Why/When to take a break from investing

Why/When to take a break from investing

Sam YinPro Member
Los Angeles, CA · Member since 2021 · 583 posts · 738 votes

I want to hear people's opinions on taking purposeful breaks from active investing. It would be great to hear the perspectives from all experiences. I hope to find others who may have felt a bit lost at times during their journey and how they redirected their focus back into the game to expand their AUM.

BACKGROUND:

I am now father of 3 (teens and tween) and have worked hard just about every day of my life since I arrived in the US at about 12. Years of factory sweatshops/piece work sewing women's garments, to diamond cutting throughout high school and after. I was in the Army two days after high school graduation to deal with the fall of Yugoslavia, then became a postal carrier, a baker in a doughnut shop, a coffee distributor, a motorcycle mechanic, and the list goes on. I always did many jobs concurrent to each, often only sleeping a few hours a day for many years, and almost failing out of High School at one point. In 2020, during the start of the pandemic, I stumbled upon a BP podcast on YouTube. Spent months watching and absorbing knowledge of BP and several other internet personalities. I decided to make REI my wealth-building vehicle and took the plunge. A few years later, I was able to achieve F.I.R.E. but I still kept at the REI business. As I reassessed and refined my operations, I am about as passive as I should be, spending about 1-4 hours/month dealing with landlord issues. However, I keep a pulse in the market by communicating with people and Agents of the industry, taking up about another 4-10 hours/month of my time. I told myself that I would do three transactions per year, and so far I have met/exceeded that goal since I began. But as time goes by, and my focus leans more toward legacy building, I am sometimes conflicted as to where to focus my energy... continue expanding, educating the kids, or enjoying the moment and allowing the kids to do their own thing versus steering them into REI.

I find myself taking pauses to enjoy the cash flow, spend time with the kids, and deal with my wife's hobby farm... involving about 70 chickens and two separate gardening areas, while she enjoys working full-time at a local college. But each time I pause actively seeking more investments, I get pulled right back in by Agents in the business, making offers on my properties. That would spark me to consider them, then immediately look for an upleg, and the hustle is on again for another month or two to get things stabilized. Then the cycle repeats. After a few times, the cycle has now become intentional and it seems to be a good balance to make all that work WORTH IT. For some extra context, I feel I have focused on work/life balance, leaning a bit more on life than work, and perhaps been too lenient on my kids/wife. The reason this came about is because I could and I did it when I felt the family needed more of my attention. 

Does anyone else experience something similar? Furthermore, has anyone been caught up in this cycle for a while, only to look back and see flaws or thought they should have done it differently? Do you ever feel that maybe you began to stray a bit from what made you successful or got too relaxed and lost focus on your REI goals? I guess the bigger question is when did you feel it was necessary to stop totally... or did you just keep trucking along and accumulate more, just slower?


I value everyone's opinion as I am always reassessing my roadmap.  Thank you in advance.

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Morris County, NJ · Member since 2020 · 5k+ posts · 2k+ votes
2y

@Sam Yin

I guess I'm not sure if you are enamored with REI as a "hobby," as the only way to invest and make money, or what...

It SOUNDS like it doesn't meet your needs, specifically the work/life balance. Perhaps you need to adjust your investing, be it within REI or outside. There are many ways or areas to invest. Maybe you need to see just that one more video, or read a book, or whatever...

I believe you've read my other posts.  I have been liquidating my portfolio because it no longer meets my needs --- or has met my needs.  Wealth has been generated and I don't want to spend time on it.  No "significant" need for more "equity investing," time for debt or income investing.  More passive and different risk profile to help with work/life balance.  I still expect to grow my AUM, just differently.

Does that help?  Good luck.

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  • Morris County, NJ · Member since 2020 · 5k+ posts · 2k+ votes
    2y

    @Sam Yin

    I guess I'm not sure if you are enamored with REI as a "hobby," as the only way to invest and make money, or what...

    It SOUNDS like it doesn't meet your needs, specifically the work/life balance. Perhaps you need to adjust your investing, be it within REI or outside. There are many ways or areas to invest. Maybe you need to see just that one more video, or read a book, or whatever...

    I believe you've read my other posts.  I have been liquidating my portfolio because it no longer meets my needs --- or has met my needs.  Wealth has been generated and I don't want to spend time on it.  No "significant" need for more "equity investing," time for debt or income investing.  More passive and different risk profile to help with work/life balance.  I still expect to grow my AUM, just differently.

    Does that help?  Good luck.

  • Member since 2024 · 400 posts · 240 votes
    2y

    You seem to have achieved more than your share and have slowed but not stopped. I cannot add anymore to your investing side because you have achieved more than me. I may be able to add to the other part. Family and kids. I have spent almost all my career in my professional life and it seem there's always more to achieve, kinda hard to let go and stop. But I am beginning to accept there has to be a stop at some point. Hope you can find that point. As for the focus of energy, it's educating the kids over expanding. Expanding will take away time and focus away from kids even if you think you are not. My kids were told that my success will be defined by what they achieve in life rather than what I have achieved. As for allowing kids to do their own things vs steering them into REI, it depends on your kid's traits, personality, habits, intelligence among many other (genetic) gifts or lack of. Some kids have the intelligence, focus and determination to do their own things and succeed. Some kids just have it in them. And unfortunately, some kids don't have it in them. I have seen it in my family, my extended family, friend's family, neighbor's family, kid's friend's family (you get the point). It is up to you to identify them (your kids) as to who is who and do accordingly. Allowing the one with no chance to succeed to do their own things is to set them up for failure. That kid is the one you need to nudge and maybe steer them into REI where you are more involved(other way of saying they need your involvement). The one that is geared for success will come to you without nudging. Congratulation and best of luck.

