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With cash in hand, you can pay off your loan in full at any time.  Or, you can make extra payments at intervals to get mortgage-free earlier, often with significant savings in interest. Most mortgage loans don’t have a pre-payment penalty (check your closing documents).

Retiring a mortgage early has the benefit of freeing up funds, allowing you to gain ground on other financial goals. You’ll also gain equity faster, equity you can tap into with a home equity line of credit (HELOC). And for many, paying off mortgage debt brings a greater sense of security. But consider these strategies only after higher interest rate debt is paid off. Here’s how to resolve debt earlier:

• Pay in full, if you have the extra cash. Those who refinanced when 30-year mortgage rates were 3% might not choose this option since financing may not be that cheap for the foreseeable future.
• Make bi-weekly payments. By paying half your monthly amount every two weeks, you’ll make 13 full payments over the year instead of 12. That extra payment goes directly to principal, reducing interest and shortening your loan. Be sure each payment is applied when it’s received, not monthly.
• Make extra payments on the principal. If your lender offers this option, you can designate a little extra on each mortgage payment to be put toward paying your principal¹ or, if you receive a chunk of money like a tax refund, you can make a more substantial extra payment. A pay raise also offers a source for increasing the payment amount.
• Refinance. Depending on the market and your interest rate, refinancing can be an option. Going from a 30-year to a 15-year loan will cut the total interest you pay, as well as the time frame for retiring your mortgage.²

Is there a downside?  It’s important to know the tax implications of paying off your loan as you may lose a valuable tax deduction. You also lose some liquidity, as your home is a non-liquid asset.³ And there’s the fact of “opportunity cost,” meaning that the funds you use to pay down your mortgage are not available for a potentially higher return investment, contribution to a retirement account, or redirection to a college fund or real estate property.

Contact your mortgage servicer or a financial professional, such as a CFP® practitioner, to answer questions, assess the financial implications of paying off your loan, and advise on the best course of action given your financial position, priorities, and goals.

1. myhome.freddiemac.com/blog/homeownership/20190319-faster-way-to-be-mortgage-free
2. Ibid
3. www.bankrate.com/mortgages/early-payoff

Given global headlines, how does a business executive step back, stay calm, and find the advantage in apparent adversity? How can we avoid reactive mode in response to negative information? How do we handle uncertainty without freezing in place or running from risk?

For me, a meditation practice works. While a full understanding of how meditation affects brain structures and function, studies by neuroscientists show that meditation increases prefrontal cortex connectivity (and gray matter volume), while reducing the size and activity of the amygdala, thus enhancing cognition and emotional regulation.¹ As a daily practice, it can avert compromised thinking and creativity due to stress, while enhancing emotional intelligence and rational decision-making.² All of which supports my ability as a business owner and investor.

Harvard Business Review cites a number of corporate leaders who have embraced meditation which “appears to benefit CEOs more than recreation or relaxation do alone.” Among the benefits noted is a boost in “resilience and performance under stress.³

Essentially an intentional practice to cultivate awareness and a positive mindset, there is diversity in types of meditation:

• Mindfulness: attention to the present moment—thoughts, emotions, sensations—without judgment
• Focused; attention to an object or activity, such as breathing, or a mantra (a study at Stanford led by Andrew Huberman and David Spiegel shows that controlled breathing techniques have a direct impact on physiology)⁴
• Movement: integrates mindfulness with movement such as walking or yoga, which also incorporates controlled breathing
• Spiritual: connects with spiritual beliefs or a higher power
• Visualization: using mental imagery to achieve healing, relaxation, or performance goals
• Loving Kindness: a form focused on cultivating compassion for oneself and others
• Transcendental Meditation ™ : a distinct technique characterized by the use of a mantra and setting down mental activity

Like other executives, I have found meditation to be of great value in how I engage with my business, athletic training, and family. The practice creates an openness and clarity that allows me to see new opportunities and approaches, without being distracted by seemingly incessant noise.

1. pmc.ncbi.nlm.nih.gov/articles/PMC10026337
2. hbr.org/2020/03/why-leaders-need-meditation-now-more-than-ever
3. hbr.org/2015/12/how-meditation-benefits-ceos
4. med.stanford.edu/news/insights/2023/02/cyclic-sighing-can-help-breathe-away-anxiety.html

Ironically, qualities that make physicians good at their job are often the same traits that predispose doctors to burnout. Physicians are highly conscientious with a deep sense of responsibility and perfectionist tendencies that create internal pressure. Errors can be costly or even deadly.

The reality of modern medical practice only adds to pressure in all specialties and practice settings. Doctors face long hours, a high volume of patients, and paperwork that cuts into patient-centered care, leading to physical and emotional exhaustion. While burnout has moderated since “skyrocketing to a record high” during COVID, doctors remain at a “higher risk for burnout relative to other U.S. workers.”¹ An American Medical Association (AMA) report attributes this to “…system inefficiencies, administrative burdens and increased regulation and technology requirements.”²

To mitigate stressors, many physicians leave private practice to join corporate or hospital-based practices, due to rising practice costs, inadequate reimbursement rates, and access to costly resources. Younger physicians in particular have a preference for different practice settings.³ The administrative load of private practice cuts into patient care, threatens financial stability, and “significantly increases burnout.”⁴

Complex finances often contribute to physician stress and burnout. Work demands leave little time to for tasks like developing a comprehensive financial plan. An article written by John Egan for Forbes Advisor notes that financial advice can help doctors address these issues (retrieved and edited from Nasdaq.com):⁵

• Private practice may complicate taxes
• Pay may fail to keep pace with compensation for newly recruited professionals
• To maintain their standard of living, doctors may need to stash hefty sums in retirement accounts
• The average student leaves medical school with over $250,000 in student loan debt
• Rising medical malpractice lawsuits and insurance costs
• Desire to be immersed in medical matters rather than money matters

Engaging a certified financial professional can be key to wellbeing for time-crunched doctors who do not have enough hours in the day or the business acumen to manage complex finances to their advantage—and to achieve long-term financial goals.

1. www.ama-assn.org/practice-management/physician-health/what-physician-burnout
2. Ibid
3. www.ama-assn.org/press-center/ama-press-releases/ama-analysis-shows-most-physicians-work-outside-private-practice
4. Ibid
5. www.nasdaq.com/articles/financial-advisors-for-physicians:-everything-you-need-to-know

To date, I’ve undertaken to climb three of the Seven Summits: Mount Kilimanjaro, Mount Elbrus, and, recently, Mount Aconcagua—an arduous two-week climb that drew deeply from physical and mental reserves. And while making the summit yields a sense of accomplishment it comes at the price of pushing beyond one’s perceived limits. At the same time, I know that the demands of the climb itself, will ultimately enhance my personal and professional performance.

