THEY. COULD. GO. ALL. THE. WAYYYY!… No, not to the endzone, to the ultimate goal line– retirement! Most probably do not think of football when it comes to finance (with the exception of those insane $$$ contracts) but believe it or not, these two f-words have a lot in common.
For example, let’s talk about THAT GUY that seems to have it all. After many years of success due to strategizing, planning and focusing, it all seems to just get better and better for him. No, we’re not talking about Tom, we’re talking about the person you thought peaked in high school and now is a finance expert and retired before you.
A person like this is easy to despise AND respect all at the same time, it’s only natural. But don’t be jealous, it is possible (and far more likely) for you to achieve your own personal goals, even without natural interest in finance or over-the-top wealth to begin with. All you have to do, is have the right team, coaching, strategy and dedication to the (investment) game in place.
Oh hey there Tom (or Patrick, Russell, or epic QB of your choice)! Not sure if anyone has told you yet, but you’re the boss. The future is in your hands and now is the time to take control of your investments and get on track towards the goal line retirement.
Just like the quarterback of a team, it is your job to get your own ball/investments into the right hands. All you have to do is consult your team, pick a play/strategy and follow through. Will you have complete control of the outcome? No. But are you better off with a set plan and strategy? YES.
Draft Your Team
Being the quarterback is an important job but as the saying goes, “There is no ‘I’ in team.” (Yes, we realize there is an I in retirement, finances and investments… but please just go with this.)
Now for this example, let’s consider your investment portfolio as your team. With the right fund line up that matches your retirement goals, your team can be led all the way down the field to success. But let’s not forget about the defense and special teams. Afterall, diversification is important on and off the field. What good is an awesome offense without a skilled defense?!
In reality, no one would expect the quarterback to head out onto the field to tackle, guard AND kick the ball. And we don’t expect you to be educated and experienced in all things finance-related. Sure, you’re great at a lot of things including making epic nachos for the game, but it’s okay to get financial advice every step of the way too.
Your financial roster should be full of resources that are unbiased, professional and fiduciary (like blooom!). Just like football coaches/teammates, the whole staff should have the same end goal– winning (retiring).
Just like any solid team is full of a mix of players in a mix of skill positions, your portfolio likely needs many unique kinds of investments, or asset classes, to help the portfolio perform according to your strategy in different, largely unpredictable market environments and situations.
At blooom, our experts are here for you, every play from now until retirement. Our coaching staff is educated, trained, experienced and is on YOUR team. Afterall, as a fiduciary it’s our legal obligation to act in your best interest. And we’ll cheer for you along the way!
Going For Two
Should you go for two or stick with the (usually reliable) extra-point kick? In other words, how much risk are you willing to take? To determine your risk, we suggest taking into account two things: the time on the clock (years until retirement) and then your ability to have confidence in your team when the game is on the line.
As the market ebbs and flows, so might your urge to change your risk tolerance. But our advice will usually be to keep your eye on the end goal– retiring, and don’t let a loss of downs here or there completely alter your gameplan. All you have to do is gain yards (savings), in order to be closer to scoring (retirement). Whether there is an interception, fumble or clock running out, along the way, it’s important to focus not get caught up in the little things.
Do you have a game plan? Or at least a strategy set up? You wouldn’t head into a playoff game without a strategy, so why would you risk your personal and professional future without one?
If this doesn’t sound appealing, are you willing to risk it all? If throwing it all up as a ‘Hail Mary’ with a couple of seconds left on the clock appeals to you instead, we’d call that gambling, not investing…
Published on September 15, 2021