Common Sense Retirement 12-2

Common Sense Retirement Planning
Saturday, December 2nd

Common Sense Retirement Planning

00:50:02

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

Well good morning thank you so much for showing that appear on common sense retirement planning to go. Listen to our program the original retirement planning program here in the upstate and we are of course the ups each regent retirement planners I'm Tony dale normally. It would be joined. By my best friend and partner Philip Allen end. Also Rebecca came cable and our associates of the comments since retirement team how ever. Not one but both of them are laid low so it defaults in the to try to hold down for all by myself. And I will do my very best to do now if you know anything about what's going on the markets right now you're you probably have some interest and what matters have to do with retirement planning and having night feeding your clans and and you need to tell you we don't have a lot of faith in most of what comes out of the mainstream press when it regards economics and financial planning. They're just as biased as the mainstream press is about so many other things politics and so forth. And that is one of the reasons we've always on this program comments as retirement planning. Sort of positioned ourselves as being the alternative. To the mainstream financial press are are gold on this program really is to inform you end. Hopefully entertain you be less entertaining that Phillip and back here I'm sure. But. Because. Keep in mind that day when you are heading toward retirement. They did this is a very different thing when you're nearing retirement Kennedys in the early part of your best. To you have to completely changed the way you look. At risk. And reward. And safety and things like that and that's kind of what we're what we're talking. We also have always done what we've done. Under the guidance and and wisdom of god of the Bible and always start the program was something. From the Bible because we recognize and I think if you're a believer you should recognize that. You've frankly don't own any of this game you thought that this you don't own your life you granted. And sick and did the most important question for us all the answers who is that you're renting it from. Who who do you serve like Bob Dylan has a song hee gotta serve somebody. And when when. When Lynn Jewish Bob Christian beat him to Bob Dylan became a Christian that is one for songs he wrote and that's if you lose recently are actually quite good. It's quite a good Christian talk you wouldn't think rebellious. And that's his point you'd eat in May be the dental and in May be the lord Richard gonna serve somebody so. We few more resource which god has blessed you with fewer. The Stewart he's the owner. We just manager. And he's entrusted us with with things of this war but we are accountable. To the true owner. To be faithful in our financial transactions as we are was so much else is one of the reasons the Bible is just filled. With verse is about money and here's one. Luke sixteen tent. Whoever can be trusted with very little. Can also be trusted with very much and whoever is dishonest with very little will also be dishonest with much. So if you had not been trustworthy in handling orally wealth. Who trust you with true riches. And if you've now been trustworthy was someone else's property. Who. Will give you property bureau and Luke sixteen team that's good starting point. And part of part of being good with financial matters in financial. Money management and retire planning. Is knowledge Jimmie you've heard the old expression knowledge is power each crew. And right now I am watching some of the dumbest mistakes being made in the market and it's it's not it's nothing new. In fact this is a common thing that we see. In sadly much of what goes on and in the world investing. A lot of people make very. Foolish mistakes and in how they go about. Doing what they do. So. I have found peace and makes a point very good piece by John Rubino and zero pitch. The dumbest of dumb money finally gets suckered in. So this is a great explanation an -- and please bear with me and stick with me on this because this this is such a good explanation. Of why the market is ad this just insanely high point where it is. So Rubino Wright's. Corporate share repurchases have turned out to be great mechanism for converting Federal Reserve. Policies. Into higher consumer spending. Just allow companies to borrow very cheaply from the famed. And one of the things that results from this found money is they began to repurchase their own stock. This didn't pushes up equity prices. Which again makes investors feel richer and more willing to splurge on the kind of frivolous stuff new cars the houses extravagant vacations. It cause GDP numbers to rise and they did rise by the way 3.3 percent and an and I will say this. Listen I am thrilled to death of Donald Trump and all of the good things happen I'm pleased to markets up. Please home sales were up. Please job openings are up I mean there are a lot of good economic news. But we're talking here about. The investment side of the equation I just we would trump stand in the economy. So for politicians in the bureaucrats. This is a win win for the rest of us. It is not and here's why because those dads that these corporations have taken on to buy their own stock back which. And just on the make and aside. Comment here it's in the article bit. It could because people would actually quiet in the war award why are they buying their own share prices to begin well the entry is