Would you treat a patient with a 40-year-old medical textbook?
So why are you managing your wealth as if it is your second year in residency?
The question cuts to the core of a widespread issue:
Some physicians often cling to outdated investment strategies while their wealth grows exponentially.
In chaotic markets, this mismatch becomes dangerous. The implications of the on-and-off tariffs are ripping through the markets.
Nvidia stock is in the tank. Crypto is seeing a sell-off for other reasons.
So, if you’re allocating the majority of your portfolio to public equities. It’s time to close this gap.
As physicians, we’re no strangers to high-stakes decisions.
We thrive under pressure in the operating room or clinic, but when it comes to managing our wealth, I’ve seen many of us falter—especially during chaotic market periods.
Some colleagues wait…and wait…hoping for clarity that may never come, while others jump in too soon, taking on the role of an amateur trader without the time or expertise to play the markets effectively.
Both approaches can erode the wealth we’ve worked so hard to build.
Today, I’m here to tell you: it’s time to detox your portfolio from this chaos, align your investments with your wealth level, and protect what matters most.
The Problem: Mismatched Investment Mindsets
I’ve observed two common pitfalls among physicians during market volatility.
First, there’s the waiting game. Many of us hesitate, keeping our portfolios exposed to turbulence, hoping the storm will pass. The result? Missed opportunities and unnecessary losses as markets shift unpredictably.
On the other hand, some of us react impulsively, trying to outsmart the market by trading frequently. But let’s be honest—between patient care, administrative duties, and family life, we simply don’t have the time or training to compete with professional traders. This approach often leads to stress and financial setbacks.
Here’s the bigger issue: despite our high incomes, most physicians I speak with are still investing like they’re in the second year of residency. They’re saving and investing in a 401(k), but that has to change as your income grows. This disconnect leaves us vulnerable in today’s unpredictable economy. It’s time to change that.
The Solution: Detox Your Portfolio
It means simplifying and strengthening your investment strategy to reduce chaos and focus on long-term wealth preservation.
It’s about stepping back from short-term market noise and aligning your investments with your financial reality as a high-net-worth individual.
Too often, we cling to outdated strategies that no longer serve us, hoping they’ll somehow start working again. This brings to mind the “Dead Horse Theory,” a satirical metaphor that perfectly illustrates the problem.
The Dead Horse Theory suggests that when you’re riding a dead horse—meaning you’re facing an obvious, unsolvable problem—the wisest thing to do is to dismount and move on.
Yet, in practice, many people do the opposite. Instead of abandoning the dead horse, they take futile measures like buying a new saddle, improving the horse’s feed (even though it’s dead), or changing the rider. Some even fire the horse manager, organize meetings to discuss how to make the dead horse faster, or form committees to analyze the problem for months—only to conclude the obvious: the horse is dead.
Others might justify their efforts by comparing their dead horse to other dead horses, blaming a lack of training, or even redefining the concept of “dead” to pretend there’s still hope.
This theory highlights a critical lesson: many people and organizations waste time, resources, and effort on useless solutions rather than accepting reality and making smarter decisions. In the context of your portfolio, the “dead horse” might be an outdated investment strategy, an overexposure to volatile assets, or a refusal to adapt to your current wealth level.
As physicians, we’re in a unique financial position. Our incomes and assets place us far beyond the middle class, yet many of us are still riding the dead horse of a middle-class investment mindset. Detoxing means dismounting that horse—abandoning strategies that no longer work—and adopting an approach that reflects our true financial reality.
Practical Steps to Get Started
So, how do we begin this detox process? Here are a few actionable steps:
Assess Your Current Portfolio – Take a hard look at your investments. Are you holding onto a “dead horse”—a strategy or asset that’s no longer serving you? Are you overexposed to volatile markets, or are you sitting on too much cash, missing out on growth opportunities? Be honest about what’s not working.
Define Your Investment Philosophy – Ask yourself: Does my strategy match my wealth, lifestyle, and risk tolerance? If you’re still investing like you did during residency—focusing on low-risk, low-reward assets—you’re likely leaving money on the table. Conversely, if you’re taking on excessive risk, you might be jeopardizing your financial security.
Seek Expertise – You don’t have to do this alone. Just as we refer patients to specialists, we can lean on advisors who understand where you want to go and those who are investing where you want to invest. Look for someone who can help you build a portfolio that’s resilient and tailored to your unique goals. While avoiding those that want to put you in the same box as others.
Act Deliberately – Make changes thoughtfully, not reactively. For example, if your portfolio is overly focused on speculative trades, consider shifting toward more stable, long-term investments like alternatives. The goal is to build a portfolio that can weather market storms while growing your wealth over time.
Chaos in the markets doesn’t have to dictate your financial future. By detoxing your portfolio—abandoning the “dead horses” of outdated strategies, aligning your investments with your wealth, and adopting a smarter approach—you can protect and grow what you’ve worked so hard to achieve.
As physicians, we’re trained to act decisively for our patients’ health. Let’s apply that same discipline to our wealth.
Take the first step today: review your portfolio, seek expert guidance, and invest smarter, not harder.