We Recognize The Need to C.Y.A.
Cover your Assets
The traditional measurement of an investment manager's skill is not aligned with investors' goals. There is a fundamental disconnect for how the two parties describe "risk" and "success". The typical investment manager defines risk as the variance from a particular benchmark. Investors classify risk as the probability of losing money in their retirement savings, not achieving the desired retirement lifestyle, etc.
Many investors try to achieve a certain rate of return hoping it will enhance their retirement lifestyle and that is true, sort of.
Once nearing or entering retirement there are several different risks which we address in our comprehensive written retirement income plan:
Iceberg Risk
What you don't see that can sink your future
Sequence of Return Risk – what will happen to your lifestyle if the market declines in the first 5 years of retirement
Bear market Return Risk
Portfolio Risk
How much will you lose in the next market decline?
Social Security distribution risk
Asset allocation Risk
Gap Analysis
Fee analysis
The question is not what rate of return can you get but "what do you want your money to do for you to achieve an income and retirement lifestyle you deserve?"