Episode 377: Investing in Your Health

Episode Summary

Executive Summary: In this episode of the Rational Reminder Podcast, co-hosts Benjamin Felix and Ben Wilson discuss three main topics: the recent OneDigital recapitalization involving CPP Investments and Stone Point Capital, the importance of investing in health (exercise, nutrition, sleep, mental health) with parallels to financial investing, and key questions clients should ask their financial advisors about succession plans. The hosts emphasize that health and wealth compound over time, and that a well-thought-out succession plan is crucial for client continuity.

Main Topics: OneDigital Recapitalization and PWL Impact (Priority: 4/5): Benjamin Felix explains the recent secondary market transaction where Stone Point Capital and CPP Investments bought shares from existing OneDigital shareholders, valuing OneDigital over $7 billion USD. He addresses community concerns, clarifies that this was expected, and highlights the positive implications for PWL, including increased Canadian ownership and validation of OneDigital's business quality. Investing in Health: Parallels to Financial Investing (Priority: 5/5): Benjamin Felix draws parallels between health and wealth, emphasizing that small, consistent actions compound over time. He covers four key areas: exercise (VO2 max, strength training), nutrition (sustainable diets, avoiding processed foods), sleep (CBT-I, environment), and mental health (PERMA model, relationships). He stresses that health investments improve lifespan and healthspan, enabling enjoyment of financial wealth. Questions to Ask Your Financial Advisor About Succession Planning (Priority: 4/5): Ben Wilson presents a list of critical questions for clients to ask their advisors, including whether they have a formal documented plan, contingency plans for unexpected events, who the successor is, whether the successor shares the same investment philosophy, the transition process, and potential fee/service changes. He emphasizes that succession planning protects the client's future. Community Meetups and Listener Engagement (Priority: 2/5): The hosts discuss successful meetups in Victoria and Vancouver, with high attendance and emotional feedback from listeners. They announce plans for more meetups in 2026 across Canadian provinces and potentially US cities, encouraging listeners to express interest.

Key Arguments: Health and wealth both compound over time; small daily improvements lead to significant long-term outcomes, and starting early is critical. Exercise is the most powerful longevity drug; poor fitness (low VO2 max) carries a greater relative risk of death than smoking. Nutrition lacks consensus, but broad principles (avoid sugar, eat protein and fiber, limit processed foods) are widely agreed upon; the best diet is one you can sustain. Sleep is essential for health; inadequate sleep (<6 hours) increases cardiac risk, and sleeping pills are correlated with shorter life expectancy. Mental health and relationships are crucial for longevity; happier people live longer, and strong social networks are protective. Succession planning is a fiduciary responsibility; clients should proactively ask about their advisor's plan to ensure continuity and alignment of investment philosophy. The OneDigital recapitalization is positive for PWL, providing liquidity, market-tested valuation, and validation from top-tier investors like CPP Investments.

Data Points: OneDigital valuation: over $7 billion USD - Valuation after majority investment from Stone Point Capital and CPP Investments. Advisors over 55 in Canada: 40% - Percentage of advisors managing about half of all AUM and revenue. Advisors over 65 in Canada: 11% - Percentage of advisors accounting for 14% of AUM. Relative risk of death from low VO2 max vs. smoking: double vs. 40% greater - Below-average VO2 max carries double the risk of all-cause mortality compared to top quartile; smoking increases risk by 40%. Risk of death for unhappy people: 14% higher - Compared to very happy people, after controlling for marital status, SES, etc. Recommended zone 2 exercise: 3 hours per week (4 x 45 min sessions) - Minimum for cardiovascular health per Peter Attia. OneDigital acquisitions in 10 years: over 260 - Track record of acquisitions, indicating experience and strategy.

Pivotal Quotes: "Exercise is the most powerful longevity drug and has the greatest power to determine how you will live out the rest of your life." — Benjamin Felix (paraphrasing Dr. Peter Attia): Discussion on the importance of exercise for lifespan and healthspan. "The most important thing about an investment philosophy is that you have one you can stick with." — Benjamin Felix (quoting David Booth, Dimensional Fund Advisors founder): Parallel between investing and nutrition: consistency matters more than perfection. "If you invest in your health today, your future self will thank you." — Benjamin Felix: Closing thought on the importance of health investments.

Implications: Listeners are encouraged to view health as a critical investment that compounds over time, similar to financial assets. Clients should proactively discuss succession plans with advisors to ensure continuity and alignment. The OneDigital recapitalization signals strong institutional confidence, benefiting PWL and its clients. Future meetups will strengthen community engagement.