The struggle to save enough for retirement is very real for many Americans. Many have not been able to do so for reasons unique to their situations — whether it be debt, unexpected expenses, or poor financial management. Social Security is also not enough to sustain the lifestyles and basic needs of most people. Many jobs have done away with pensions — what once used to be the cushion most working Americans relied on. For those nearing the retirement age, the pressing reality can bring on many questions, as well as feelings of despair and uncertainty. However, in attempt to stash away as much as possible, one can also make serious investment mistakes that may often be regretted for years to come.
“The right investment mix can guarantee a more secure financial future, just as the wrong move can cost you it.”
We’re not talking about not saving enough here. We’re talking about asset types. The right investment mix can guarantee a more secure financial future, just as the wrong move can cost you it.
In a perfect world, you’d invest your savings across different investments in your 20s and make contributions to your employer’s retirement plans over the next several decades. Your financial determination would be unhindered by life’s most most important moments, or the unexpected, such as starting a family, or job loss. And when you reach the age of 65, retirement never looked sweeter. You say a bittersweet goodbye to your office and career, take up a new hobby and pack your bags to trot the globe without a care in sight — in a perfect world, of course.
Unfortunately, this perfect scenario applies to a slim percentage. Life can often deviate us from our original objectives, leaving us to postpone our financial initiatives for a future point in time. In some cases, we’re left with no other choice, but to continue working for as long as we can. However, the idea of “catching up”, is often a dangerous one that can lead to terrible investment mistakes.
The Investment Mistake
Those who look into ways to quickly multiply their savings in an effort to “catch up” will often invest in the stock market, which can, more often than not, be a huge mistake. While it may seem like an opportune time to earn more on your savings, rapid fluctuations in the market can quickly leave one to frantically reconsider their decision. The stock market is extremely volatile. Even under the professional guidance of a financial advisor, you can quickly be at a loss from one day to the next. And the problem is, no one can predict market fluctuations.
Sure, there are plenty of experts and economists who can provide an educated, or informed opinion on what may happen with a particular stock, or market cycle, but no one can truly be 100% certain of the future. Everyone from the person making the recommendation, to the investor, are taking a risk. And popularity doesn’t always mean correctness.
So, next time you hear the financial advice of a well-known money guru and T.V. personality, remember to take any suggestions lightly. At the end of the day, you shouldn’t be basing your investment decisions (let alone your retirement fund) off a show, or someone who doesn’t know your financial condition personally. Even if your tempted to buy in a bearish market, because it almost seems like a perfect opportunity to make a quick buck, who’s to say the market won’t continue to dip?
For some investors, the uncertainty of what will happen next, is part of the gamble they take.
The question you really need to ask yourself is, “Can I afford the loss?”
Who We Are
Jakob Pek Fund is a private fund offering a real estate investment opportunity that combines low risk with high-yield returns.To learn more about our high interest rate investment and how you can start earning up to 7% APY, call us at 1-888-950-1143 or email us at firstname.lastname@example.org.