When Performance Leads You Off Course

In investing—and in life—comparison is a trap.

This year, the gap between domestic and foreign stocks has been stark. International markets have surged while U.S. equities have lagged—and it’s tempting to think: Maybe I should shift now… before it’s too late.

But here’s the truth…

Chasing yesterday’s winners is one of the most expensive mistakes an investor can make.

The Benchmark Bias

Here’s a pattern I see often: Someone opens their statement, sees the asset class that just outperformed—domestic or foreign—and starts second-guessing:

“Why wasn’t I in that?”

This is completely normal. In fact, psychologists refer to this as recency bias – a mental shortcut that our brains use to help us predict what may happen next.

But here’s the problem…

Cherry-picking the latest top performer as your benchmark creates a moving target you’ll never catch.

Because what’s winning is always changing—and by the time you adjust, the market has often moved on. You end up reacting to the past instead of building toward your future.

Hence why every investment disclosure reminds us: Past performance is not predictive of future results.

Are You Measuring What Truly Matters?

A question I often hear is: “Am I keeping up?”

It’s an understandable instinct in a world that constantly ranks and compares.

But maybe a better question is…

“Am I still aligned with the reason I invested in the first place?”

The real goal isn’t to choose between purpose and performance. It’s to align them.

Money, after all, is a tool. If it’s untethered from purpose, it becomes a scoreboard. But when it’s directed by intention, it becomes fuel for the life you actually want to live.

Ignore returns, and your goals may fall short. Obsess over them, and your life can drift from what truly matters.

Purpose sets the direction. Strategy gets you there. Performance is the byproduct—not the point.

When your benchmark is rooted in personal purpose—not market movement—it’s far more likely to hold up over time.

Alignment matters more than appearance

It’s easy to think: “If I just had more money, I’d be set.”

But I’ve seen it firsthand. A client sells their business, the wire hits, and for a moment, they exhale.

Then the questions creep in:

“Should I buy a second home?”

“What if I live longer than expected?”

“Should I be doing more for my kids now—or wait?”

The balance grew. But the feeling of more didn’t change.

Success isn’t about having more. It’s about knowing what it’s for—and seeing it used well.