number one. When they buy their share prices back deck. Causes this the value of the stocks to go a lot. Which makes dear shareholders very happy. Since the stock values gone up and on paper it makes the company appear more valuable. And thirdly is in the side and also is a very nice big payoff with the bonuses that did go to the big corporate officers in these companies. The problem however with the X is the long term problem and and you'll notice as we talked. Always. This is a situation about long term plan. And this is so important when you when you think about retirement planning verses. In Vista investing. Retirement planning easy. Thirty year proposition possibly more. That's how long. Your money's going to have to last you why you're taking income from whatever you've safe soaks and you've got to have a different world view. But the problem with companies. Borrowing money. And not in reinvesting it. In their company. Building new facilities. And research and development hiring new people is they're not growing the company's yes the stock's value went up. The deck and just as easily go down and I believe will. But then you've created a problem where in the longer term the companies are not going to be poised to be able to grow. Organically with. Because they've not invested in their own. A capital in their own operation. If you follow me okay. Cells question in arises. Who ultimately is illusory in this situation and the only people traditionally willing to buy yen after corporations. Are finished overpaying for their stock car. Retail investors as we call mom and pop investors just your everyday person. Large companies purchasing shares. Already pulling back. So so this is a second warning sign for you they're pulling back. Well that was the main driver. Of this incredible run in the market. And this incredible run in the market remember. Will not go on forever and they never do. So factors. That have driven this include height stock prices. Invective share valuations. But here's the sad part. Just to the point. We are these companies are opting this process of share buybacks. Just at the point where the Smart money is already. Walking away from the casino. Individual investors are taking up the slack. This is from CNBC that the level of enthusiasm about the market has been building we're seeing more individuals coming in. Well. He's got a good thing briefly gap sure. Marketed record ice I think is finally starting to set people in the story was emotionally and actually it's hard to judge now. Because it's happening so big but here's what's frustrating. That is repeating pattern. Of the government creating conditions in which the Smart money in his guys who donated to political campaigns. Are allowed to get in early on markets like this and they make huge profits. Then they walk away and and the bag to the regular people. Who are not connected to who are not sophisticated investor and they don't see what's coming. So the rich. Were busy shorting. The market. Going to get Richard. While most of the people out there. Who had any hopes of a decent retirement will find those hopes dashed one more time and the political class wonders why voters don't like him don't trust them anymore. I think that's a very good piece and it's a good piece for a number of reasons. Now. I wanna give you perspective. I mentioned the thirty year retirement I'm seventy. So you know for lord blesses me with another twenty. Years I will be PP averages. I'd take good care myself we know and maybe actually done anything happened and that's the whole point. With a retirement plan unlike an investment. The number one thing you have to do. More above everything else and this this is I'm not quoting actually. The study from Stanford center for the aging and the society of actuaries. The number one thing you'll need to survive and get you through along retirement will be. A week which what they call me read. Retirement income generator. Something it will guarantee an income for life. And disabled but Tony I mean my my financial advice for all the guys on TV saying all you need to good balanced portfolio and just buying a home right. And rebalance every year in dollar cost average I mean and that will be we've been told what for thirty years. And why wouldn't that be right. Let me give peace of some some perspective. So before I came in today accent down and I get a little search and I looked at. The inflation. Adjusted rate of return for the market from 2000. To the beginning of November. So that's roughly seventeen years right. Almost eighteen. So. The Dow Jones adjusted for inflation over this last period of time is up 37 point 6% the disappeared sixteen point three. The NASDAQ is still still down. Eight point 1%. And in past decades and yet to recover from the crash of 2000. OK so. When you add that all over the last seventeen years roughly almost eighteen years that's a 46%. Rate of return over that long period of time remembered included. Two massive crashes in the market. But that's. Only average rate of return when you every ten out of two point 7% a year. And and missing most people are looking at it like to secure most people are listening to the news in the same while blow the markets at an all time high in many eggs. If you're looking at a from pre retirement planning standpoint. Remember. We're talking about long term planning so it would it's great the market's up than that for the last nine years. Problem is you have the factory and how this would look we knew are taking income. So yes the market is up four point 6%. Or should start 46% in Toto. Which averages