It’s not the mountain we conquer, but ourselves.
– Sir Edmund Hillary

On the way to the summit, I’ve learned the value of mental preparation, the intense focus and discipline of training under the guidance of a professional coach. Because up on the mountain, mental resolve can make all the difference when conditions get rough or the unpredictable happens. On Aconcagua our group encountered dangerous 50 mph winds at 19,000 feet. What’s the smart move? “Getting to the top is optional. Getting down is mandatory.”¹

Likewise, as an investor you have to be ready for the unexpected, the Black Swan—and ready to pivot while quickly assessing risks. If you’ve built a foundation of knowledge and cultivated a flexible mindset, you’ll be able to think clearly and creatively. You’ll have the tools to decipher permutations between various market movements. As an investment manager, I need to be savvy enough to make tactical moves in times of uncertainty, to eliminate investments that seem to be vulnerable to changing events yet also remain alert to opportunities that arise.

Anyone who’s “topped out” on a mountain, run an ultra-marathon, or completed an Ironman, knows that you have to maintain a lucid state of mind even when you’re hurting. Good climbers drive themselves yet maintain a heightened awareness of their surroundings and fellows. They’re vigilant about footing, breathing, and heart rate at altitude, retaining intentional focus or “mindfulness.”  Cultivating one’s mental “toolkit” certainly helps when crises arise in any sphere.

Aconcagua required that I push myself physically and emotionally, calling for a set of skills I’ve yet to fully master. I came home with a new appreciation for our guide’s technical skills—but equally for the level of care they showed for us in the harshest conditions. All in all, it was a life-changing experience with “ample doses of suffering and pain”² that has given me access to a new level of discipline and tenacity. I’ll rely on both enhanced skills as I work toward achieving the highest excellence.

1. Ed Viesturs, mountaineer and author, “No Shortcuts to the Top” and “K2”, quoted at https://www.goodreads.com/quotes/174009-getting-to-the-top-is-optional-getting-down-is-mandatory
2. Jensen Huang, CEO NVIDIA, quoted by Peter Yang, https://creatoreconomy.so/p/15-life-and-work-principles-from-jensen

Playing sports in college is a demanding but rewarding experience. The games, the teamwork, and social life offer not only excitement, but also preparation for any field that values smarts, hard work, and collaborative skills. Naturally, many college athletes aspire to a professional career in sports, but multiple sources note that only 2% of NCAA athletes go on to play professionally at any level after college. The figures below show the probability of competing in professional athletics:¹

Football:                      1.6%
Basketball                   1.2%
Women’s Basketball   0.8%
Baseball                       9.9%
Ice Hockey                  7.4%

The percentage is similar for college tennis stars hoping for success on the ATP Tour. Equally, while college golf does offer a pathway to professional play, less than 2% will earn a place in the Masters. Only top ranked players earn major money, and golfers pay all their own expenses.

It’s also important to realize that for those skilled enough to make the cut, playing days in pro sports last only a few years—even if one escapes injury or other event that could take one out of the game.  The average length of career in the NFL is 3.3. years² (a running back is just 2.57), in the NBA 4.5 years, and 5.6 years in the MLB.  Most pro athletes retire by age 33. Thus, for college athletes, academics are important in order to be prepared for alternate careers that are financially and personally rewarding.

While some college students may be savvy about handling money, many are not. Only 21 states require a personal finance curriculum for high school students and just 25 mandate that students take an economics course.³  But creating a plan while in college can shape long-term financial health, whether for NIL money, as a highly paid pro athlete or a brilliant entrepreneur. By learning to create a budget, manage debt (e.g., school loans), and invest wisely, students can set a solid foundation for the future.

Whether or not a student achieves a career as a pro athlete or remains a passionate amateur while pursuing a different profession, a financial planning professional can be invaluable in creating a road map for making choices that will pave the way to building wealth and ultimately, to financial security and overall well-being.

1. www.exactsports.com/how-many-ncaa-players-actually-go-pro/
2. x.com/BusterScher/status/1765910370030375084?lang=en
3. www.councilforeconed.org/wp-content/uploads/2020/02/2020-Survey-of-the-States.pdf

According to the AARP, 49% of men and 64% of women now 65 years of age will eventually need care in an assisted living facility, a nursing home, or their own home.¹ And according to an ASHA report, the average length of stay in assisted living facilities is 28 months, but seniors fall well outside the average on either side.² Would it be smart to purchase long-term-care insurance?

After all, assisted living in California can cost as much as $110,000 annually (the average is $63,000).

Still, long-term-care (LTC) insurance has a hefty premium. What if I never require long-term-care? If I’ve planned well for the future, I can probably afford to pay for care out of my own pocket. The Nat’l Association of Insurance Commissioners advises LTC coverage only if its cost is less than 7% of one’s income—and if you can pay the premium were it to go up by 25 percent (raises are frequent).³ Personal finances will clearly enter into the decision.

So, how much does it cost? The New York Times—drawing from data by the American Association for Long Term Care—reports that a 60-year-old man buying a $165,000 policy in 2023 would pay about $2,585 annually for a policy allowing for a 3% annual increase to account for inflation. For the same policy, a woman would pay $4,450 as women typically live longer and require care for a longer period.⁴ However, policy costs are contingent on multiple factors (e.g., age, state of health, and place of residence). Equally, benefits vary among carriers: which services are covered, the amount paid out for types of services (e.g., home aide or skilled nursing), and when you can tap into the policy (usually when you can no longer perform activities of daily living).

An AARP overview of long-term-care suggests talking with agents authorized to sell policies from multiple companies and with financial advisers who can frame options in the context of your financial plan. You may want to consider a hybrid life and LTC insurance or life insurance with LTC rider, among other options. “It’s really valuable to have some sort of third party who doesn’t have a vested interest in any one insurance company helping you navigate the process,” says Morningstar Director of Personal Finance, Christine Benz.⁵

1. https://www.aarp.org/caregiving/financial-legal/info-2021
2. https://ashaliving.org/product/2009-overview-of-assisted-living/
3. https://content.naic.org/sites/default/files/publication-ltc-lp-shoppers-guide-long-term.pdf
4. https://www.nytimes.com/2023/11/22/health/long-term-care-insurance-explained.html
5. https://www.aarp.org/caregiving/financial-legal/info-2021

As a Los Angeles resident, I’ve heard that many homeowners found themselves underinsured following the devastating fires in Pacific Palisades and Alta Dena. Their policies won’t cover the full cost of replacing their damaged or destroyed homes. Rebuilding will mean a smaller home—or, dipping deep into their pockets to cover replacement costs.

