In their section on personal development, Venteur features Treehouse Wealth Advisors’ Diane Bourdo, CFP®, in this article on how to master personal finance. Venteur is a magazine with a focus on entrepreneurial inspiration that covers the topics of wellness, technology, lifestyle, and the founder’s journey.
Diane Bourdo starts off by discussing personal finance in terms of financial literacy. According to Diane, the two main components of financial literacy are expertise and empathy. Expertise is what most people think of in regard to this topic, “a combination of all the knowledge that is necessary for us to make intelligent, informed, responsible financial choices,” as she defines it. Bourdo’s suggestion in terms of expertise is to start off by becoming familiar with financial terminologies, like ROI, stocks, bonds, net worth, etc. When it comes to empathy, Bourdo recommends taking the time to consider the motivations and values behind your financial planning. She also remarks that women build financial confidence by working together and having conversations with other women about their finances.
Bourdo also discusses budgeting and saving, starting off by affirming the popular tips of “paying yourself first” by saving consistently from a monthly paycheck and making sure to have a rainy-day fund. Other strategies she raises include managing recurring payments, taking advantage of an employer-sponsored retirement account, and determining where you plan to allocate freed-up funds that may arise after fulfilling financial obligations ahead of time.
In terms of debt, Diane urges against closing out a credit card once the balance has been off, due to the effect on FICO score that this might have. She recommends using caution when applying for loans, not relying on loan approval as an automatic green light, and ensuring that you stay on the side of “good” debt.
Diane informs readers on the world of ESG investing and the benefits it can bring. She describes ESG/impact investing as a “multifaceted way for women to invest based on their values” and shares that the benefits of this strategy lie in granting the ability to “proactively use our money to support what we want to thrive” along with the way that it “leverages research, financial support, shareholder activism, and policy development to pressure the private sector to become more equitable and sustainable.”
Bourdo concludes by speaking on female breadwinners specifically, and how these women can navigate unique challenges that arise in their lives and relationships. While being a female breadwinner can contribute to a woman’s sense of empowerment, it also may present complicated feelings and experiences when it comes to society’s expectations and relationships with the men around them. Some strategies Diane presents for female breadwinners to overcome these challenges include strong, direct, and intentional communication with their partners, finding common ground through shared values, and developing a solid foundation to work through any issues or conflicts together. Bourdo’s concern for these potential outcomes in the personal lives of female breadwinners demonstrate the Treehouse Wealth Advisor focus on both the technical side and the emotional side of wealth management.
Treehouse Wealth Advisors is a fee-only wealth management firm based in the San Francisco Bay Area, serving innovators, legacy builders, and impact makers. The firm provides personalized financial planning, investment management, and wealth advisory services, helping clients navigate significant life changes while working toward fulfilling and meaningful lives.
