Welcome to Sorensen Financial Management

Hello, I am Patricia Sorensen, the President and owner of Sorensen Financial Management.  My message to today’s small and mid-size investor is to forget everything you thought you knew about investing and get out of the stock market.  I have managed money for over 30 years; through bull and bear markets.  I am here to tell you this is not just a bear market; this is a complete collapse of the economic models that have been the basis of investing for decades.  Alan Greenspan said he was in a state of “shocked disbelief” in a Senate hearing after the 2008 crash.  Bottom line is the models were wrong and yet most investors and advisors continue to rely on them.  Just one example of a model that does not work: asset allocation.

After 28 years of investing in stocks, I removed all of my client’s investments from the stock market before the crash of September 2008 and have not returned.

So here is the truth about investing today:

1. The Stock Market is Gamed

What do I mean by this?  Today’s stock market is designed for wealthy speculators who can afford to lose huge sums of money, not investors.

The average holding period for stocks has fallen from nine years to six seconds.  Let me repeat; the average holding period for stocks is now 6 seconds.  This is not investing; this is speculating or in other words, legalized gambling.

Insider trading is the norm so even if you have an excellent blue chip stock portfolio you cannot compete against large investors who are privy to information you will never see.

A small investor is like a gold fish swimming with sharks; sooner or later he will be eaten.

2. The Cult of Equities is Over

The average stock investor made 0% from 2000 to 2010 while the average bond investor made 7%.  The stock market is not going to “comeback” without growth and we are looking at possibly decades of no growth.

3. Financial Derivatives: the Next Crash Waiting to Happen

No one talks about this because no one understands derivatives, not even the regulators.  The derivatives market dwarfs all other markets and it is a loose cannon, totally unregulated.

4. What is an Investor to Do?

So if the cult of equities is over, the stock market is gamed, and financial derivatives hang over our head, what is an investor to do?  Plenty.  There is still a way to invest safely and make a decent return.  If you would like the specifics see our section titled “What Is An Investor To Do?


Why Is My Message So Different From The Rest Of My Industry And The Media?

Because I Know What I Am Doing!



  • A Coach, Not A Cheerleader – My message is different because those folks are cheerleaders for the old stock market and the old risk models.  Even if they understand the sea change, they do not know what else to do.  You will continue to be taken advantage of as long as that is the case.I am more like a coach that realizes the old play book no longer works and knows how to write a new playbook for the new times.  Why am I qualified to write my own playbook?  Because after 30 years I have seen it all; the gimmicks, the scams, and the legitimate investments.
  • I Manage My Clients’ Money Myself – Because my clients have been with me for decades I do not trust anyone else to manage their money.  Most advisors farm your money out to third party managers who pool your funds with thousands of other investors so you become just another faceless shareholder.  My clients deserve better and the fact that they have remained clients over all these years speaks to my performance.
  • Regular Lectures – Another way on which I am different is that I provide regular luncheon and dinner lectures for my clients in which I provide in depth information on topics of the day, such as the “2008 Crash”, “The Fiscal Cliff”, and “ The Economic Impact Of Climate Change,”.  I present the background of current economic, political, and investment policies in an understandable way that help clients “get” how we have arrived at this juncture and what we may expect going forward.  These are NOT SALES SEMINARS.

Videos of these lectures will soon be available in the video library section of the site.

If you spend time browsing our website YOU WILL NEVER CONSIDER INVESTING IN THE OLD WAY AGAIN.

Feel free to contact us for additional information on any of these topics or to discuss your personal situation.