out to right two point 7% a year the problem is. You retiring you start seeing a taking 84% annual straw that's about whether your are required minimum distributions would be some people pay more. In that same period of time the withdrawals would of eight including what you would lay in the market he'd be you would be down from you were. 60% so let me give you perspective if you had a million dollars in 2000. And he started taking a 4% withdrawal. And the market's done what is done over this period of time you would only be heck you'd be sitting on 320000. Dollars left to get you through. The rest of your retirement which is how long. Well no outright. And also remember that if you have been taken a 4% to draw already started with taking 4% of a million. I you'd only be taken 4% of 320. Which obviously means you're income has been going down and down and down to too dangerous. Point through or. Coming together here. And ever lower income. And an ever. Decreasing principal. So at some point if you live long enough and keep in mind we're talking about a couple here so if of the combined Liza right now here's some perspective for you. How long are people living right. Average age for people is living and me and 77 women eighteen and if you reach 65 years ago. So. You have to have some kind of systematic way to ensure that you. Had a sustainable. And and on top of it is a growing. Guaranteed income rig retirement income generator. And by the way part of what do rehashed after the major component it has to be guaranteed. B it has to have some way of of I am having inflationary protection. And see it cannot. Have any possibility. All the losses. That's what kills retire to itself. It is one of the reasons that we offer that common sense retirement planning what we call a common sense retirement review. Which quite simply his you do is come on in NC is. And we sit and we. Gather some information about what it would what are you trying to do what's important to you what which would be your goal but it would you. We doing now. And then we take all that information in week. Create a plan just for you that. Addresses these concerns. But it would be at least a portion of your. Moral life savings you must have a guaranteed income generator rig. And so that's one that's where we'll start when you currency symbol in and I and I know you probably. Are hesitant because I've moved it takes a while. Sadly it's here's what usually happens is we discovered this. We've been doing is what about twenty years or so we noticed it. The market crashed in 2000. All of a sudden people got real interest in protecting themselves. When the market crashed again. Back in 2007. All of a sudden people got real interest in in protecting themselves from losses could they saw how quickly in. And dangerously precipitously. Their life savings could just evaporate. To out. To do as. Go to our web site UC NSR he got info CS RP dot Inco. And it may implement cost of fame and will put together plan and here's here's the thing in his import you noses. We showed you. What we recommend and compare to what you're currently doing in tell you why we think this is better. If we do. And that will. Let you make a choice you can come and become one of our clients a lot of people do not everybody does. So okay. You who you will not find this twisting your armor trying to talkie in his for reduced it there's no reason to do it BK and I'll tell you why daddy's. Keep in mind it did we knew we knew form a relationship. Which is what we're doing YouTube would be kind of you become one of our clients we have a relationship we're going to be seeing each other for years. So. On a falch premise. Borer. Faults emotions. It's got to be a logical thing it's got to makes an end and if it doesn't make since then it just makes aunts and in we will try to. It to turn you around me to make you deuce. And a lot of people concerned that as hard just like throwing that in. So there's another thing again you've probably heard this. It's actually cliched. But he's the parable of the frog in boiling in the water right you know we're we you can put a fraud or mater and it's in turn on the heat let's slowly eaten for Augusta in there and cook. Or you if you were to take a frog impeach him in water just are ready or not he'd he'd he'd hit the water and pop right back out again. So this is an interest in peace from William watched from MarketWatch. Complacent investor from the risk of reliving the parable of the boiling fraud. Isn't giving away here is getting warm here he asks. Well the analysts at society's general that should these bank in France. Think it is and they are worried that investors don't notice what's going on and won't until it is too late for them to get out. Investors are in the role of the for a protest participating in markets that foreign now. Are unwilling or an evil. Two they are unwilling or unable to perceive the gathering threats of these markets. So what is a fraud need to do. Well he's so Jim analysts say. They are waiting around in the pot. And by the way this is the Smart money I'm talking about here in this very sophisticated investors. They have further cut their equity exposure. All it down to only 40% now. And much of the rest of it in in high and high rated government bonds. Now. One should ask the question you should ask yourself that this question. Is this sensible thing. Is this a Smart thing. To continue to take chance. In May be find yourself. In. A real pickle boiling as. Wind sadly. You. Jumped in in the market sometime over the last two or three years. And maybe you made up and maybe