This issue isn’t limited to California. Hurricanes, wildfires, severe thunderstorms and tornadoes have grown more frequent and destructive in recent years (flood and earthquake damage are covered by a separate policy.) And according to a “Moneywatch” report, as many as 3 in 4 U.S. homeowners could be underinsured.¹ Non-profit United Policyholders also notes that out of a total $114 billion in losses due to natural disasters in 2023, insurers covered only $80 billion, “meaning 30% of those losses were not insured, according to the Congressional Budget Office.”²

Given such shortfalls, Jennifer Gray Thompson, CEO of After the Fire USA, says more Americans should get to know their policies.³ Homeowners should also know current construction costs in their zip code, as costs are rising across the U.S.

• Review your coverage—especially if you’ve made changes to your home or belongings
• Consult an insurance professional and or a Certified Financial Planner (CFP®) practitioner
• Consider increased limits—Thompson suggests getting the maximum amount that you can
• Consider extended costs or guaranteed replacement cost insurance if offered by your insurer. The higher premium may be worth it.
• Conduct an inventory of possessions and their replacement value.  Check your policy’s “contents coverage.”
• Keep a record that your insurer, agent or broker has reviewed your limits and confirmed they are adequate.⁴

The Los Angeles fires make the risks to homeowners and insurers more apparent than ever, with insurers experiencing declining profits, raising rates and in high risk areas, reluctant to issue new policies.⁵ According to AccuWeather, the toll of the fires is expected to top $250 billion, one of the most expensive disasters in California history.⁶  Mercifully, California’s insurance commissioner issued a moratorium in January reassuring LA homeowners living in the zones of the Palisades and Eaton fire that they “…cannot be dropped from their insurance policies.”⁷

1. https://www.cbsnews.com/news/home-insurance-full-coverage-natural-disaster/
2. https://uphelp.org/disaster-prep-how-to-know-if-youre-underinsured/
3. https://uphelp.org/disaster-prep-how-to-know-if-youre-underinsured/
4. https://uphelp.org/buying-tips/dos-and-donts-when-insuring-your-home/
5. https://www.nytimes.com/interactive/2024/12/18/climate/insurance-non-renewal-climate-crisis.html
6. https://www.accuweather.com/en/weather-news/accuweather-estimates-more-than-250-billion-in-damages-and-economic-loss-from-la-wildfires/
7. https://www.nytimes.com/2025/01/10/us/homeowners-insurance-fires-palisades-eaton.html?searchResultPosition=4

The Johari Window is a tool developed in 1955 by psychologists to help people understand their own and others’ behaviors and beliefs.¹ The model is based on the idea that traits, values, and motives are known or unknown by us and known or unknown by others around us. By exploring the Johari quadrants, people can develop greater self-awareness and stronger relationships with business colleagues or family members—plus, a better understanding of your own and others’ financial behaviors, biases, and goals.

The Quadrant:

Open
What is known to oneself and to others; the behaviors and qualities for which we are known (e.g. honesty or duplicity)

Blind
What is known to others but not to one’s self (e.g., the strengths or weaknesses, that we cannot “see”)

Mask
What is known to one’s self but not to others; traits and motives we choose to conceal.

Unknown/Unconscious
What is not known to one’s self or others; all that has not been considered yet has the potential to emerge.

The Johari Window’s usefulness to build leadership skills and collaborative teams in business is well known.² Shrinking the “Blind” quadrant can improve self-awareness, enabling improvement in varied facets of life. Equally, the model can create a dynamic of support and trust among family members—especially, about how money is to be saved, spent, invested, and bestowed. Finances are often a sensitive subject for those with sizeable assets—whether a tech mogul, pro athlete, or heir to a fortune.  Prickliness about transparency and the disclosure of information can arise during discussions about wealth transfer or between a couple with regard to a prenup or other arrangements to manage finances after marriage.

To make the best use of the Johari model, it will be helpful to seek out a Certified Financial Planner (CFP®) professional along with an estate planning attorney with the skills to facilitate open communication about finances and assist in understanding the legal implications of a prenup or a trust, ensuring alignment with individual and joint financial goals.

Your choice of ethical professionals is invaluable to expand the “Open” quadrant and minimize the “Blind” quadrant by inviting thoughtful feedback on traits and insights of which participants are unaware.  In the same way, openly sharing financial anxieties and aspirations shrinks the “Hidden Area.” Finally, the group can embrace the “Unknown” by considering perspectives and possibilities not yet come to light. The involvement of a neutral third-party, allows you to achieve maximum benefit via this feedback/disclosure framework.

1. https://positivepsychology.com/johari-window/
2. https://www.leadingsapiens.com/johari-window-complete-guide-for-leaders/

Funding my children’s future college education represents one of the largest investments our family will make.  So, I’m considering how to make the cost worthwhile—as college costs have “more than doubled in the 21^st century.”¹

Starting from the premise that knowledge is power, a few thought-starters about college applications now:

Schools are rethinking standardized testing (again) along with other key elements of the college admissions process.  For students and their parents, strategies about college application may also need to change.

As of January 2025, over 1,800 colleges and universities have adopted test-optional policies; however, strong test scores can still enhance applications.  The UC system is fully “test-blind,” but elite institutions like Brown, Dartmouth, and MIT have returned to requiring test scores.²  Schools like NYU are “test optional,” while still others require test scores for majors like computer science.

What are your student’s strengths?  Does your child have access to test-prep resources? Is the student likely to score in the top 10% on the SAT? Or, will a stellar academic record and class rank paint a better picture?

Many schools now spotlight extra-curricular achievements, essays and letters of recommendation–placing emphasis on a “holistic” application.   A 2023 report by Harvard Graduate School of Education notes that admissions officers are drawn to applicants who engage in authentic service for societal improvement.³

For students, AI tools like ChatGPT are now popular to assist with application essays.  Educators, however, caution reliance on AI because the result is never as powerful as a genuine expression of the singular voice.  Christine Elgersma, Common Sense Media notes, “Students should understand the ethical implications, the biases that exist in AI algorithms, the potential for misinformation and the privacy risks.”⁴

At the same time, some colleges have adopted AI to screen applications, analyze transcripts, and manage records—raising concerns about bias as algorithms trained on pre-existing data may prolong inequities for less-resourced students.⁵

The U.S. Supreme Court’s 2025 decision on affirmative action is also driving change.  Some schools are scaling back or re-branding DEI programs, while others have shifted focus to socio-economic diversity and first-generation support.⁶  Life challenges—expressed in essays and personal statements—carry greater weight.

