This week’s theme is: 5 Habits of Highly Successful Clients

I have my dad back on the podcast this week, and we’re sharing common threads that we see among our most successful clients...

This week’s theme is: 5 Habits of Highly Successful Clients

I have my dad back on the podcast this week, and we’re sharing common threads that we see among our most successful clients...

This week’s theme is: 5 Habits of Highly Successful Clients

I have my dad back on the podcast this week, and we’re sharing common threads that we see among our most successful clients...

This week’s theme is: 5 Habits of Highly Successful Clients

I have my dad back on the podcast this week, and we’re sharing common threads that we see among our most successful clients...

This week’s theme is: 5 Habits of Highly Successful Clients

I have my dad back on the podcast this week, and we’re sharing common threads that we see among our most successful clients...

This week’s theme is: 5 Habits of Highly Successful Clients

I have my dad back on the podcast this week, and we’re sharing common threads that we see among our most successful clients...

This week’s theme is: 5 Habits of Highly Successful Clients

I have my dad back on the podcast this week, and we’re sharing common threads that we see among our most successful clients...

It’s Sunday, which means...It’s recap time! The theme this week on the One Minute Retirement Tip was “I Sold All My Stocks In 2020...Now What?!”

Many people who moved their retirement portfolio to cash in 2020 are frozen now because the stock market is at it’s all time highs and it's no fun jumping back in at this point. So this week, I talked about practical ways to move forward from here, and how not to make the same mistake again the next time the stock market takes a nosedive.

Here’s what we covered in each episode this week:

• The Worst Part About Selling All Of Your Stocks
• How To Not Lose Sight Of Your Long-Term Strategy
• Why You Should Re-Evaluate Your Tolerance for Risk and your ideal % in stocks If You Sold Your Stocks In 2020
• And lastly, I talked about 2 strategies for getting back to your ideal % in stocks - wading into the pool gradually or jumping into the deep end. Both strategies have merit, and it usually comes down to what you can stomach and the tradeoffs between potential reward and potential risk of moving back into stocks now vs. doing it gradually. 

The key takeaway from this week is that not being fully invested at your ideal mix of stocks can be very problematic. So if you sold in 2020, making a plan for how to get back in, and putting that plan into action is critical for not staying paralyzed and doing nothing, and earning nothing in cash as a result. 

Hopefully after listening to the One Minute Retirement Tip podcast this week, you have the tools to get back the right % in stocks for your portfolio, as well as the understanding about why succumbing to the temptation to sell again in the future can be very damaging for you in the long run.

Tomorrow, we are starting a brand new theme: 5 Habits of Highly Successful Clients. I’m bringing my dad back to the podcast, and we’re talking about the recurring habits we see among our most successful and financially savvy clients. 

And before you go, be sure to check out my YouTube channel - True North Retirement, where I post a new video every Sunday on helping you live a fulfilled and financially secure retirement. 

That’s it for this week! Thanks for listening and I hope you have a blessed Sunday! 

My name is Ashley Micciche and this is the “One Minute Retirement Tip”.

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Check out our blog: https://truenorthretirementadvisors.com/blog/

----------

Tags: retirement, investing, money, finance, finances, financial planning, retirement planning, saving money, personal finance, wealth management, money tips, fee only financial advisor, financial planner, financial podcast, retirement podcast, financial independence podcast

The theme this week on the One Minute Retirement Tip is “I Sold All My Stocks In 2020...Now What?!”. 

Yesterday I talked about the method for getting back into the stock market that I prefer which is moving ⅓ or ½ in now and then the rest over a period of a few months. If you missed yesterday’s episode - go back and check it out, because I laid out the overall strategy for getting back into stocks of first determining your ideal allocation to stocks, determining your timeline, then putting it on auto-pilot. 

If you’re brave enough, you could also just move everything that needs to get added back to stocks right now. 

That option isn’t attractive to most people, since there’s seemining a lot of risk involved. After all if you’re in this position right now, you’re looking at a stock market that’s at nearly 33,000 on the Dow as I record this podcast - an amazing place to be if you’ve stayed the course. A scary place to jump in if you’ve been sitting out of the stock market on the sidelines. 

