How to STOP the Coronavirus infecting your Retirement Plan!
Are your retirement plans at risk?
The world is in a state of panic, extreme panic.
Coronavirus has gripped the world and bringing it to its knees.
I sincerely hope the medical experts find a cure to this soon.
It’s affecting supply chains worldwide.
Company profits will suffer in the short term.
People have gone nuts, nuts for toilet paper.
Walking into a local shop last Monday only to see the isle of toilet paper completely empty.
Wondering to myself, why?
Still can’t figure this one out.
The impact of the coronavirus has spread to every part of the world.
Stock markets whipsawing from record daily gains to record daily losses.
You’re experiencing unprecedented swings.
Social media channels are amplifying fear like never seen before.
Amidst this chaos, how are you feeling?
- Feeling like the last couple of 12/24 mths of savings, contributions and hard work has just gone down the drain?
- Have you sold your investment portfolio in fear of losing it all?
- Thinking about whether you should be selling your investment portfolio and looking for a lower entry point into the market?
- Or are you just FREAKING out about the damage this could do to your retirement plans?
All reasonable and quite common feelings that are experienced in times of market turmoil.
We get it.
We feel the impact of financial pornography channels spewing up fear-mongering headlines.
It’s like the world as we know is about to end…
More concerning is outright panic and fear people are showing is unheard of.
In times of fear, our human response is to avoid pain at all costs.
Over the last couple of weeks, we’ve spoken to many non-clients thinking of selling out completely or who have already sold out completely.
These knee jerk reactions could cost these people BIG time long term.
Now is a critical time to act rationally, not emotionally.
Moreso if retirement is around the corner.
Make one BAD move and your retirement could be down the proverbial gurgler.
As the flight attendants say when planes are experiencing turbulence.
“It’s time to get back to your seats and fasten your seatbelts”
If you are feeling nervous. Not sure what to do.
Thinking about selling your investment portfolio completely, feel free to drop me a line at gdoherty@jigsawprivatewealth.com.au
We’ll arrange a quick call where we can answer all your questions in these scary times.
Here’s your battle-tested cure for not letting the impact of the Coronavirus ruin your Retirement!
#1 Review your retirement plan.
What are you trying to achieve with your retirement plan?
Here’s the thing, if there are changes in your life, then that may warrant changes to your plans.
Typically we don’t make large changes based on market movements. You’ll see why in the next step…
At this point, you want to reconfirm what you want for your retirement.
If you don’t have a detailed retirement plan, it’s time you take this stuff seriously.
It’s your future lifestyle we’re talking about here.
For example:
You want to retire at 65.
Spend time traveling around Australia in a caravan.
Experience an overseas trip every year.
Time to enjoy more of your leisure interests.
Enjoy time with your grandkids seeing them grow up.
You want $80,000 per year to fund annual living expenses.
Contribute to the education of your grandchildren.
You want to make sure you never run out of money, never have to worry about it again and live an incredible life in retirement.
If nothing substantial has changed.
Great, you’re are on track.
Move to the next step.
If, however, your circumstances have changed significantly you’d need to revisit all your original assumptions.
#2 Review your investment process.
Is your portfolio designed on purpose?
We don’t mean a bunch of investments purchased randomly over a number of years.
But designed specifically and methodically to support your desired lifestyle in retirement.
An investment strategy that gives you the greatest probability of achieving your lifestyle in retirement?
A portfolio where every aspect plays a specific part in supporting your lifestyle in retirement.
Getting there in solid financial shape.
Has your investment portfolio been designed based on the weight of evidence?
While it’s tough in turbulent and scary times.
It’s time to put your rational hat on and leave the emotional one in the cupboard.
It’s hard I know, you are only human after all.
Our client portfolios are individually designed based on client’s unique circumstances.
The weight of evidence is used to build robust investment portfolios.
These portfolios are designed to incorporate the onset of really bad markets and really good markets.
There’s a level of safety built into every single investment portfolio.
We know the investment cycle a client will experience will inlcude both scary and good markets.
There are going to times like this when clients are going to be stressed and worried about their investments.
We just don’t know when.
Next is how you design or allocate your investments to support your plan.
Think pie charts, diversification (shares, property, cash and fixed interest).
In fact, our client’s portfolios have been more conservatively invested than most going into this market turmoil.
They are now positioned to pro-actively take advantage of the current market shocks to increase risky assets and benefit from the fear.
Why you might ask? Well, it’s the weight of evidence.
While we acknowledge that current market shocks are hard to take, it’s the longer-term picture we are looking at.
It will pass and we’d have picked up some absolute bargains in this market.
One of the world’s best investors, Warren Buffett has the perfect quote for the current market.
“Be fearful when others are GREEDY and GREEDY when others are FEARFUL”
#3 The best product to facilitate the whole process.
Review of the product you are using.
For most this will be the most difficult part.
Expertise in understanding the nuances in every product out in the market place is key.
For most, this will be the superannuation fund or product you use.
The product you use, we think, sometimes can be underestimated.
It’s important that the product you use is able to facilitate the investment process that is appropriate for your unique circumstances.
I’m afraid to say many are not, although I’m sure parts of the financial services industry would argue otherwise.
Why? They have a financial interest to make you think you need to pick them.
We find only certain products have the ability to facilitate the investment process we use to protect client’s retirement lifestyles.
It’s time to secure the hatches, we’re going to be in for one hell of a ride.
Want to avoid the retirement mistakes many make? It’s time to book your one on one Secure Retirement Call here>>
Many are entering retirement blinded, and events like this are unfortunately going to rock their world like they never expected.
Uninformed decisions are made which unfortunately has a significant impact on people being able to experience their retirement dreams.
If you are still a while from retirement, the current market events are a wake-up call to get your financial house in order.
You still have time…
Act now to avoid the retirement mistakes many make?
It’s time to book your one on one Secure Retirement Call here>>
We’ll help you see through the noise and help guide you on how to achieve your retirement with less stress, anxiety, and complexity.
Bonus, you’ll avoid the costly mistakes Baby Boomers make that ruin their retirements.
Here’s to your incredible retirement!
P.S. Do you want to avoid the retirement planning mistakes many are making?
Want to know you’ll never run out of money and never have to stress about it in your retirement?
Then, it’s time to protect the only retirement you get, book your Secure your retirement call here and we’ll help you navigate your retirement stress-free.
While we can’t help everyone, if we can, we’ll let you know and if not at the bare minimum, you’ll know where your focus needs to be.
That’s a win for you.
Knowing is easy, doing in hard…
If you liked this, you might be interested in:
The damaging ripple effect of NOT managing your financial life!
Glenn Doherty – CFP – Founder & Financial Organiser at Jigsaw Private Wealth
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Schedule hereAdvice Disclaimer: Any reference in this publication to the provision of advice refers to advice of a generic nature, and should not be taken as product or investment recommendations. Before any action is taken based on the information provided, independent financial advice from a licensed financial adviser should be sought. Financial Freedom Project Pty Ltd ATF GA & DC Doherty Family Trust Trading as Jigsaw Private Wealth is a Corporate Authorised Representative of Exelsuper Advice Pty Ltd. The information contained in this publication is of a factual nature only and is not intended to constitute financial product advice. Information is current as at date of publication. This is an online information blog. It does not imply an offering of securities.