1. https://educationdata.org/average-cost-of-college
2. https://www.forbes.com/sites/sarahhernholm/2025/01/18/4-trends-shaping-the-college-admissions-process-for-2025/
3. https://www.gse.harvard.edu/ideas/usable-knowledge/16/06/college-and-good-student
4. https://calmatters.org/education/higher-education/2023/10/college-application-essays/
5. https://www.forbes.com/sites/brennanbarnard/2024/09/17/college-admission-an-ai-revolution/
6. https://www.road2college.com/college-affirmative-action-3-18-2025/

As a Los Angeles resident, I’ve heard that many homeowners found themselves underinsured following the devastating Palisades fire. Their policies won’t cover the full cost of replacing their damaged or destroyed homes. Rebuilding will mean a smaller home—or, dipping deep into their pockets to cover replacement costs.

This issue isn’t limited to California. Hurricanes, wildfires, severe thunderstorms and tornadoes have grown more frequent and destructive in recent years (flood and earthquake damage are covered by a separate policy). And according to a “Moneywatch” report, as many as 3 in 4 U.S. homeowners could be underinsured.¹ Non-profit United Policyholders also notes that out of a total $114 billion in losses due to natural disasters in 2023, insurers covered only $80 billion, “…meaning 30% of those losses were not insured, according to the Congressional Budget Office.”²

Given such shortfalls, Jennifer Gray Thompson, CEO of After the Fire USA, says more Americans should get to know their policies.³ Homeowners should also know current construction costs in their zip code, as costs are rising across the U.S.

• Review your coverage—especially if you’ve made changes to your home or belongings
• Consult an insurance professional. You may want to consult an investment professional with CFP® designation (such as myself) who can offer unbiased insurance planning advice.
• Consider increased limits—Thompson suggests getting the maximum that you can
• Consider extended costs or guaranteed replacement cost insurance if offered by your insurer.
• Inventory possessions and their replacement value. Check your policy’s “contents coverage.”
• Keep a record that your insurer, agent or broker has reviewed your limits and confirmed they are adequate.⁴

The LA fires make the risks to homeowners and insurers more apparent than ever, with insurers raising rates due to declining profits and in high risk areas, restricting new policies.⁵ According to AccuWeather, the toll of the fires is expected to top $250 billion, one of the most expensive disasters in California history.⁶ Mercifully, California’s insurance commissioner issued a moratorium in January reassuring homeowners living in the zones of the Palisades and Eaton fires that they “…cannot be dropped from their insurance policies.”⁷

1. https://www.cbsnews.com/news/home-insurance-full-coverage-natural-disaster/
2. https://uphelp.org/disaster-prep-how-to-know-if-youre-underinsured/
3. https://uphelp.org/disaster-prep-how-to-know-if-youre-underinsured/
4. https://uphelp.org/buying-tips/dos-and-donts-when-insuring-your-home/
5. https://www.nytimes.com/interactive/2024/12/18/climate/insurance-non-renewal-climate-crisis.html
6. https://www.accuweather.com/en/weather-news/accuweather-estimates-more-than-250-billion-in-damages-and-economic-loss-from-la-wildfires/
7. https://www.nytimes.com/2025/01/10/us/homeowners-insurance-fires-palisades-eaton.html?searchResultPosition=4

In a previous post, I took a look at inter-generational wealth and the “third-generation curse,” drawing upon the erosion of the Vanderbilt fortune to illustrate that idiom.  Such failures occur so often in ultra-wealthy American families that “shirtsleeves to shirtsleeves in three generations” appears to hold true.

In fact, there are relatively few “old money” billionaires today.  Most of those listed on the current Forbes 400 (requiring a minimum of $3.3 billion) did not inherit a family business, but rather built their own.  According to the Financial Review, “Fewer than 10 percent of today’s U.S. billionaires…are descended from members of the first Forbes 400 Rich List published in 1982.”¹

Why is this the case?  References to failure of generational wealth transition often cite research in 2002 by The Williams Group consultancy, which studied 3,200 high-net-worth families and found that 7 out of 10 families lost their fortune by the 2^nd generation and by the 3^rd, the number jumped to 90%.  The Williams Group study suggests that this pattern is most often the result of a “breakdown of trust and communication within the family unit and heirs who were unprepared for financial responsibility.”²  Parents too often failed to hand on knowledge and values that would help children spend, invest, and save in a prudent, accountable way.

Today, America is at a generational tipping point.  Over the next 25 years, trillions of dollars will be handed down primarily from Baby Boomers to Gen X and Millennial heirs in the U.S. alone.  Known as the Great Wealth Transfer, it will be the largest transfer of assets in history, affecting not only the finances of younger individuals, but the economy as a whole.  To ensure the successful transfer of this significant amount of wealth, Boomer benefactors need to be proactive about estate planning—and heirs must be informed about how to manage and invest their windfall.  Equally, “Open communication can help prevent family conflicts and position heirs to maximize their newfound wealth.”³

It’s useful to note here, that Gen X, Millennials, and Gen Z are likely to have different financial priorities and expectations than their elders.  This population is digitally sophisticated, socially conscious, and has inherited major financial challenges such as student debt, the rising cost of housing, and economic uncertainty as AI drives accelerated change. Thus parents, investment professionals, and heirs alike will need to address different behaviors, e.g., an inclination towards investments shaped by new technologies, as well as values-based investing, and a desire for transparency that has generally been less important for the older generations.⁴

As an investment professional– and father of young children – I do feel strongly about the importance of financial literacy.  I make an effort to teach my children the basics of managing dollars and cents, as well as providing guidance in how to think about money as a resource, and in a way that prepares them to handle any wealth they may inherit.  This is among my responsibilities as a parent, just as I try to nurture and motivate my kids through schooling, sports, and exposure to different places, peoples, and experiences.

Of course, every family will have a unique perspective on the subject of money or inheritance.  For younger children, there may be a weekly allowance that must be budgeted.  Or, parents may help an enterprising child start a small business—raking lawns, walking dogs, or tutoring.  When kids near adolescence, it may be time for general discussions about the difference between wants and needs, or more specifically, about buying your teen a new car, paying for college, or supporting a “gap year” to explore the world.  What is the family willing and able to give?

In a 2022 Forbes article, Daniel M. Machnik, CFP® offers “Four Tips to Raise Financially Responsible Children:”⁵

• Allot and Divide.  Help children parcel out their allowance or other income into “buckets” for saving, spending and giving.  “Kids naturally love helping others.  Having the means to give instills a sense of confidence that they can make a difference.”⁶
• Allow Kids to Earn an Allowance.  The Forbes writer suggests that kids can be expected to help with some household chores, with additional tasks designated as “worthy of extra monetary incentive.”⁷
• Give Back.  Donating, time, money, skills, or goods to improve the lives of others models social responsibility.  Tech luminary Bill Gates writes in a recent memoir Source Code, “…my mother [ ] regularly reminded me that I was merely a steward of any wealth I gained. With wealth came the responsibility to give it away….”⁸
• Communicate.   While it may not be appropriate to discuss the details of estate planning, parents can be open about priorities, goals, and expectations, perhaps clarifying such matters as what form assets will take—cash or stocks, real estate, collectibles, or precious metals.  Children can also be told whether the inheritance is outright or held in trust.