  • Sam YinPro Member
    OP
    Los Angeles, CA · Member since 2021 · 583 posts · 738 votes
    2y
    Quote from @David M.:

    @Sam Yin

    I guess I'm not sure if you are enamored with REI as a "hobby," as the only way to invest and make money, or what...

    It SOUNDS like it doesn't meet your needs, specifically the work/life balance. Perhaps you need to adjust your investing, be it within REI or outside. There are many ways or areas to invest. Maybe you need to see just that one more video, or read a book, or whatever...

    I believe you've read my other posts.  I have been liquidating my portfolio because it no longer meets my needs --- or has met my needs.  Wealth has been generated and I don't want to spend time on it.  No "significant" need for more "equity investing," time for debt or income investing.  More passive and different risk profile to help with work/life balance.  I still expect to grow my AUM, just differently.

    Does that help?  Good luck.


     David, 

    Thank you for your response. It would appear you kept at it, just from a different angle. I have seriously considered liquidating a few apts as well and step into the lender role. I would still like to grow my AUM, but perhaps differently, as you had mentioned. 

    i would like to pick your brain a bit more for some insight on how/when you chose to pivot. I'll DM you. Thanks.

  • Sam YinPro Member
    OP
    Los Angeles, CA · Member since 2021 · 583 posts · 738 votes
    2y
    Quote from @Kevin S.:

    You seem to have achieved more than your share and have slowed but not stopped. I cannot add anymore to your investing side because you have achieved more than me. I may be able to add to the other part. Family and kids. I have spent almost all my career in my professional life and it seem there's always more to achieve, kinda hard to let go and stop. But I am beginning to accept there has to be a stop at some point. Hope you can find that point. As for the focus of energy, it's educating the kids over expanding. Expanding will take away time and focus away from kids even if you think you are not. My kids were told that my success will be defined by what they achieve in life rather than what I have achieved. As for allowing kids to do their own things vs steering them into REI, it depends on your kid's traits, personality, habits, intelligence among many other (genetic) gifts or lack of. Some kids have the intelligence, focus and determination to do their own things and succeed. Some kids just have it in them. And unfortunately, some kids don't have it in them. I have seen it in my family, my extended family, friend's family, neighbor's family, kid's friend's family (you get the point). It is up to you to identify them (your kids) as to who is who and do accordingly. Allowing the one with no chance to succeed to do their own things is to set them up for failure. That kid is the one you need to nudge and maybe steer them into REI where you are more involved(other way of saying they need your involvement). The one that is geared for success will come to you without nudging. Congratulation and best of luck.


     Kevin,

    There are some really cool statements in your response. You definitely put many of my thoughts into actual words that I wish I could done on my own. You are spot on when it came to your philosophy on rearing the kids to allow them to pursue they interests and nudge the ones that may want to come back into REI later. All of my children are different and have opposite strengths and weaknesses. They are motivated and interested in things that are modern and out of my realm of understanding.

    Thanks for redirecting me back to that understanding. I have always felt that way, but I had been a bit frustrated lately at their total lack of personal interest. I had given each a laundry room and allowed them to keep all the proceeds. It was great for about a year, then they all lost interest. Might just be their teen phase.

  • Member since 2024 · 400 posts · 240 votes
    2y
    Quote from @Sam Yin:
    Quote from @Kevin S.:

    You seem to have achieved more than your share and have slowed but not stopped. I cannot add anymore to your investing side because you have achieved more than me. I may be able to add to the other part. Family and kids. I have spent almost all my career in my professional life and it seem there's always more to achieve, kinda hard to let go and stop. But I am beginning to accept there has to be a stop at some point. Hope you can find that point. As for the focus of energy, it's educating the kids over expanding. Expanding will take away time and focus away from kids even if you think you are not. My kids were told that my success will be defined by what they achieve in life rather than what I have achieved. As for allowing kids to do their own things vs steering them into REI, it depends on your kid's traits, personality, habits, intelligence among many other (genetic) gifts or lack of. Some kids have the intelligence, focus and determination to do their own things and succeed. Some kids just have it in them. And unfortunately, some kids don't have it in them. I have seen it in my family, my extended family, friend's family, neighbor's family, kid's friend's family (you get the point). It is up to you to identify them (your kids) as to who is who and do accordingly. Allowing the one with no chance to succeed to do their own things is to set them up for failure. That kid is the one you need to nudge and maybe steer them into REI where you are more involved(other way of saying they need your involvement). The one that is geared for success will come to you without nudging. Congratulation and best of luck.


     Kevin,

    There are some really cool statements in your response. You definitely put many of my thoughts into actual words that I wish I could done on my own. You are spot on when it came to your philosophy on rearing the kids to allow them to pursue they interests and nudge the ones that may want to come back into REI later. All of my children are different and have opposite strengths and weaknesses. They are motivated and interested in things that are modern and out of my realm of understanding.

    Thanks for redirecting me back to that understanding. I have always felt that way, but I had been a bit frustrated lately at their total lack of personal interest. I had given each a laundry room and allowed them to keep all the proceeds. It was great for about a year, then they all lost interest. Might just be their teen phase.


     You are welcome.  You gave me some insights as well in your response to my post.  Don't be frustrated and above all don't loose patience with your kids and DON'T give up.  Thanks.

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