you're even ahead of where you're from 0708 when you lost was him as a PO box 57%. Over that period. People forget they just do. And we. Want to constantly remind people. That it did basic law of physics is what goes out eventually does come down it just is irrevocable. Life is a the universe operates on cycles. So even when you have a market that is shown dramatic gains force several consecutive years which is exactly what we've experienced here. It is so important not to be lulled into a sense of complacency. Because keep in mind if you if you look at the S&P index. And you went through. That last. Seventeen almost eighteen years you would have seen periods of tremendously robust growth. Am I got a chart from the years would you if you could see but you've you've seen chart before. Amber what happened is a built up to the crash in 2002 XX it looked very much like what happens today. What's happening to other and of course of 708 you know what happened there it can't be crash came back at crashed again. Or will now if you look at that chart we're up the highest it's ever been. Well. Obviously there is going to come a point where the roller coaster hits the top of it. Are. We hope no 1 of those I am for a long time it moved that ten. The winner starts going down. The danger there is everybody wants to get out of the same time and in particular. With ETFs which you've become quite popular. If everybody goes to get out at same time you have to find buyers. And the value of your Bure investment could plummet so fast and make its way bet just that is not even. Worth considering if you're over the age of fifty. Which is why I truly. Implore you. Do not wait. What is it worth an extra 5% 10% return in on the other side a possible 3040 whatever risk of lost know. So there for I want you to go to your computer go to CS RP dot info it's our website CS RP dot info call is 800. 6876766. Eights and 6768. However you contact us. Do make your point incumbency is analysts at least give you a second opinion as I say you have to do it we recommend but I'll tell you bunches of people see the wisdom. Okay I'm Tony gale mrs. Cummins entered Tarek I'd be back in a moment. Well howdy welcome back to common sense retirement planning and Tony dale all by myself today. Philip Allen not years he's end of the way there Rebecca Kincaid an odd years under the winner. It's up to the old guys. To pull it off. And that encourage your your. So I'm if you're just joining us in some of you may just be so. And this program again is a program for entertainment in in in form information. To try to encourage you. To take. A different view on top or your retirement planning from what you may have had all these years as an investor. And something that you notice when it comes to. To invest in have and Nasrallah the staff for many many years. Is that there is just like with so many other things a herd mentality. We all rush people we all harsh people and so many ways. End. Would that it can be very dangerous thing when it comes to stock market. And there is an argument to break. From the her at some point because there are always gets hammered. So I ran across a piece makes his point nicely. It was written by a behavioral economist and psychiatrist Richard Peterson. For MarketWatch. And that's the name of this piece why it is now time to break from the stock market hurt. Rip van weak and he writes would be the ideal stock market investor said Richard they are being Nobel Prize winning behavioral economist. He went on to say. Rip could invest in the market before as an. End when he woke up twenty years later he would be happy. He would have been asleep through all of the ups and the downs in between. A few investors resemble require and go. The more often an investor count his money or looks at the value of these mutual funds in the newspaper the lower. He's risks tolerance becomes the more risky begins to take on. It is difficult to use sentiment. In investing precisely. Because as human beings. We become caught up in the waves. Too often we are unconsciously influenced by the stories and beliefs of the hurt. And we began to adopt them as our own. And there are several explanations for this. One of them is Senegal confirmation bias I have spoken this many times on the show. So confirmation bias prevents investors from selling despite the warning signs at the top of a bull market. There's not a whole story there is another bias. Called house money effect. This also provides insight into the cognitive biases. That contribute to these up and down cycles in the market. So the house money effect can occur when people experience a sudden windfall. So. For example you burn a receive more wealth than you'd expected. And Taylor and Johnson in their study found a subsequent increase in risky behavior connected to race. And they call this the house money effect because it's the same thing. The gamblers do it casinos. Having won a lot of money most gamblers would take more risk. It's said that they feel they are playing with the house's money. Not to Airpwn. Would that the reason. For seeing this. Is when people receive a windfall especially. If it is in their investments. They quickly learn to do more of this will be rewarded behavior. So they feel compelled to take more risk. In order to catch up with where they think they should be so there's a reference point wars and and that reference point. Keep being moved higher and high earners in media reports Powell. All of these people are becoming millionaires and they're all these start at moguls. And they make it look so easy. And as long as investors