A person tells me that they are going to invest their DROP into Mutual Funds.
Then that person cannot answer how a Mutual Fund really works, or the Risks and Fees involved, nor which of the thousands of Funds are suitable for them ?
People often buy what their Neighbors and Friends own.
But that’s sales and guesswork, not research or prudent Financial Planning.
If you are considering Mutual Funds, Exchange Traded Funds, and Hedge Funds: all three are simply a professionally managed portfolio of stocks, bonds, commodities, and other Risk Assets.
Fund Fees vary, but the Fees are charged whether You Win or Lose money.
You may lose money, but you are still charged fees, year after year.
Even Mutual Funds invested in Bonds can lose value for a variety of reasons.
Bottom Line : Funds are just a proxy for the Risk Markets. All Funds have fees, and all Funds can lose principal.
The Twin Killers in Retirement – Risk and Fees.
Talk to people who owned Funds during the Market declines of 2000 to 2003, and 2007-2009 ? Ask them how that worked out ?
Then ask me for an article that details how much money was lost in some of America’s “ best ” Mutual Funds during The Great Recession of 2007-2009.
If you want to invest Your IRA Nest Egg in the Risk Markets … I am not The Advisor for you.
I am a Fiduciary, so I am legally and ethically responsible for safeguarding your Money.
My # 1 Job is to protect your Money.
Not speculate with it, nor lose it on You. Especially in Retirement.
It’s easy for other people to take Risks with your Money.
I am a Fiduciary, so Rule # 1 for me is : “ Don’t Lose A Client’s Money ! ”
After 37 Years of working with Retirees, it has been my experience that Retirement is all about Peace of Mind.
You want to enjoy and spend your Money, not worry about it or lose it !
Because Money Stress can be life-changing, both financially as well as psychologically.
In Retirement, you want financial security, stability, and predictability.
Not Risk or Losses.
I believe that Job # 1 for You is to NOT LOSE YOUR PRINCIPAL late in Your Life!
A person has the luxury of time to recover from Market Losses early in Life.
But losing money in Retirement can be devastating to your financial and emotional well-being.
For my Clients, I believe that A Happy Retirement is where you no longer worry about Your Money.
You just know that Your Money is safe.
That’s it. You don’t stress about your Money.
We spend all of our lives working for, and stressing about Money.
We work and scrimp and save so that we can get to “ Our Golden Years ” and be comfortable.
So when you are near or in Retirement, it is Too Late in Life for you to Lose Money, because …
Do not under-estimate how stressful and consequential it is to lose Money in Retirement.
How are you going to recoup your losses ?
Go back to work ?
If you can even find work at that age, and your body can handle it ?
Cut back on spending and traveling and having Fun ?
Make Do with Less ?
Scrimp and Save to offset your losses ?
Wait, worry, hope and pray for the Markets to recover ?
Is your Retirement strategy going to be :
“ Hang in there “, “ Ride it out “, “ Don’t look at your statements “ ?
But wait and worry for how long ?
And what if you cannot wait because you must take out your IRA Required Minimum Distribution …
Exactly when the Markets are down, forcing you to “ Sell Low ” ?
Losing Money stinks at any age.
But Losing Money in Retirement can affect your entire Standard of Living and State of Mind.
Bottom Line : It’s easy for others to take Risks with your Money.
Brokers, Relatives, Friends, etc. are happy to give you advice … because it’s not their money at risk.
But ask them if they are going to compensate you if you lose money ?
So be careful before you invest your DROP Lump Sum in The Risk Markets.
Because Losing Money late in Life, in Retirement, can change your entire Life for the worse, and fast.
Please call Fraser Allport, a DROP Specialist,
at 386.882.6256 for your
It is Too Late in Your Life to make Money Mistakes!
Be A Good Steward of Your Money.
Call Fraser, a Financial Professional with 37 Years of Experience.
You call a Professional for every other project in Your Life, right ?
Please see Fraser’s invitation below for a Complimentary Consultation to help you start your Exit Plan to Retirement.
Starting any Project is the hard part, but Fraser can help shepherd you with a Plan of Action.
Fraser Allport is a Fiduciary, an Investment Advisor,
and a Certified Estate Planner ™ with 38 years of experience.
Fraser is an Independent, and the Owner.
Call Fraser Allport, your Florida DROP Specialist, at 386.882.6256 for your Complimentary Consultation
about your DROP, Social Security, Medicare, Income Tax, Retirement and Estate Planning questions.
Knowledgeable in every aspect of Financial Services, Fraser is the Total Advisor ™.
An Experienced and Independent Fiduciary for all your financial needs.
Call Fraser for answers.
It’s a Complimentary Consultation.
Please see all of Fraser’s DROP articles in his extensive DROP Library at.
- Fraser can help you with the very first steps that you must take to exit your DROP.
- Fraser can help you meet the dates and deadlines for filing your DROP Exit forms.
- Fraser can help you determine what forms are needed, and help you complete them.
- Fraser can help you with choices for wisely investing your DROP Rollover money.
- Fraser can help you optimize your un-used DROP Sick Days and Vacation Days.
- Fraser can help you maximize your Social Security benefits for you and also for your Spouse. Note: Social Security decisions are irrevocable after 12 months.
- Fraser can help you with your Health Insurance, Medicare, Medicare Supplements Home and Long Term Care choices. Most Long-Term Care occurs in your Home.
- Fraser can help you coordinate your Retirement Plans with your Spouse’s Retirement Plans. You and your Spouse want to be in synch about Retirement.
- Fraser can help you reduce your Income Taxes in Retirement. This can save you a lot of money over the rest of your Life. Don’t over-pay your Income Taxes.
- Fraser can help you with your Estate and Legacy Planning. Fraser is a Certified Estate Planner™. Leave A Legacy, not A Mess.
- Fraser can help you Get Your House In Order with Wills, Trusts, Powers of Attorney, A Living Will, Health Care Directives, Final Expenses, etc.
- Fraser can help you with a Home Health Care Plan, customized for you. Act now,
while your health still qualifies. Home Health Care is the future of Long Term Care.
Your DROP Plan is your Retirement Nest Egg.
Safeguard it by getting Smart with your Money.
Remember the two Golden Rules of Investing:
1) Don’t Go It Alone. Seek out Professional help.
2) It’s Never Too Early to Plan for Retirement.
These are Big Decisions for You ... with really Big Consequences.
As You Retire, You are about to make some of the most important
financial decisions of Your entire Life : Social Security, Medicare,
Estate Planning, and what to do with Your DROP Lump Sum.
Be Smart with Your Money, because it’s Your Nest Egg.
Your Retirement is at stake here. These are Lifetime decisions.
Prepare for Retirement ...
and prepare for Longevity.