In a rare 2018 interview, David Rockefeller, Jr. said that the Rockefeller family preserved its financial status primarily by passing on its core values, specifically philanthropy. “We meet as a family twice a year, often more than 100 of us in the same room for a Christmas lunch for example.”⁹ When children turn 21, they are invited to attend “family forums” to join talks about the family’s direction with respect to business dealings, careers, philanthropy, and so forth.  Of course, with a collective net worth of $10 billion, the family also employs a number of wealth management professionals who oversee trust and estate services, financial planning, office services, and so forth.

Even for those of us with lesser fortunes, an attention to open communication within the family —early on and as children mature—can lay a foundation for money management throughout the course of our children’s lives.  At the same time, the choice of an ethical investment professional will be invaluable in effective estate planning, providing investment solutions and retirement strategies as each generation prepares for the opportunities of the 21^st century.

Based on my reading, thinking, and experience, the following is a basic framework for positioning oneself to effectively handle the upcoming intergenerational wealth transfer:¹⁰

Parent/Benefactor Estate Planning

• Develop a strong estate plan with trusted advisor(s).
• Create a wealth plan transfer aligned with your goals. Attend to wills and trusts early on.
• Update legal and financial documents related to retirement and bank accounts, real estate titles, tangible assets, insurance, and so forth. Provide copies to heirs.
• Communicate openly with all beneficiaries.
• Enlist a reliable third party to act as a trustee if family disputes are likely to arise.
• Consider a trust fund to protect assets. Consult with professional advisors to decide if a trust structure works for you.

Heir/Inheritance Planning

• Invite conversation about the value and type of inheritance to be received.
• Identify, list, and commit to your priorities about managing newfound wealth.
• Engage qualified estate, financial, and insurance professionals who can help to maximize your inheritance.
• Consult a tax professional to reduce any potential tax burdens.
• Develop a tax and investment plan to protect and grow wealth.

1. https://www.afr.com/wealth/investing/where-did-all-the-billionaire-families-go-20240206-p5f2s9
2. https://www.thewilliamsgroup.org/our-story
3. https://www.investopedia.com/navigating-the-great-wealth-transfer-8697256
4. https://www.investopedia.com/gen-z-investing-trends-8782299
5. https://www.forbes.com/councils/forbesfinancecouncil/2022/02/01/four-tips-to-raise-financially-responsible-children
6. Ibid
7. Ibid
8. Gates, Bill, “Source Code/My Beginnings,” February 4, 2025, quoted at https://news.slashdot.org/story/25/01/26/0259252/bill-gates-thanks-parents-in-new-memoir-acknowledges-lucky-timing-and-possible-autism#:~:text=But%2C%20of%20course%2C%20there%20was,away%2C%20she%20would%20tell%20me.
9. https://www.cnbc.com/2018/03/26/david-rockefeller-jr-shares-4-secrets-to-wealth-and-family.html
10. https://www.investopedia.com/navigating-the-great-wealth-transfer-8697256

Given there are now more billionaires than ever, the theory of the “three-generation curse” seems particularly relevant.  But is the wealth built by a first generation (most often, an entrepreneur) destined to dissipate by a third generation?  Can one protect one’s hard-won assets from future mismanagement?  My thoughts led first to identifying causes, followed by a consideration of how to prevent the erosion of wealth.

How Wealth Erodes:

Failure to impart a work ethic.

Heirs who have ready access to family assets may feel “entitled” and lack motivation to preserve the wealth.  Independently wealthy young adults are often referred to as “trust fund babies” and recently, the buzzword “affluenza” has entered the conversation—a reference to unhealthy psychological effects that are due to affluence.

Lack of financial education

Those who inherit wealth (or experience sudden wealth) may not know how to manage it effectively, perhaps spending lavishly and making poor choices – such as imprudent investments.

Conflict within a family

Disputes over the allocation of an inheritance or discord among family members with regard to property and other tangible assets may lead to expensive legal battles.

Poor planning

Failure to create a clear, coherent plan for the distribution of assets can lead to depletion of wealth through investments that fail to produce the high returns that allow a family to build on a foundation of affluence.

Economic disruptors

Inflation and market volatility can diminish the value of an inheritance, especially the value of an investment portfolio that is not thoughtfully diversified.

Lifestyle choices.

Wealth over generations is also affected by the number of children who will be named as heirs, the high costs associated with divorce and other familial matters.

As an example, Cornelius Vanderbilt, once one of the richest men in America, built a shipping and railroad empire founded with relatively little money that Cornelius borrowed from his mother.  His heirs decimated the fortune by spending recklessly on fine art, yachts, thoroughbred horses and several grand homes in New York City and Newport, Rhode Island.   Perhaps prescient, the patriarch is quoted as saying, “Any fool can make a fortune; it takes a man of brains to hold onto it.”  Vanderbilt’s children failed to do so.¹

How Wealth Can Be Preserved

While there are no guarantees that an affluent family will remain so in ensuing decades, I found of interest an article published on Nasdaq’s Personal Finance page entitled, “Generational Wealth:  Why Do 70% of Families Lose Their Wealth in the 2^nd Generation?”  Nasdaq’s contributor points out that the failure to discuss one’s wealth with heirs is likely to result in “unnecessary taxes, costly estate fees, and possible family strife.”² As a preventative:

Open the Lines of Communication:  Prepare the next generation and take advantage of “teachable moments” so that family members can learn and become knowledgeable enough to participate in decisions that affect the family’s wealth.

Share Decision-Making: The inability to properly manage an inheritance may simply be that the wealth creator did not involve children in the thinking and practices that lead to building and managing wealth.

Consider  Professional Advisor or an Impartial Trustee: Challenges may arise that family members are not equipped to handle.  An objective individual could free discussions from the biases and emotions that can override rational decision-making.

Develop a Plan:  An informed plan provides a roadmap for how wealth should be managed and invested for future generations. 

As a financial adviser,  I am convinced that professional expertise and an understanding of the “psychology of affluence” can play a crucial role in protecting wealth.  But ultimately, perhaps it is a legacy of sound values—a sense of purpose and shared responsibility—that will preserve and even expand an affluent family’s wealth.

