Best of 2025 Globe Advisor Top Stories by Deanne Gage

As 2025 draws to a close, the financial landscape is teeming with evolving narratives and insights. From changing leadership in politics to shifting consumer behaviors, the stories that have emerged this year are both compelling and thought-provoking. Here, I delve into five significant themes that have captured my attention, ranging from personal finance to the automotive industry.

Revamping Personal Finance Advice

One of the standout pieces I explored this year was the updated perspective from David Chilton, the author of the classic personal finance book The Wealthy Barber. Originally published in 1989, this book has been a cornerstone for many who seek financial wisdom. Chilton's recent updates reflect the realities faced by today’s younger generations.

In our discussion, we examined the enduring principle of “paying yourself first.” I was particularly interested in how this advice resonates in a world where young adults grapple with skyrocketing costs of living, including housing and education. Chilton’s insights were enlightening: he believes that while the principle remains valid, the context in which it is applied has shifted dramatically.

Moreover, we touched upon a surprising finding regarding rising car payments. Many individuals he surveyed could not articulate the reasons behind their financial commitments to vehicles, suggesting a broader acceptance of such costs as an unavoidable aspect of modern life. This response highlights a shift in consumer mentality, where financial literacy may be overshadowed by lifestyle expectations.

The High Cost of Modern Vehicles

My passion for cars is reflected in another article discussing the escalating costs associated with newer vehicles. Growing up in a car-centric household, I recall a time when minor mechanical repairs could be tackled with basic tools. However, today’s vehicles are increasingly sophisticated, integrating numerous electronic components, which complicates maintenance.

Financial advisors traditionally suggested allocating about 1% of income for vehicle repairs. However, with the complexity of modern cars, this figure is likely to rise. Consumers must now consider:

• The cost of specialized repairs.
• The need for advanced diagnostic tools.
• Increased labor costs due to technician training.

This situation emphasizes the importance of budgeting for not only the purchase of a vehicle but also the ongoing costs associated with ownership. Consumers should be proactive in understanding how these expenses can impact their overall financial health.

Understanding Consumer Behavior

Another fascinating topic I explored this year was the psychology behind why clients often resist spending their savings. I had the opportunity to speak with Morgan Housel, author of The Psychology of Money, about his upcoming book, The Art of Spending Money. This conversation revealed profound insights into consumer behavior.

Housel's approach emphasizes storytelling over statistics. He believes that financial advisors can engage clients more effectively by sharing relatable experiences of others navigating financial challenges. This shift from a rigid, formulaic approach to a more narrative-driven one can help demystify financial decision-making.

The Evolution of Financial Designations

This year, I also examined a trend among financial advisors regarding the reconsideration of professional designations. As the cost of maintaining multiple certifications continues to rise, many advisors are questioning their value. Historically, these designations served as a way to distinguish oneself in a crowded market, but now some advisors are streamlining their credentials.

Reasons for this trend include:

• Increasing annual fees without substantial benefits.
• A focus on practical skills over formal titles.
• The desire to reduce overhead costs.

This shift indicates a broader move towards efficiency and practicality in the financial advisory industry. Advisors are prioritizing the quality of service over the quantity of designations.

Buying a Book of Business

In a new series titled Buy the Book, I investigated the motivations behind financial advisors purchasing established books of business. This topic is particularly relevant in the context of succession planning, where the dynamics between buyers and sellers play a critical role.

Initially, I planned to cover this theme in three articles; however, the interest has led to an ongoing series. One compelling case involved an advisor named Shea Sanche, who shared his rationale for investing more in a specific book of engaged and loyal clients. This decision underscores the significance of client relationships in the financial services industry.

Key takeaways from this series include:

• The importance of a strong client-advisor relationship.
• The potential for increased revenue through client retention.
• Strategies for evaluating the worth of a book of business.

As I continue to explore this topic, I invite others in the industry to share their experiences, enriching the conversation around the complexities of buying and selling client bases.

Reflecting on these diverse themes from 2025, it is clear that financial literacy, evolving consumer behavior, and the changing dynamics of the advisory profession are pivotal areas influencing both individual and collective financial strategies. Each story from this year not only sheds light on current trends but also prompts deeper consideration of how we engage with money and the systems around it.