are experiencing fear of missing out or homo. We call it. The and they are in the realm of losses and we'll continue to take excessive risk. By way of this house money effect. However. After a long bull market sometimes the market corrects doesn't. Affect it always does eventually. And investors lose a sizable portion of their highly leveraged network. In these moments. They're reference points shares lower and they begin to imagine they may lose their gains. And then finally they decide to get out. Now that's where he ends but I wanna add something went into Sri do you. What I've observed over these years essentially is this. There are only two emotions to control. Our investing decisions either fear or greed. During periods such as the one we are in greed is in preeminence. Greed is what is fueling this herd mentality that. Professor Peterson here was referring to in the article. People its formal fear of missing out I I had this week I've had. What three conversations with clients existing clients. Who are existing clients because they wanted to be safe. And I had to talk to him. About taking excess risk. And try to explain to them. Bet this market is getting. Closer and closer every hour to a tipping point now look we can have another three months six months I don't know. Album or more. Of continued growth in the stock market. But there will come a time. When the market corrects it always dies. End. One of the one of the ways to you conceive. This. Problem. Is in the overvaluation. Of the stock market. And by that I mean. If you look back in again if you want to understand approves history doesn't always repeat but usually rhymes when Mark Twain said. Those who fail to learn from history are doomed to repeated that Santana. A case of two hit history. Is what it is a hub of ecclesiastical for every time your season a time to plan and time to read. That sickly cal. So so we understand. On a intrinsic way he did yes everything the weather. Seasons and everything sickle right. The markets are no different and and therefore it is imperative that we knew our older. And you reaching the point where you cannot afford to lose any money in this by Luis particularly. True. If you are already taking income. Because remember when you're withdrawing safe 4% or 5% and Vinny take you. It's punitive twenty you're thirty or 40% content at the same time. You are you're doing some irreparable damage to your retirement it's just it's inevitable. So. If indeed we're heading toward a point like this what would be a marker for bad and I'll give you a good one. Robert Shiller who I think we're 2013 won the Nobel prize in economics. And party won it by doing creating something called the cape ratio that could best things for the cyclically adjusted. Price to earnings ratio so all he did is go back and look at 110 years or so of what the market's done. And came up with some some. Metrics and end Beers one of them. Over that span of time historically what would be the average. Value. Of stocks were equities and the in the historical average is about sixteen dollars per share. Schiller has been warning now form months. About irrational exuberance. And how dangerous this market news. And his Nobel. Prize winning economist is saying this because now. The price to earnings ratio is sitting at around 32 dollar twice twice what is normal. OK so so what do we know that nature. Nature always is trying to achieve Stacey it's your balance some. At some point things will return to the do you mean to what is normal. This by definition. Is abnormal. That being said ask yourself this question. Would that be a good time to be getting into the market. Or would it. A nine year old bull market right gators. It's already climbed as far and by the way in this again according to Robert Shiller. They're only have been. True other times in the history the stock market that we've ever seen these conditions and that is 1929. Before the crash. In 2000. Before the crash. So wouldn't it be prudent for you to at least investigate how my guy locking in all of these games I've achieved. So that they are permanently the year. And safe so if the market does correct to today tomorrow and next year whenever. I don't lose my gains. In particularly. Don't lose my gains at a time or Mike I'm approaching retirement or already retired and taking income because it's gonna have to last me the rest of my life right. Comment since retirement planning week create. Plans that include. Rigs. Of retirement income generators. And and what those are. It's a systematic way to created guaranteed income for life with no possibility of losing money markets go south number one. Number two during periods when markets are growing we have the opportunity to make good rates of return. And those rates of return once you start taking income translate. In new races. Thus giving you a way to deal with inflationary pressures. Thirdly. What it this is this is a guaranteed income for both a husband and a wife. So. If one spouse passes for switch is almost always what happens is continues. Until the next spouse passes and goes on to the lord. And then whatever is left goes to care beneficiaries are children under the grandchildren whomever. In the most tax efficient manner. And that is what I've described TU is what a retirement plan should look like not an investment and though of course working with contestants mid. But if you have to have that foundational. Bottom work on one of our our properties where we're having some foundation board and and because the original foundation idol house was really done properly. That I see is over and