In the past, when the stock market crashed, you were told to “Ride It Out”.
When the stock market lost -50 percent in 2000-2002 and again in 2007-2009, you were told you’d easily recover, and then you make a good gain.
We’ll never tell you to ride out a large stock market loss, because it only means one thing: RIDING THE STOCK MARKET DOWN. An alternative can be utilizing a Stop Loss investment strategy in your portfolio.
Simply put, if your benchmark holdings go down by a specific, pre-determined amount, you GET OUT of the stock market - and you stay out - until the rollercoaster is over.
Once your benchmarks show positive, sustained momentum, you get back in the stock market.
Your funds have the opportunity for growth, but the number one goal is reducing large stock market losses. You could suffer a loss larger than the stop loss, there is no guarantee of gains, you’ll pay an annual fee, and income isn’t guaranteed.
If you want to learn how a Stop Loss Investment Plan can be used to reduce your risk, call us today.
VIP Financial
www.vipfinancials.com
402.547.0395
Financial Advisor in Parker CO
Retirement Planning