Sensible Investing Begins With Assessing Personal Importantance
Everyone has different goals for investing. Some people lose sleep at night, thinking about their money being placed in investments that are too risky. Others like the idea of having potential for higher than average profits. Sensible investing is the process of hashing it all out. Investment Advisors, like Mike Stapleton, assess your reasons for investing. They ask questions that help flush out the best course of action; moreover, they help you understand where to invest to help you sleep at night, but also to heighten the chances of outpacing inflation (preferably, greatly outpacing it) with your investments.
Many people try to invest on their own, without an advisor, only to quickly learn that it takes a lot of time to stay current with the market, and keep their investments from becoming ‘out-of-balance.’ Therein lies the secret, keeping investments well balanced. Obviously, the markets fluctuate, changing rapidly from one sector being in favor to another. Brokerage firms who employ Investment Advisors have proprietary software that matches their particular investment methodology, for example Edward Jones is more conservative in their approach than TD Ameritrade. When a client’s portfolio strays away from the firm’s balanced methodology it sends a notice to the Investment Advisor to contact the client and rebalance (buy and/or sell certain positions) their portfolio to bring it back inline. Doing this without an advisor is possible, but one will spend hours and hours and hours doing analysis and research, and if you’re not in the investment business it’s going to take time away from enjoying your life.
Questions To Ask
The questions to ask are fairly simple:
- Where am I today?
- Where would I like to be?
- Can I get there?
- How do I get there?
- How can I stay on track?
After asking these questions you tailor your research to the answers. You also need to be honest with yourself about (1) your time horizon for the goal, whether it’s retirement savings, college savings, buying a house, or whatever the goal may be, (2) how much risk you can comfortably handle, and (3) whether you’re willing to pay someone to help you stay on track. Let’s face it, we all feel more comfortable knowing a professional advisor is handling the important tasks of keeping our portfolio in balance with our goals. Moreover, if you are willing to pay someone, are you willing to let them handle everything with regard to the account, or do you still want to have the say in what investments are made?
Call Mike Stapleton
Financial Advisor with Edward Jones
to get started with Sensible Investing.
1523 Flournoy Cir W, 10302
Clearwater, Florida 33764
Ph: (727) 642-3977