over again and peoples. Of retirement or in this complaint. They don't have any foundation. For income because remember this this is such an essential point I if you don't hear anything else I say all day long listen to this. You have been taught. Your higher investing life probably that would manners and what's most important is rate of return rate of return rate of return well that's important sure. But I'll tell you what is the most important number one thing when you retire it is great return its rate of withdrawal. How much money are you going to be able to safely withdraw. Every single year for the rest of your lives. That is what screw in a matter to you mailbox money is what we call it. You know absolutely. Without question it doesn't matter what happens after in the world the market. You're gay should chick shown up in your mailbox or Indy your account electronically. Every month and man. And during periods when we do see growth in the markets and you see increases in your income. My social 00. I'm so excited I forgot to share this with you oh my gosh I hope you. Called a hold on because this is a big when you're ready. We get to biggest race and Social Security we've gotten in years truth hurts and does anybody out there who buys anything. Think that inflation. Is only running at 2%. Net. Real world inflation. Real or inflation. When you look at the way people actually live according to every calculation I've seen Natalee to a bunch of alternative calculation methods. Probably somewhere between five and 7%. Right now. And could go quite a bit higher because we printed a ton of Fiat money. So. Not only do you need a guaranteed source of income with the possibility of it stopping or no possibility that decreasing. You also need to wait to make sure that he could remove loose. Because as I say inflationary pressures are real as they can be. And that's really the question you have to answer. We you have enough assets to support your lifestyle. During retirement at 51% of people in a recent survey actually asked that very question there was a number one thing maybe they wanted to know for sure 51%. X cleanly concern about how living your income. And so there were some people try to address this inflationary pressure by withdrawing. No more than fortify percent. And then trying to add 3% for inflation that's core of the 4% rule the problem with the ad is. If you're drawing was that a cumulative 7% a year. And in the market loses money. Obviously eat your. Principal is dwindling at that rate. A seat to give an example let's let's just be real conservative. And we'll say did back in 2007 you had a portfolio. Was a balanced portfolio of stocks and bonds is so. Even own the S&P lost nearly 60% let's say you just lost thirty. Percent during this period of time that's not an insignificant amount to steal 3%. But you also were taking. 7% a year 4% would draw pusher ring 3% for inflation each right. Okay. Last 21% to Tony one. Plus thirty just 51% right. 51%. Of your life savings have evaporated or gone. In three years timer. That is not a guarantee income that is not a retirement income generator. It is not even retirement plan is an investment plan better for. It will be an adequate. To get you through. A normal retirement during which by the way. During which she. The average retiree will leave through three to five bear market cycle some three periods during which. You possibly lose money why we're throwing money from your book. Finite. Life savings. What there is a far better weed is in that way is to use a little common sense. You go to Collin com to common sense retirement plan and see us. Let us then show you how to construct. Anyway he retirement income generator generator that will guarantee an income from both as a normal. If you had the opportunity to get raises the income is markets do well. And leave the money curators. Now if you add other assets that you want to take a little risk within mean you know we can do other things were that too but. Only after the foundation to the house is secure. Build your foundation and framework right first and woken mainly dogma painting the walls and decorate. Did to do all of this is a heck of a lot easier than you would think you come to see this and you do so by going to. CS RP. Dot info that stands for comments into retirement plan CS RP. Dot. Info. Come see us. Call us if you like 806876768. You may do what we recommend or not. That your cool but at least you know that there are alternatives to what you've been shut down. And I do want to. Give you a little bit of encouragement as to why you should not wait too long to do this in this actually believe or not. Comes from Goldman Sachs one of the biggest. Investment houses on Wall Street. Peter's it'll go home. The last time this happened was months just months before the start of the Great Depression. So. One of the error. Top advisors. And Goldman. Christian merely replacement is name. Said not only. Are we nearing the longest 6040 bull market without a 10%. Return broad. But the last time we were here was sometime in the late twenty's. The Great Depression which following just a few months. We're closing in on much longer 6040. Bull market in history. No 10% drawn down since 2000. And the valuations across assets are expensive as they had ever been in this century. Are you think about what this man is saying. So when was the last time balanced portfolio had a tremendous. Returns like this the longest run was the roaring twenties. Ending with the Great Depression the second longest was the golden age afterward to in the fifties. And in the