1. Quoted in Fortune’s Children: The Fall of the House of Vanderbilt, a family history written by cousin Arthur T. Vanderbilt II.  See:  https://www.forbes.com/sites/natalierobehmed/2014/07/14/the-vanderbilts-how-american-royalty-lost-their-crown-jewels
2. Generational Wealth:  Why Do 70% of Families Lose their Wealth in the 2^nd Generation? October 19, 2018, published 3:22 pm EDT https://www.nasdaq.com/articles/generational-wealth%3A-why-do-70-of-families-lose-their-wealth-in-the-2nd-generation-2018-10

As we know, the pandemic had a profound effect on real estate, curbing residential sales and construction in the face of economic uncertainty.  And while home values picked up as things stabilized, domestic buyers must now confront a ‘perfect storm” of rising prices, elevated mortgage rates and lack of inventory.  Still, emerging trends seem to make the picture a bit brighter—whether you are looking to buy a home for you and your family or seeking an investment opportunity.

The Luxury Residential Market

Mauricio Umansky, CEO of The Agency, recently discussed the Los Angeles luxury market on CNBC’s “Fast Money” program, noting that buyers are paying cash to purchase homes at The Agency’s average sale price of $2.4 million.  Umansky, who can boast $5B in sales to date, as well as reality TV celebrity status, says that the supply of available properties remains low, while interest rates have soared.  Thus, financed transactions are also low and it’s “people with money” who are buying million-dollar homes.

Umansky also commented on The Agency’s international business, noting the “amazing” activity in Portugal and strong investment in Caribbean resort properties, as well as Mexico.  According to Umansky, the U.S. is drawing significant interest from buyers in the United Kingdom, but in general few international buyers are coming into the United States as yet.

New-Build Housing

According to residential real estate brokerage Redfin (www.redfin.com), nearly 33.4% of single-family homes for sale in the first quarter of 2024 were newly built, a share reflecting the fact that resale inventory has shrunk as homeowners sit on their existing mortgage rate.  The low supply of has caused residential prices to skyrocket, but builders tend to price fairly and are often more flexible about pricing than homeowners.  Builders may also offer incentives like mortgage rate buy-downs, amenity upgrades, and closing cost coverage to attract buyers.

At the same time, real estate pundits at CNBC offer the following advice for those considering the purchase of a new-build home (see CNBC “Personal Finance” link below):

• Consider a smaller house (the median size of a home has grown by 150% since 1980 and has nearly doubled since 1970).
• Be open about geographic location (suburban and rural homes are usually cheaper than urban homes).
• Keep construction costs down (focus on structural elements rather than high-end finishes).
• Be mindful of future costs (e.g., property taxes, utilities, upkeep and other operating costs, especially for larger homes)

Beyond the Matter of Cost

For most, home ownership is a milestone that represents one of the larger investments people will make in a lifetime—one that requires significant financial resources to achieve and sustain it.  We know that owning a home offers an opportunity to build credit and wealth, but what other benefits are people hoping for when they buy a home?

I found interesting a discussion on CNBC’s “Last Call” with David O’Reilly, CEO of Howard Hughes Holdings.  Reilly talks about the need to build flexible eco-systems into our communities and into new housing developments, as well as what it is that potential buyers now look for, their “needs and yearnings.”  Drawing from his own experience, Reilly says that both first-time buyers and older buyers are seeking a place to live that offers:

• access to nature
• shorter commutes and more time to spend with family
• a self-contained ecosystem, a live/work/play environment with easy access to schools, churches, retail, recreation, etc.
• affordability (for many, the most important feature)

Buying a home is expensive and that doesn’t appear to be likely to change soon.  Equally, many people still have a sense of economic uncertainty and are hesitant about making real estate moves even though inflation has gone down and wages are rising.  It will be interesting to see what happens when interest rates do go down and more inventory becomes available to aspiring homeowners.

CarMax advertising reads, “This is the way car buying should be.”  But is it?  CarMax offers a sell/trade service that promises an offer for your car in just a couple of minutes and once the offer is accepted and verified, it will “pay you on the spot.”  CarMax makes an offer for your vehicle whether or not you buy one of the tens of thousands of cars they list for sale.

Carvana spends a lot of money on TV commercials, that feature a variety of songs, characters and celebrities.  The ads promise that you can trade in or sell your car with, “No haggling. No headaches.”  Carvana will do a “…quick, on-site review of your vehicle and pay you on the spot.”   Sounds good.  But is it the best deal you can get?

According to Nate Mihalovich, CEO of The Lasso, these two e-commerce giants, even compared to other “instant cash” offer companies, will give you the best deal only 20% of the time.  In a post on X by Car Dealership Guy, he states that dealers are very good at beating those offers and that, “we rarely see them lose to CarMax or Carvana.”  Mihalovich says that if the seller gets multiple offers from a variety of sources, the dealer equipped with that information is motivated to beat those offers because it can win in another part of the transaction—selling you a new car.

It should perhaps be noted that The Lasso, founded by Mihalovich, is a consumer-driven auction created to sell cars directly to its network of dealerships.  Nonetheless, it would seem that when it comes time to trade-in your car, getting multiple offers from online companies will give dealers incentive to make a better one.  On the other hand, if you want to sell an older vehicle with minimum inconvenience, Carvana, CarMax, or other used-car retailers offer ease of use and competitive pricing.  And if you don’t mind spending time to locate and negotiate with potential buyers, most experts agree that, “you will always make more selling [the car] yourself.”¹

I am always interested in learning more about how to meet life’s inevitable challenges with resilience and resolve. So, I was intrigued by a well-known neuroscientist’s tweet about a brain region that research has shown to be associated with the trait of mental toughness or perseverance.

The anterior mid-cingulate cortex (aMCC) is an area of our human brain that is linked to higher-level functions such as attention, motivation, decision-making, and impulse control. Recently, Andrew D. Huberman, Ph.D., an Associate Professor of Neurobiology and Ophthalmology at Stanford University, referred to the aMCC on the afore-mentioned tweet and discussed this neural hub on his blog (@hubermanlab), citing empirical evidence of its involvement in one’s ability to build will-power and tenacity. Moreover, the aMCC is stimulated by “leaning into” things that we don’t enjoy; by doing things that, in fact, we don’t want to do.

Perseverance is, of course, a vital trait to cultivate. It takes perseverance to earn an MBA or a PhD, will-power to train for an Ironman, tenacity to succeed in any profession. You have to run, bike or swim those daily miles or complete that daunting data analysis even when you’d rather just sit down and play Fortnite. And, according to Huberman, when we do something that’s hard, we begin to “grow” the aMCC, enhancing its structure and connectivity. When we step outside our comfort zone, stretch ourselves on a consistent basis, we build mental toughness.

