On this week's episode, Josh and Michelle talk the hot topic in the retirement planning space, Roth Conversions. Mistakes in a Roth conversion can cost an investor thousands of dollars, and as with most things their industry, there’s the good, the bad, and the ugly.
Today we are going to explain why your broker is a dinosaur, and why, if your financial advisor isn’t leading with financial planning, and only handling your investments, they are go the way of the do-do bird in our business.
Do I need life insurance in retirement? Most of us carry some type of life insurance during our working years to replace the catastrophic loss of income to our surviving dependents if we prematurely pass away. But what if the kids are grown, the debt is paid, and our surviving spouse has plenty of assets and income to financially survive the passing of a loved one?
The title of today’s episode is “How to Avoid Financial Advisor Fraud”. And we are going to expand that to include investment managers and hedge fund managers – basically anyone that manages other people’s money. In this episode we are going to detail some of the boxes you want to check with anyone with which you wish to invest, and discuss the red flags to look for, some obvious, some not so obvious, unless you know the business well.
Today Josh is going to translate our different financial investment roller coaster approaches to how investors view the stock market. He is also going to explain a concept for those of you, that are like him and don’t care for roller coasters, especially those of you that don’t think you can stomach the extreme ups and downs of recent stock market volatility. There is a concept in the investing world called “Fear of Missing Out”, commonly known as FOMO. The Oxford dictionary defines FOMO as “anxiety that an exciting or interesting event may currently be happening elsewhere”, with the implication that you are missing out. The bad side of FOMO can lead to impulsive decisions by investors because they see people. Josh and Michelle will go through how to handle every financial FOMO on this week's episode.
We are recording this episode on Thursday, April 10th, less than 24 hours removed from the largest single day rise in the stock market valuation, right smack dab back into another 2-3% trading dip. The word “historical” gets way overused, but in the case, it’s not hyperbole to say that we are experiencing truly historical levels of volatility, eclipsing even the crazy ups and downs we saw at the beginning of the Covid crisis. And for a radio show based on top-of-mind topics for investors in or near retirement, or any investor of any age I would say, I think it goes without saying that tariffs and resulting stock market volatility is certainly on the minds of most of you tuning in. Last episode we discussed the reasons for this volatility, this episode we’re going to talk about what to do about it, particularly you investors that may not have the stomach for this roller coaster.