Setting Realistic Goals. Equity and bond markets alike will experience short-term fluctuations. By focusing on long-term historical returns, it is easier to keep short-term fluctuations in perspective and set realistic longer-term investment goals.
Understanding Risk & Reward. All investments contain some measure of investment risk. Understanding risk and the risk/reward relationship will help you better understand your investments.
Balancing Risk & Reward. By combining different types of investments together you can help balance the risk and reward (volatility) in your portfolio. Consult a financial advisor for help in determining the balance or risk and reward that is right for you.
Small Investments Add Up Over Time. Time can be your biggest ally when investing for longer-term goals thanks to the power of compounding. Even small investment amounts, such as $100 a month, can grow to a substantial sum over time.
Effects of Taxes and Inflation. Taxes and inflation can erode your earnings over time. When mapping out your investment plan, it is important to understand the impact each can have on the value of your investment.
The Benefits of Tax Deferred Growth. Tax deferred investment vehicles, such as IRAs or 401(k) allow contributions and potential earnings to grow tax deferred, which can make a considerable difference in the ending value of your investment.
Job Changes Happen. The average person changes jobs every 4 years. If you are changing jobs, be sure to consider a Rollover IRA, it may help you protect your nest egg from costly tax penalties.
Career Changes -What to do with your 401(k). Taking your 401(k) distribution in cash before retirement can be a costly decision. Rolling your distribution into a Rollover IRA helps to protect your retirement nest egg from federal tax penalties.