He knew it was coming, and his readers knew it was coming, but when I learned that long-time personal finance columnist Jonathan Clements died over the last weekend in September, I still couldn’t believe it. I was hoping that a Hollywood-like, happy-ending twist would somehow provide a reprieve for someone who positively shaped the lives of countless people, but real life is rarely like a movie.
I’m writing this because while Jonathan was not a financial advisor, I believe he was an outstanding advisor role model. I’ll get to that in a minute.
I imagine that most financial advisors know who Jonathan Clements was—The Wall Street Journal’s long-time personal finance columnist, author, and creator of the website Humbledollar.com. A little over a year ago, he was diagnosed with a rare form of lung cancer that had metastasized to his brain and liver. He had never smoked or been exposed to asbestos. The cancer was caused by a genetic mutation, and Jonathan knew he had little time left. He continued doing what he was doing—with characteristic grace and quiet good humor—until the untimely end. He was only 62.
I met Jonathan once at a press event. He was seated at a large table, and I introduced myself. I told him that I thought his columns in the Journal were terrific. He thanked me, and I half-remember him saying something nice about my work. I may be hallucinating that last part, because my memory is marked by how someone so accomplished was also so unassuming, a bit shy and so genuine, in the way he thanked me. Maybe his demeanor had something to do with having grown up in Britain, but I can assure you that ego minimization is not a universal trait among financial journalists working at big-name publications or on TV—especially when they’re around members of the trade press.
In his writing, Jonathan’s tone was in sync with his personality, but he was not reticent about saying what he believed. He was an early advocate of index funds, echoing John Bogle’s contention that in the long run it’s better to match the market’s performance—at as low a cost as possible—than try to beat it. He was an advocate for thrift and frugality, encouraging saving in any form, and especially through tax-favored vehicles including IRAs of all stripes, 401(k)s and similar plans, 529s and health savings accounts. He wanted the average investor to get a fair deal, and he railed against the industry’s use of financial jargon and the creation of complex financial products that were juicy for firms and advisors because they were marbled with fees. His own retirement planning, which he outlined matter-of-factly in a blog right after his cancer diagnosis, was characteristically well-reasoned and honest, and so damn sad.
As the advice business has matured beyond its hot-stock and insurance-pushing roots, much of what Jonathan Clements advocated from an investment perspective has come to be seen by many advisors—especially those with a financial-planning and fiduciary mindset—as the right way to do business. That way of looking at things is one of the reasons I believe he is a great role model for advisors.
The other reason has to do with how he approached the way investing fits into the rest of someone’s life. He readily admitted that he was frugal, for instance, and talked about his family and doing the things he and his wife enjoyed. Now, I’m not saying that frugality should become a “best practice” among advisors or that you should focus on pickleball. The specifics are not what’s important. What was brilliant was that Jonathan shared his view of how he was living a what he felt was a fulfilling life with an ever-widening group of loyal readers.
I believe that advisors should share their own approach to life with their clients and prospects and make that philosophy as prominent on their website and in other material as all the stuff they say about Fed rate actions, for example.
Would some prospects who don’t share your views be turned off? Probably. But think of all the people who might be attracted to your services if they knew that you were of the same mind about the things they deem most important.
I think Jonathan Clements would have agreed. May he rest in peace.
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