One of the things we’ve been talking about with our clients every single time we meet with somebody is the crazy stock market run that we’ve been on. As you know we’ve been on a 10-year bull run in the stock market
and we’ve hit all-time historic market highs. The stock market has never ever been higher than it is now. Stocks have been on a 10-year bull run since 2008 and the bond market has been on a 35-year bull run. So I think our clients and potential clients see the writing on the wall, and we believe in protection and growth. So, one of the many things we talk to our clients about is reducing risk at the point of retirement. You don’t want to have all your eggs in one basket. So, protection and growth, being offensive and defensive as you head into retirement and transition into retirement is extremely important.
So one of the things we want to do is be proactive. We want to get ahead of a market downturn or potential crash or recession. We want to be proactive. We want to get ahead of things. People always say, “Buy low and sell high.” Now is a fantastic time to do that, to be proactive, to make sure some of your hard-earned nest eggs are protected from a major loss in the market.
People right now want to hold on and ride things out. We hear that pretty frequently, but that really doesn’t make sense because when you’re calling us because something’s happened it’s too late. So if everybody knew when things were going to go south and when this big bubble was going to burst then we wouldn’t have any issues. But if you do get ahead of things like Abe said then that’s really helpful at least with some of your retirement plan. You can still have risk in certain areas depending upon your specific situation, but you don’t want to have it all at risk when this bubble is literally about to burst and things are about to go south.
Especially right before you retire or go into retirement. That’s the last time that you would want to have a huge market loss in the market.
Something we talk about a lot is the triple or double negative. What that is is your potential loss in the market, your withdrawal, and either an adviser fee or the expenses inside of your investments. That’s a double or triple negative. That can potentially crush your investment values if that happens and that’s one thing that you have to eliminate or substantially reduce happening in your portfolio.
You really want to avoid this perfect storm that can happen. And this really happened for a lot of people in 2008, which is something that we’re still helping people recover from. So something we really encourage people to do is get ahead of the game and get protection in place. We do encourage people to get a real retirement plan put in place. Most people that we meet with or most of you have something going on. You have your 401K’s you, probably have an adviser, but there are gaps. We can almost guarantee that because everybody that we see has something or has little pieces, but it’s not all put together and there are usually missing parts. That is what Abe does so well. So we just encourage you to make sure that you talk to him or somebody like him that’s going to put a real retirement road map plan in place for you so there are no stones unturned.