Querencia is a metaphysical concept from the Spanish language. Originally applied to the bullfighting ring, it is the place where the bull feels comfortable; where he prefers to be. In a broader context, it is the place where one feels most at home.
I first encountered the concept as the title of a book by Stephen J. Bodio, published in 1990. The book is the story of how the Boston native came to settle, and thrive, in the high desert of New Mexico. Here, Bodio expands the concept of Querencia to include the process of discovering that sense of where you are, where you belong, and where you are most comfortable.
Applying this concept can create real value when working with an advisor on your personal finances.
Ask yourself: What is my relationship to my money? Where do we “belong”? What is the highest and best use of my money? How will I feel comfortable with my money, both short term and in the future?
To answer those questions, you need to commit to a process of discovery. This involves exploring and understanding your purpose and your intentions and how they relate to your money. That intent may be as straightforward as financial security for your life expectancy. It may also include impact investing, charitable giving and purposeful intergenerational planning.
Commitment to process also requires paying intention. The circumstances of our lives and the world change, as may your financial purpose. Process means being mindful so as to understand these changes, and flexible to react and adapt.
In the quest for certainty in our financial lives, it is easy to abandon process in the face of risk. The financial markets, subject to economic, interest rate, regulatory and geopolitical risk, are not certain. Our personal relationships and health status are not certain. However, with the process of planning, Querencia is possible.