But here’s the thing to keep in mind. Statistically speaking, the stock market has about a 70% chance of having a positive return in any given year. And as I talked about earlier this week, there is substantial risk of missing out on those few amazing days in the stock market that are responsible for an outsized % of your overall results.

In most cases, the sooner you can get back into stocks, the better. It doesn’t really matter all that much that the stock market is near it’s all time high, because it could continue to touch new highs all year long and keep going higher from here while you sit in cash. 

As long as you still believe in free market capitalism and that the US economy is worth investing in over the long-term, then there’s no reason to wait it out longer than you can stomach. 

So if you have the temperament for it, you could also implement strategy number 2, which is jumping into the deep end of the pool and getting to your ideal mix of stocks and bonds all at once. 

That’s it for today. Thanks for listening. My name is Ashley Micciche and this is the One Minute Retirement Tip. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Check out our blog: https://truenorthretirementadvisors.com/blog/

----------

Tags: retirement, investing, money, finance, finances, financial planning, retirement planning, saving money, personal finance, wealth management, money tips, fee only financial advisor, financial planner, financial podcast, retirement podcast, financial independence podcast

The theme this week on the One Minute Retirement Tip is “I Sold All My Stocks In 2020...Now What?!”

So far this week, I’ve been addressing some of the big problems with getting out of the stock market and almost without fail its a losing strategy that can have devastating consequences on your long-term portfolio returns, and by extension, your life and lifestyle in retirement. 

Today and tomorrow, I want to discuss how to move forward from here. If you sold in 2020 and are still parked in cash or even if you’re just underweight stocks, where do you go from here? 

The first thing you need to do is determine your ideal asset allocation. For most of you listening close to retirement, that’s anywhere from 40% stocks to 70% stocks. By the way, if you want some guidance here, I have our age-based asset allocation cheat sheet I can send you that provides the recommended asset allocations we recommend for clients based on age. It’s a great starting point to figuring out your ideal mix and then you can go higher or lower depending on your tolerance for the ups and downs of the market, which was the topic of yesterday’s podcast. 

Anyways, if you want that asset allocation cheat sheet, just send me an email at [email protected] and I’ll send it to you. That’s [email protected]. 

So let’s assume that you have a $1 million portfolio and right now you’re 20% in stocks, when you really need to be 60% in stocks. That’s $400,000 to move into the stock market to get up to your ideal 60% allocation. 

How are you going to move that $400,000 into the stock market? Certainly not right now when the stock market is at it’s all-time high. You feel a little silly and foolish even for considering buying at the top. After all - buy low and sell high - not the opposite, right? 

The most common suggestion I have for someone who has too little in stocks and needs to move a lot or even a little back into the market is to do so gradually. That could be a period of 3 months, 6 months, 9 months, 12 months. 

I usually don’t recommend going past 12 months until you’re fully invested at your ideal allocation again, but the important point here is that you decide on the timeframe you’re comfortable with. Deciding in advance is important so that you put the reinvestment on auto-pilot after that. 

In this example of needing to move $400,000 back into the stock market, I might recommend to a client 6 months seems prudent. So I might move ⅓ or even ½ back in now, since the likelihood is that the stock market will continue moving higher over the next 6 months (that’s not my opinion - that's statistical fact). The sooner you can get back invested, the better usually. So we might move ½ now and then move the other $200,000 back in over the next 6 months - that’s $33,000 a month that’s moving back into the stock market. 

That money that’s being moved over into stock each month is done robotically with this strategy - the same day every month, like clockwork it’s moved over. Doesn’t matter if the stock market is up, down or sideways that day or week...we’re moving money back into the market. 

So that’s my preferred strategy - determine your ideal % of stocks in your portfolio, then determine your timeframe (not more than 12 months) for being fully invested at that ideal % allocation, then put it on autopilot to get reinvested so you don’t have to think about it or abandon your strategy. 

That’s it for today. Thanks for listening. My name is Ashley Micciche and this is the One Minute Retirement Tip. 

----------

>>> Subscribe on Apple Podcasts: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Check out our blog: https://truenorthretirementadvisors.com/blog/

----------

Tags: retirement, investing, money, finance, finances, financial planning, retirement planning, saving money, personal finance, wealth management, money tips, fee only financial advisor, financial planner, financial podcast, retirement podcast, financial independence podcast