lot of preparation and we had focus groups we talk to many different women have many different backgrounds demographics ages. In order to determine what type of environment we should be providing these workshops and and so they're smaller. Aha we wanna have at. The space in which women can come conversational wise with each other and also. Feel comfortable. With asking questions. And now that no one's going to judge that's great that's perfect everything we do is varying gauging so we're teaching but we're also. Wanting participation. And we have the themes for the workshops based on overall wellness. So the one Allen meant that a lot of people particularly women Joan can act is our physical health a hop and our emotional house. And our financial house are all intertwined. If you are not physically well. And you're not going to be emotionally well. And of course your finances are going to sap. And financial straps. Can affect you physically and emotionally so the workshops that we put together are making that connection between. The fact that you have to you key and your financial wellness the same effort you gave your physical and your emotional it's interesting I've always compartmentalize. Everything I've ever seen them. All connected in that way but I guess now I'm going back in mind nine thinking of the times. When everything was clicking. And they they were all clicking together and the times when they're not and yes that's very interesting to me wow they really can bleed into each other picture and I at least draw the analogy that when you look at. That to do list in a given day we'd look at grocery shopping and laundry and mowing the lawn and we delegate out share. For some reason managing the finances and that in that column. Out of the column where physical and emotional house. Is it we put a lot of time into making sure we go to the doctor and we take care of ourselves. Everywhere you look in media it's what diet or what nutrition you should be eating right Bryant honest you know guys stress relief. And people don't realize that that financial component. Strongly if acts or you are our time in those two areas and so we try to tie them together. And with the workshops the most important thing especially in the beginning is to make sure that the women want to be there and their engaged in their excitement. Because it isn't the most exciting topic we're also talking about potentially. You being alone. Which is also CE OK yeah yeah and and the reality is we live about 68 years longer and then army out counterparts. An 80% of us we'll dialogue. Whether by choice or by circumstance there is chair so what we're trying to do is to instead of me asking. An even greater barrier by creating more fear right ICQ you're gonna die alone and you better get going our house you're going to be a math. You're gonna say OK I wanna be involved in this month hey I need Ani mar LA that that's. And it's about. 6 I am sure that skin acts money and love and and how our power for you to make. Decisions and choices in your life. And and empower you to be able to you. Enjoy aid the process as opposed to looking at as a task. Or something that I have to be afraid of how often do you do vis these seminars and in how does one become involved in them. So we do them monthly however at eight get packed quickly so we have waiting lists and sometimes you have to throw an ax to date and especially as we really fill up fast sure we tried to do we have to. Workshops that piggyback off of each other one is called discovering your purpose and that's where we really talk about women's unique strengths. And how women. Have viewed their finances in the past and how to me get exciting and powerful for them in the future compact and it really gets stemming gays and excitement. And then the next one right. On the heels of that is demystify your financial life out of hate claim this big bubble of CNBC. Oh yeah kind state no weighs everything that runs on the bottom of the TV screen as just another language gap. And the multitude. Of the constant thing is being thrown at you and making it simple. And making it understandable. And also making you realize you can do yes it does race have to be that heart. And then we move into the wellness. Concepts so we've had wellness events where we bring and licensed therapist at talk about how to take distressed out of your life in attrition nests that teach about how to eat. Well and how to provide energy for yourself throughout the day through the foods that you consume. We're looking at doing house forum for women so talking about women's heart house. The various different types of cancers that women have to deal with that mentality and how it attacked in tree and so we're. Doing these on a monthly basis. With this whole idea of that flow. That everything should connect everything should be healthy that's awesome he is so do you is it a new one every month or. So we have a couple that we rotate the diss to the discovering your purpose in the demystify your financial right we run throughout the year couple times a year okay. The other thing with women is the timing so older women tend to have an easier time coming to lions where those of us that are still working. Have easier time coming after work I we will run them a couple times a year so that we can make sure that we provide for people's schedules. But we generally haves have won a month and there. Within those themes that that financial team physical team are emotional team we're chatting with Erica comings and she's CFP with Morgan Stanley and and has developed these these. Wonderful workshops and information Ole sessions. That do focus primarily. I'm