Monthly Archives: August 2012

The Biggest Investment Risk… Is You

Many clients have asked me to identify the biggest risk to investing.  I answer without hesitation.  The biggest risk to investing is not the ups and downs of stocks or whether a recession is in the future.  There have been many down markets in the past, and it’s relatively safe to assume there will be future down markets as well.  In my opinion, the largest risk to portfolios is the investor himself. Most of the emphasis placed on reducing risk is focused on asset allocation and diversification.  While the ratio of stocks-to-bonds is very important, it is not a new concept.  By now, all investors should know not to ‘put their eggs in one basket.’  Many would agree that holding … Continue reading

Posted in Business, Finance | 1 Comment

Sit, Stay or Rollover

According to the U.S. Bureau of Labor Statistics, it is estimated that Americans will change jobs around 11 times between the ages of 18 and 42.  A lot of these job changes will create a financial decision to be made with the retirement plan at the former employer.  What should you do with the old company retirement plan? There are four main options to choose from.  Leave the account behind, roll into the new company plan, cash out or a trustee to trustee transfer. The first option is to leave the retirement account.  Depending on the plan rules, as well as the size of the account, this may or may not be an option.  Typically the larger the account is, … Continue reading

Posted in Business | 1 Comment

Return to top