ninety's. So in other ports. One would have to go back to sometime. In early 1929. To be looking at the kind of returns to the typical balance 6040 portfolio is generating current. How long. Was the comparable period in their. Twenties. Nine point one years. Which means the end. If history's any guide it. This of course second Great Depression might be just around the corner. That is pretty daunting. And it's real I. This is from Goldman Sachs right this isn't Tony dale. Common sense or tower playing some local guy telling you something he just won his opinion on. That's why I. We we positioned to show the way we do this is this is an alternative to the mainstream press because we're we're giving you. Things that really are not being reported and you bite so what do we now watch CNBC and fox business and all the stuff I still he's experts on the air. That's not what most of them are saying. Well best now. That's why the mainstream financial press is and always has been buys because they're. Entire world view. Is free you'd take risk. In the end to make the management duties. To keep you in vested. As adults don't excited there's a gets educated get of kingfisher. You know or mutual funds are bad all annuities are bad and I'm good. What does he do. You pay him get whatever one and one half percent. And then he puts together stock and bond portfolio of it as risk dates do you say they can any risk. And then if things go south it's like well. So are you lost a bunch of money. And in his case. It's as a percentage of your total assets. He's not making as much he's got a big risk and that's the worst thing that can happen and I'll tell you the other thing happens with these money management guys. Who have got several clients that this happened to back in those seven an LA in this is local guys to buy. Local advisors did this to people. Some of whom used every dealership. Here. So these people are in the market they've these advisors have got him in the stocks and bonds when he whatever man journalist. The market begins to tank. These people go and say camps camps colonel Lawrie about a thing it's all good when they got when when they lost so much money that they were below the minimum. That these advisors would take on his clients they don't come. It's a so what thanks in other words you lost half my life savings. And now you're dropping me as a client 'cause I don't have enough money. To meet your minimum. That's a true story in the seventh a lot of people. And and that is not something it will happen by the way if you come to see this a common sense retirement plan angers are. Because our goal is long term we when we want to. To help walk you through it could be 2030. Years which one of the reasons we have over the last year couple years here. We been taking on in training some younger advisors. To do what we do. So that as we grow older. As I mentioned I'm sick and he. I Adobe air people there that are that are coming behind us and we're mentoring that are are going to be. Comments and retirement planning advisors in the future they already are and they're doing well now. A bit which all which reminds me of something us and surely. Here's a thought for. A lot of these advisors that are working at the big box Wall Street firms. Our guys in their thirties and forties. Do you realize. They've only seen one that market crash of seven in no way they may not have even been in the business it time. But they definitely didn't live through the last seventeen years from an in have not seen how markets go up and down and up and down. They've been taught to do one thing and one thing. Gather assets. Charging management fees for them. For their firm. And build a typical balanced stock and bond portfolio. Heck I even talked about Barton's. I've been too busy tournament equities all day. That I even had time to actually address the bond side of the equation because they see there's the other part of it. Most people. They've been. Taught to think the bonds are completely safe place so if you don't want to take risk in the stock market only got to do is go over into quote fixed. SS two months. Well we now have so much of a border bonds remember bonds or dad. We have more bad in the world corporate debt. Sovereign debt was countries and delight the United States we are you know well past are you annual GDP in dead. And we're 21 trillion a year dad. But in the whole world this is a shock. There isn't there there's more than three times the amount of dead in the world now. Didn't the entire. Gross domestic product for the entire world per year. How could that possibly. In well. Well if you study history you're gonna find out he won't in her hands. And never will. But for the time being though her dish people off too comfortable everything's feel so good. But when things happen they happen in a hurry things develops slowly in the happened suddenly. Which is why you'd need to sit down to day. Look us up on your computer's CN SRP. Got into the stands for comments into retirement planning CE SR PI and don't call us 806876768. Common Getty. 3COM. And since retirement review. Ish put together retirement plan for you show you what retirement income generator or read really looks like. Build a good foundation so that you can have leafs chorus free happy. Non anxiety ridden retirement and actually enjoyed it. Bad wonderful period in your life not worrying about who got Shimon gonna run out of money cannot afford to do this or that. So CS RP got info I hope I get to see you pretty quick and tell me they'll see you next week. GAAP.
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