Dealing with Conflicting Thoughts, Ethics and Morals as an Investor

I was reading “One Up On Wall Street.” I am nearing the end and am on page 218.

As I was reading, I came across the sentence:

“If you find a business that can get away with raising prices year after year without losing customers (addictive products such as cigarettes fill the bill), you’ve got a terrific investment.”

And once again, I found myself conflicted with that being a great thing as an investor, and as someone who also has held tight to beliefs and values in my personal life.

I don’t smoke and I don’t drink, never have tried either, it makes me feel conflicted knowing that when investing we are playing a role that has an effect on society.

For example, when you invest in companies like Philip Morris, most pragmatic investors are going to say, “hey, people are going to smoke and you can’t force them to quit, that’s a choice they are going to make, and tobacco companies are going to be around regardless, so you may as well invest in them.”

Which I understand being pragmatic myself, I understand that is how the world is.

However, let’s not make no mistake, we are part of the problem by selling a solution targeting certain demographics and socio-economic communities with a solution to their stress even if our dollars are the only thing associated with these companies.

We can’t talk about how someone is weak-minded and doesn’t have the willpower to move past life’s hardships when we are constantly advertising drinking and smoking as ways to deal with everyday blue-collar stress.

Some argue, “well, no one is putting a gun to their head to make them smoke.” Granted this is true; however, I believe that statement is often made to take away accountability and to compartmentalize our role in society as investors.

Some may argue well nothing in life comes easy so if that person is willing to go through hard times to give up their addiction then more power to them, but at the end of the day, that’s a personal failing or personal matter and my dollars are only invested in a company.

With that said, I also understand that investing is one of those things where it’s really hard to be full-on ethical and morally righteous because at the end day this is a system where money talks.

Being someone that rebels against it and doesn’t participate, sure, that’s great for those who don’t mind the struggles that come with that way of living, if they can withstand the problems, more power to them.

As some have mentioned before it’s better to partake in a system and change it from within so that means having to play the game and then becoming that change.

For me, investing has been both a privilege and a blessing.

I am aware of it.

Aware of the fact just knowing how to, being able to, having the mindset to do so is not to be taken for granted.

For me, it means lifting myself up out of poverty and forever my household, future household.

To rebel against the system isn’t to one’s own personal benefit, and yes, I see the irony in that sentence; personal gain can be blamed for a lot of problems, but at the end of the day this system runs on capital, money.

Which is why you can be the greatest politician or the greatest policymaker, but if you don’t have money behind you then you won’t get far because money speaks in a capitalist society.

This is exactly why you see even the most noble presidents fundraising because at the end of the day money talks.

Furthermore, when it comes to personal morals, every investor has their non-negotiables such as firearms, tobacco, and fossil fuels, whereas one might not invest in oil but will invest in tobacco.

I have a decent amount of Shell in a portfolio tucked to the side, but given my personal morals about drinking and smoking, I do not directly invest in those companies.

Which brings me to another point, as an investor, if you own funds of any sort, have a pension, 401k, there is a chance you are indirectly invested in some of these companies.

“Poverty, By America.” Authored by Matthew Desmond.

After finishing up my studies at the library today, I walked by the display case that holds the latest releases.

They had “Poverty by America” written by Matthew Desmond, a book I’ve been wanting to read, so I checked it out.

This book I feel like kind of sums up where I’m at in my headspace right now with being conflicted about investing in the stock market and in terms of realizing that no matter what you do, you’re always going to be growing on top of someone else’s inability to grow, and I know that’s the way the world is.

But I think it’s always great to look for solutions to problems that harm a vast amount of people.

As always, as you grow and mature, your thought process can change, and you can look at things differently, but right now this is what my headspace is at, and I look forward to reading this book.

In 10 years I can look back at this head space with a rather evolved perspective or an entirely new perpsective.