women and how if you wanted more information to have and a the web and how would someone become involved in one of these work shafts so the workshops since free and you can get the information from our web site. I'm fortunate website is extremely long so I would it the UR Alice long okay suggests Google Lang might my name Erica Cummings okay it'll bring up our web site you can click right to there. All are my email address is Erica Jack Cummings at Morgan Stanley dot com. If you eat mammy we can put you on the lists to receive all future invitations. Most of the workshops that we do depending on the the concept. Are either in our conference room which is in Linden oaks or we do them at various locations depending upon and what that dean has so. If we do it on wellness we might do in conjunction with the hospital or with a particular nutritionist. And all the information can be provided in the imitations that we sent out. Are they eat is their cost to these are they free their free now that's awesome yak and T have to be a customer Morgan Stanley you do not to house these are complete. Public services for women they aren't unbelievable that he really is great piano. So. Selfishly. I'm gonna say. A couple of weeks ago and the world's biggest banks yet no point out now about I think it was about two weeks ago Thursday. I happen to get my. Statement because I was preparing things from Texas and myself. For what it is. Irish. And write a picture of it I sent it to my husband look at it is we're gonna check yours we get down. Check it snapped them with their story. And so. The following Monday to know is he and my husband said to me. To ever do that again that was really bad because you see. When we noticed what we get one we gal for all of our selves. Then we lost and I go I'll yet so was our fault capsule that is our fault we should never done that and oh all country esta. It's not for because you look at now. That my husband anywhere is his Jersey on Sunday. At the Jersey court this Sunday why that's why his team lots of it is just something deep seated within nausea sometimes I think it Irish. Sometimes I think it's Catholic. Sometimes they get an Italian now I just think it's human for crying out out of it up. But so I said asking for a little calm the fears. Absolutely. So first of call it's perfectly norm it's you leaner and journeys stock market in the short term it is schizophrenic pass. That's oh. Is not uncommon to have what we consider a correction and OK meaning a 10% drop from its previous T. Once a year. We have not had one since February of 2016. So it's been two years since we've had a crack a while it was DO. And it's healthy. If we only have. Systemic growth with absolutely no job back note think of a balloon share and you just continuously putting hair into double. Grade the balloons getting bigger you're excited and ready. But it's I'm point eight that elastic is going to gap. If we don't. Let a little air out of the balloon around it will pop. And when they pop. Which we have had bubbles that have pop to a 100000 may 2008 was a huge line we had. When they pop they end up being much larger than these normal corrections that we see share. What I always say is. You have to remain patient. The market is approximately 75% of the time and it's down about 25% of the time. If you have a proper asset allocation. Which you definitely need to put together with a professional eater someone puts the planned to gather with you to determine why you need in the long term what you're comfortable at. What your objectives are. If you have a good asset allocation with a diversified. Sat at Passat yeah. You just cast do you block believe it or not you have to you try not to lock. There is actually a correlation between the amount of time that you look at your portfolio. And negative effects it has on the out oh my gosh is meant something because the more you love them right I felt compelled to do sound right absolutely and really the best thing to do is nothing. An ugly weird is when we can't campaign here there that we know isn't right yes. We say off. A way to take an aspirin or towns where are so. Quick to say I'm not gonna look I'm not gonna do anything about that. Everything will be fine ass now when we should be saying Matt instead we are focused on that computer and were staring edit were wondering whether it was numbers keep going down and not going back up what is. Well and you develop a worksheet. It. I did I write this out is Eilat again is and you. When you look at the medical profession. A lot of similarities to use that thing and super fast and so. I always tell my clients and I tell anybody. That they should be working with the capacity 80% of what we do you. Has nothing to do with picking out the proper investments or timing the market is it doesn't work even the smartest people on Wall Street cannot time the market. 