Nov 28, 2017
Learn how “it’s different this time” are the four most dangerous
words in the stock market world and how to get ready for the next
Main Questions Asked:
- Are we on the verge of the biggest market correction?
- How to get ready for the next market correction?
Key Lessons Learned:
The Seven Surprising Lessons from the 2008 Financial
Crisis That Can Help You No Matter What Is Next for the Stock
- Asset allocation and diversification remains as one of the
pillars of retirement planning. A properly diversified portfolio
that mirrors your appetite for risk can get you through any market
- You have to manage your risks. Risk has many different faces
like longevity, taxes, inflation, health care, long-term care,
interest rate risk, and sequence of withdrawal risk. When saving
money, gains are amplified and losses are diminished. Assets need
to be positioned about 5 years before retirement.
- Expect the unexpected. Job loss, early retirement, health
issues, caring for parents of kids. There are all kinds of
unexpected things that happen to us when preparing for retirement.
Have 6 to 12 months of living expenses in reserve.
- You have to have a strategy to withdraw money from retirement
accounts. The sequence of your returns and forced distributions
could force you to withdraw when the market is down. A strategy
needs to be created early before you retire.
- A future crisis is a buying opportunity and time for tax law
harvesting. If you have a balanced portfolio and stocks drop it
might be time to rebalance and buy more. It’s also a good time to
take advantage of tax laws and sell losers.
- Government officials and financial experts don’t know
everything. Older strategies may not work. It takes a creative and
smart strategy to send you monthly checks while the market is
- It’s important to hire a financial advisor to create a
comprehensive overall financial plan. Insurance, debt, emergencies
and all of this are included in a plan. The plan is about many
things working together including social security, long-term care,
taxes, and more.
Links To Resources Mentioned
Money Map Retirement Review
Thank you for listening!