Huberman’s point seems to be backed by various studies, including the research of Josef Parvizi, MD, PhD, professor of Neurology and Neurological Sciences at Stanford University. At the same time, psychologists and other scientists suggest that the anterior mid-cingulate cortex is just one piece of a complex puzzle. An individual’s ability to draw upon physical and psychological resources in the face of obstacles or setbacks is an interplay of genetics, general health, and social/cultural factors—and further research is needed to get the whole picture.

An article published by the brainfirst institute cites both psychologists and neuroscientists on the subject of perseverance, including research by psychologist Angela Duckworth which shows that passion and persistence for long-term goals—or “grit”—are better indicators of success than IQ or talent. Duckworth is a MacArthur “genius”, the Rosa Lee and Egbert Chang Professor of Psychology at the University of Pennsylvania. Duckworth’s book, Grit: The Power of Passion and Perseverance, discusses research by Carol Dweck, which suggests that a “growth mindset” plays a crucial role in the development of perseverance.

A growth mindset—the belief that one’s abilities are not fixed but can be developed—allows individuals to see difficulty as an opportunity for intellectual or athletic development, rather than as a dead-end. This mindset plays a critical role in how we perceive obstacles or failures, which can be viewed as opportunities to turn a setback into effective problem-solving, such as seeking out a knowledgeable mentor or a supportive coach. Or, as Huberman might suggest, doing the hard thing—spending that extra hour to prepare for an exam or tough it out at the gym.

Certainly, we can take away that continuing to challenge oneself, to learn new skills, set new goals and seek out novel experiences, seems like a very good way to cultivate cognitive and physical health.

How often do you think about breathing?  Human beings breathe about 22,000 times a day, but we don’t give it much attention unless we’re ill or just sprinted up a steep hill.  We leave breathing up to the medulla oblongata, located at the bottom of our brain stem.  Of course, if you practice yoga or meditation, a focus on breath is integral to your practice.  And those of us who train to climb mountains also learn to regulate our breathing.   Still, Tobi Emonts-Holley’s tweet about “box breathing” sparked my interest, along with his reference to studies by Northwestern Medicine scientists that confirm the links between breath, brain function and behavior.

Box breathing is quite simple, but the effects seem to be powerful.  That’s why it’s employed by the U.S. Navy SEALS and others in high-stress professions like ER doctors or athletes with pre-game anxiety, who use the technique to become and remain calm.  In yoga, this conscious breathing technique is known as sama vritti pranayama, designed to connect and balance body and mind, allowing you to both relax and focus.

To begin “box breathing,” find a comfortable, upright seat exhale slowly, evenly and fully.  Next, start your breath cycle by breathing in slowly and gently through the nose to the count of four, hold your breath to the count of four, then exhale slowly to the count of four, and again, hold your breath for four counts.  Repeat for about four rounds.

If you’re new to box breathing (also known as four-square breathing), it may take a little time to get the hang of it. You may feel lightheaded after a few rounds.  If so, simply return to a normal, relaxed breathing pattern.  As you practice, however, you’ll be able to do more rounds without any dizziness.

Why does this practice work?  Retaining your breath allows CO2 to build up in the blood.  Increased blood CO2 enhances the cardio-inhibitory response of the vagus nerve when you exhale and stimulates your parasympathetic nervous system (PNS), which produces a feeling of calm.  In moments of stress or danger, the other part of the autonomic nervous system (ANS)—your sympathetic nervous system—drives the fight-or-flight response.  Box breathing can help move one out of that state of high alert by stimulating the PNS.

You may have noticed that intense anxiety results in quick and shallow breaths—hyperventilating—which raises blood pressure, causes the heart to pound and builds even more tension.  As a result, one’s physical or mental performance is likely to suffer as the ability to regulate emotion and focus the mind disintegrates.  Box breathing can be an effective tool to aid in maintaining a calm, clear mind.

If the subject is of interest, I’ve included some links below, including one to Stanford Medicine magazine which addresses other breathing techniques such as bellows breathing and cyclic sighing.

The Mental Game in Basketball and Life

I’ve written before about mental conditioning as an essential part of athletic training or preparing for competition.  And I believe it’s a tool that applies more broadly to one’s professional life whatever one’s challenges or goals.  With that in mind, I was struck by UCLA coach Cori Close’s Twitter post:  “The edge is where your talent runs out and you develop the discipline and skill to reach your potential.”  Close has stressed her belief in “discipline over default,” the daily practice of building mental toughness and resilience to enhance your game.

As UCLA women’s basketball coach since 2011, Cori Close has elevated the school’s program and guided her team to a successful 2024 season (24-5, 13-5 in the PAC-12).  In addition, Close earned a prestigious honor, being named as recipient of the 2024 WBCA Carol Eckman Integrity in Coaching Award.  A video course, “Coaching the Mental Game of Basketball,” details Close’s methods for building a mentality for success for herself that she further translates to her athletes.  You can find a 54-second YouTube video entitled “Chasing Edges,” featuring Coach Close talking to her players about how to learn to talk to yourself, to overcome doubt, when you’re at your edge.

As part of the mental conditioning process, Close has talked about the value of a growth mindset, the importance of discipline even in the off-season and the power of an environment in which joy and struggle both exist.  As if echoing the words of Cori Close, star player for the University of Iowa, Caitlin Clark says, “The biggest thing is coming in every day and being intentional about every single thing we do….  You have to win practice every single day if you want to win on game day.”

While leasing a car has long been a popular option for drivers looking to lower monthly payments, journalists with an eye on the automotive industry have noted that leasing hit a road bump during the pandemic years.  Today, however, thanks to shifting market dynamics, drivers are once again opting to lease in order to avoid the costs of buying currently imposed by high interest rates.

A recent tweet by Car Dealership Guy, entrepreneur Yossi Levi, predicts that, “…vehicle lease penetration will reach all-time highs in the coming years.”  Why?  Per Levi’s tweet, “…saving 10-25% on a vehicle’s monthly payment by leasing instead of buying outright is no longer a ‘want’—it’s a ‘need’ for most people.”  Car prices are approaching all-time highs and buying is a painful stretch for many people who deal with adjustable rate mortgages or high and rising rents, along with the inflated cost of gas and groceries.

Yossi, who hosts a popular podcast, notes that car manufacturers have focused on big cars equipped with lots of high-tech features that, along with higher interest rates and low product supply, are nudging buying costs up and up.  Still, owning a car does have its rewards.  You are free to customize your vehicle and there’s no limit on your annual mileage.  On the other hand, although you have equity in your vehicle, even a high-end new car doesn’t hold its value—particularly in the short term.  So, if you know you will want another new car in a few years, you are likely to lose money when go to sell or trade the car in.

