YOUR FINANCIAL INDEPENDENCE

Published by: Sam Executive Director IAAMG on 19th Jul 2011 | View all blogs by Sam Executive Director IAAMG

YOUR FINANCIAL INDEPENDENCE

 

 

The average U.S. couple will fall approximately $250K short of what they will need to live on after they retire.  How is that for a slap upside the head?  The largest retirement class ever (Baby Boomers) is currently facing this issue.  We were told over a year ago by those that study financial trends/crises that the recovery would be slow, & the economy would be fragile for some time.  Investors drunk in the euphoria created by the “Stimulus Package” are now in dire need of hangover meds as the stimulus nears its end & we are left to wonder if the $2 Trillion mattered. 

 

Many of us are left to wonder how to make our nest egg grow & how we can declare our financial independence from the gut wrenching ups & downs of the stock market.   Financial experts & gurus continue to “waffle” & cannot agree on where it is safe to invest.  All of this leaves conservative investors in a quandary: do I continue to park my money as I have the past 3 years in money market funds & CDs that pay almost nothing while waiting for better paying U.S. Treasury bonds & CDs to arrive?   Do I take a chance on riskier funds that pay more but are subject to the tinkering of the Federal Reserve? 

Based upon current economic trends it may be wise to consider investing in canned goods & ammunition.  Truly there is no easy answer, & a one size fit all plan certainly does not exist.  In my opinion, the “Baby Boomer” nation has relied far too long on others to dictate & control how & where our funds are deployed.  While I am a proponent of following in the foot steps of our nation’s elite earners & using Real Estate as my wealth building vehicle of choice; I also believe that diversification is imperative.  At the forefront of investment planning is knowledge, a.k.a. Financial Literacy.

 

This is a time of transformation & the time to take responsibility of your financial independence; making financial literacy a life-long priority.  The IPad generation has allowed even technically challenged souls such as I accomplish sophisticated tasks with the touch of a finger.  Financial strategists nationally & abroad agree that the current environment is too risky to justify prudent investors hanging around hoping to get lucky & agree that a 4% return is respectable. 

Whether it is or isn’t is relative to each of us; but shouldn’t you be the one to determine that?  Investing isn’t about more choice, it is about greater insight.  This is a time of simplification & our financial future is now about managing risk all in one place.  You will not fail due to lack of information available to you.  Hmmmm,  IPad finance, kind of catchy.  Happy Investing!               

Comments

3 Comments

  • Anthony Silva, Millionaire in Training, www.mmmchallenge.com
    ** Well written Sam I agree 100000% that we need to improve our financial literacy and take control of our future and not leave it in the hands of others. Who else truly has your best interest in mind but you.
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