We believe risk is simply a measure of how much you could potentially lose in the next stock market crash. Since 1929 the stock market crashes an average of 40 percent, every 7 years.
So as a retiree, or pre-retiree, are you willing to lose the same 40 percent to try and earn a higher rate of return?
If you have one million dollars saved for retirement, and you suffer a 40 percent loss, you’ve just lost 400,000 dollars and you now only have 600,000 dollars left.
Can you afford this type of loss if you’re not able to take the same amount of income you planned from your retirement assets?
We have found over 90 percent of retirees and pre-retirees don’t want to lose more than 5 percent - up to a maximum of 10 percent - if the stock market crashes. Many people want zero percent risk.
During retirement you have to protect your hard-earned assets from big losses so your income won’t run out. If you want to learn how to manage your portfolio risk and stop worrying about big losses, contact us today.
VIP Financial
www.vipfinancials.com
402.547.0395
Financial Advisor in Parker CO
Retirement Planning