With many car manufacturers offering advantageous lease deals, leasing may be a smart move as a way to avoid some of the effects of high interest rates.  As a plus, you can return your vehicle at the end of three years in exchange for a brand-new car with all the latest bells and whistles.  You also have the option to buy your leased vehicle at the end of lease term (the buyout price is stated in the original lease agreement.).  It’s a matter of finances, lifestyle and personal preference.

Excellence.  Greatness.  Peak Performance.  How does an athlete, a businessperson, or a professional in any field achieve those goals?  Recently, I watched a video on X (@BambarkarPrasad) that featured Olympic Gold Medalist Michael Phelps and Hall of Fame coach Bob Bowman.  On the video, Bowman’s voice-over speaks to the focus Phelps achieved during competition, which athlete and coach alike attribute to a consistent practice of visualization.

With 23 Gold Medals, Phelp’s competitive record is legendary.  Bowman is one of the most successful coaches in sports history.  You can find the duo on X and YouTube, where they talk about the importance of daily dedication and discipline—and Phelps’ practice of visualizing all possible scenarios of a competition, the good and the bad.  Bowman says that Phelps has a plan in place to deal with any obstacles that might arise and distract him from the ultimate goal—to win.

For Phelps, the initial target is to produce the best possible performance at each practice session–and the practice after that and the one the day after that.  It’s critical to focus on the process, pursuing one’s personal best each day while reminding yourself continually of the ultimate vision.

Bowman notes that before a race, Michael Phelps would use techniques to get into a calm, relaxed state and mentally rehearse for hours each day in the pool.  He would see himself swimming and winning, creating vivid details—the sensations created by the feel of the water, the sounds and scents.  Phelps visualized being in the pool and also seeing himself from the outside as if he were a spectator in the stands.  He rehearsed strategies for overcoming potential obstacles.  And when Phelps’ goggles unexpectedly filled with water during the 200-meter butterfly final at the 2008 Olympics, he was able to maintain focus, rely “on my strokes”—and win!

According to Bowman as reported by Carmine Gallo for Forbes, mental rehearsal is a well-established technique to achieve peak performance. “The brain cannot distinguish between something that’s vividly imagined and something that’s real.”  He adds that, “If you can form a strong mental picture and visualize yourself doing it, your brain will immediately find ways to get you there.”

Like Phelps, Tiger Woods has also described visualization as crucial preparation.  He visualizes each shot, sees the ball in flight and where it will land.  He also uses visualization to prepare for scenarios such as dealing with windy conditions.  Clearly, visualization is not about wishful thinking or expecting the universe to deliver whatever you want with no effort.  It is about discipline, determination and a consistent mental practice that allows you to both dream and execute.

Readers may wish to check out Bob Bowman’s book, “The Golden Rules,” Finding World Class Excellence in Your Life and Work.

Given my abiding interest in fitness and health, I was intrigued by the recently published “Outlive” from physician Peter Attia—a book rich in information about the diseases most likely to assail us as we age.  Attia refers to those chronic disorders as the Four Horsemen:  cancer, heart disease, neurodegenerative disease (e.g., Alzheimer’s), and type 2 diabetes.  His discussion of type 2 diabetes—prevention and intervention—caught my attention in particular, as 1 in 10 Americans suffer from this disease, along with some of my friends.

Attia received his M.D. at Stanford University, followed by training at Johns Hopkins Hospital and a fellowship with the National Institutes of Health at the National Cancer Institute.  Attia’s approach to “healthspan” and lifespan is grounded in science, offering evidence that exercise is a potent preventative “drug” for both cognitive and physical decline.  To maintain metabolic health, it is essential.

Metabolic health means that you are able to properly use and dispose of the glucose in the blood for energy and for storage in the cells.  Unfortunately, a diet of “abundance” and sedentary lifestyles, often lead to impaired metabolic function, a continuum of insulin resistance, pre-diabetes, and type 2 diabetes at the extreme.  Insulin resistance, resulting in elevated levels of glucose in the blood, precedes type 2 diabetes and is also linked to greater risk of heart attack, stroke, nonalcoholic fatty liver disease (NFLD), some cancers, and dementia.

While there is no argument that physical activity helps to control diabetes, there has been some controversy as to whether aerobic or anaerobic exercise is best.  As Attia notes, there are three primary differences between aerobic and anaerobic activity as it relates to blood glucose management and type 2 diabetes:

1. The amount of oxygen required to perform the activity
2. The intensity and duration of the activity
3. Where the body draws fuel for the activity (muscle or liver)

As we know, the word “aerobic,” meaning “requiring oxygen,” refers to activities like walking, cycling, or swimming that can be performed for an extended period with the body maintaining heart and breathing rates at elevated but steady levels.  Such extended aerobic activity improves the body’s ability to utilize blood glucose, which lowers blood sugar levels and, over time, increases insulin sensitivity—an advantage in managing diabetes.

The word anaerobic is used to define vigorous, short-term activities like weight training and high-intensity interval training. During anaerobic activity the heart rate is too elevated to use blood sugar as fuel. Instead, the body burns glycogen (the storage form of glucose) stored in your muscles and liver.  Anaerobic activity can actually increase blood sugar levels for an hour or so as glycogen stores are replenished, but this elevation is temporary.  Ultimately, vigorous activity improves proper metabolic function.

The physiology is complex,* but in brief, involves the liver, which plays an essential role in converting stored glycogen to glucose and releasing it to maintain glucose homeostasis.  Additionally, the pancreas secretes insulin, which shuttles the glucose to where it’s needed.  In a sedentary person, who is not using blood sugar or stored glycogen, excess energy largely ends up as triglycerides within fat cells, driving conditions like type 2 diabetes.

Attia asserts that both aerobic and anaerobic exercise are essential to proper metabolic function.  Beyond increasing cellular insulin sensitivity, aerobic training improves cardio-respiratory efficiency, measured in terms of VO2 max—another powerful marker for healthy aging.  Anaerobic activity builds muscular mass and strength, which expands the storage capacity for blood sugar in the muscle preventing the build-up of blood sugar and again, improving insulin sensitivity.  Any activity “north of zero” is good according to Attia, and all will create the strength, stability, and endurance we need for everything we do in life.

While there is much more to be gleaned from Attia’s detailed discussion, the importance he places on the need to “get our metabolic house in order” was new to me, as was the knowledge that 34 million people in the U.S. suffer from type 2 diabetes.  The good news, per Attia, is that “we have tremendous agency over” our own path and attention to exercise, a healthy diet, and sufficient sleep “can completely turn the tables in our favor.”  Good news, indeed.

Attia hosts a weekly podcast, “The Drive.” Videos on various subjects are available on YouTube and on his web site https://peterattiamd.com/