FYI: I once asked a friend whose son races motorcycles professionally, "What is the specific skill that distinguishes winners at the highest levels of motorcycle or automobile racing? Is it balance, strength, endurance or just guts?" He answered, "Great racers have an instinctive feel for what are known as the 'limits of adhesion.' It's the exact speed on curves beyond which the vehicle will go completely out of control. Being able to drive consistently at just that limit is the special talent marking a winner."
I thought about this with respect to retirees who often hunker down in what they mistakenly consider to be "safe" investments with investment incomes far below what could have been achieved had they operated closer to some financial equivalent of the "limits of adhesion." The operative word here is "closer" as opposed to being at or beyond the limit
Regards,
Ted
http://www.mercurynews.com/News/ci_27383250/Retirement-Planner:-Staying-on-track-with-investments