80% of what media is helping. Hold your hand. Through the top I share making sure greedy through the good times and making sure you're spending the right amount making sure you're sticking to your plan. All of these are what we called behavior on management issues. It's now whether or not you picked ABC fund offered DE half. And the other thing is you want to make sure that the controversy sees that your happening. Are similar to what you have mr. So let's say you did have that keen. And it turns out unfortunately you have to have search share if you went to act air. And you stack can you just explain to me what the surgery is going to be tested doctor sent to you. Don't worry. I got it you're going to be. You say. Now now that's not good enough via. It's also to outline the activists say OK in year six of my residency we pulled this book out and on page 500 major surgery it's 250 pages and we're gonna go through each lie and I am you don't wanna now how thick the incisions gonna be all you kind of tell it's. You're going into the surgery Terry this is how you're going to be when you come out this is the recovery period this is some of the complications but they're very rare. This is what took it beyond six weeks after and then this is when you're going to be right back to norm this is a success rate so on and so here. You have enough knowledge to feel secure about the decision that you're making right. But it's not some acts that you've beyond completely snout. And it's also. Lacking in knowledge to where you walk away saying. I don't even know what's happening to effect a right what did you share share a year for your mad house and you shouldn't that was your financial house either you should have a partner that. Is going to explain and language that you can understand. So that was something like what's happened last week cap and then you can have a congress each and that's great -- plan analysts say TU. You're going to be fine. Going to stick this out. And explain to use the attendance of of good in past. Sir that's great that some Eric convinces. Well it really is priceless for women. And you know what it it out I would know if variety. If I had it to do all over again I would've dragged my husband right along with me he's one who will always say to me. Oh no no no no now my eyes glaze over when we talk about money you'd take care of it. I was telling a friend a couple of minutes ago that that what I ended up doing was going online. And finding a book called I'm dead now what. And it's preview I don't know if you are you familiar with I am yes yes I have filled out all the pockets I have put all the information in there I'd put out passwords in there. On the and that's as close as I can come to to getting him to get college that one day. This may be on his plate and and that's all you needed to know was that now he knows where that book is. Any hopes he expects to grab it. So that is a perfect to my god and how about we recommend to our clients. We put together binder for them and they tabs. Our insurance and taxes and retirement plan in and cell line and we help them to fill that binder with the actual documents yes you lot. Well there and your actual power of attorney. I am in the same situation as you eat as you can imagine I take care and I'll find out shortly ethnic sat via. My plan was always laugh if I die. I have a partner where we've been working together for seventeen years you go to frat my part. That was the yep. Well. I started to realize that frat my partner would say to Darren. Where's the knife and its players on the morals and sure every eyes and a pretty organized person and he knows where I do this in my office and we have file cabinets and everything is stowed away so do you have a pretty good idea of where to start. But he would know where everything he would know what he doesn't now rank right so we've put the bank tactic of great. That therefore a lot of our clients. As much as we may try to get everyone engaged not everyone is going to be jumping up and down with excitement to learn about him an answer is I don't understand it it may not exec at a you have that binder is credit that's great yeah it's critical because you look and feel secure our. That your husband in this situation. Will have his resource to goatee your planner Anthony. What do I need to do you here's the rest of it there is whenever we've put these together and and for the most part it's the other way around race it's the wife stat that. Is excited about the mind. There is a level of relief you can almost see it in their shelters. Witnesses die and I need to I need to now all the specifics of what's and you just need to know it exists in mere fact of its existence. Makes things calmer for them. Also as you get lulled. It's important that your hits nowhere yes absolutely. And I see the same thing about mind yeah she's the one who watches our children when we ever get a chance to take a vacation. Not often. Let me to you and I. It's something that happens as my mother would be the Y and that would be taking care Robert K it says she knows where the pint your eyes. Anyone that would potentially have to tune step and and take care of your affairs should know where the binder as. It's because they don't wanna howl money is to have it right right let's talk about it right. Actually have all the topics you can possibly conceive it is the most tab. We are more comfortable. In the an amazing it is Emmys and a so when people think about that binder and they think now I'm gonna have to tell people have you to eat. The giants need to now. Where where they can find if they eat exactly and sell at the very least for every single person that's not engaged whether the app. That wife husband and kids are ever is not aware of where everything is. There should be a central location. And it should be updated on a regular basis but he's and we do live in technology technological world where. User names and passwords changed I'll absolutely. As easy keeping that up to date and making sure that people and a land as it's great yeah Erica thank you this happened hours flown by this is great information. And it's available. For every one acts so once again. Just Google you warning Erica coming to us. Or eat them Miette Erica attack coming at Morgan Stanley back time and we can put you on the email list and have all future information amity it's that's great thank you so much I appreciate it thanks for having me you've met.