art of wealth unbroken

Today’s show comes to us from an article published by Michael Kitces’ team titled, “Questions, Not Answers: Conversations For Advisors To Navigate Clients’ Anxiety Around Change” released on May 4, 2022.  Investors, particularly in turbulent times, can have narratives that will compound the negative impacts to their finances.

Often, an advisor's reaction is to tell the client that their plan is working, and not to worry.  But as we dig into the area of personal finance - that's often not helpful. The article advise to encourage a client to form new personal narratives, instead of addressing their stressors, can help them understand and implement new perspectives that make it easier for them to address challenging situations in different (and often more successful) ways.

There are steps that you, as an investor, can take right now.

1. Work with a financial professional that is more interested in listening that talking.
2. Be proactive in your financial plan.
3. Ask yourself narrative changing questions.  We can assist you this step.
4. Use resources, such as, Monte Carlo simulations or other technological tools that can run probability scenarios.
5. Expect the market to go through normal cycles.
6. Know the difference between diversification and allocation.
7. Measure and Monitor what matters.
8. Meet periodically with your financial professional to make changes when necessary.

If you'd like help with your financial future, and want to talk to Michael, Stacey, and the team at Optivise, you can visit our website at https://www.artofwealthunbroken.com/

Or give them a call at 855-378-1806.  They'll get you your free Arc of Life report, tailored to your own individual circumstances.
 

How do you select the right financial advisor?  Too often, investors focus on investment returns and lose sight of the bigger picture.   Does your advisor align with your personal values, risk tolerance, and investment philosophy?  What are their methodologies?  Have they successfully navigated their clients through economic storms before? The best advisors get to know their clients.  They don't just sell to them.

82% of Americans say their values play a role in how they manage their finances.  But 68% of advisors don't know this!

Using their proprietary Info Right system, Stacey Andres, Michael Wallin, and the team at Optivise Advisory Services evaluate 10 pillars of planning, and how they interact with each other: Investment, retirement income, tax, social security, education, healthcare, personal care, charitable, legal, and wealth transfer.

To receive your free Arc of Life Report, with no obligation, visit Michael and Stacey online at https://www.artofwealthunbroken.com or give them a call at 855 378 1806.

Today, Michael Wallin and Jag talk about our national debt, and why it's important for you to understand how it could affect your bottom line.

Over the life of the United States, we've come to rely more on tax revenue from our citizens and corporations, as opposed to tariff revenues on imported goods. And the government spends a lot of money - on social security, Medicare, Medicaid, our military, and more.  And much like our personal budgets, when you've got more money going out than coming in, something needs to change.  Either you need to bring in more money, or spend less.   And we're not spending less, regardless of which political party is in the White House or controls Congress.

Today's National Debt is $30.5 Trillion.   That averages out to $91.622 for every baby that's being born as you read these notes and listen to this podcast.   And with raising interest rates, that's going to be even more challenging.  So you need to come up with a personal financial plan that protects you against an uncertain future.  The Info Right Process focuses on six key areas of concern: income, investment, taxation, health care (long term and personal), charitable donations, and estate planning.  

This is where Michael and Stacey can come in to protect you and your family going forward.  They are making the Life Arc plan available to any of our podcast listeners.   To learn more or get in touch with Michael and Stacey, give them a call at (855) 378-1806 or visit them online at https://www.artofwealthunbroken.com/

Today, Michael Wallin and Jag are talking about something we are currently seeing in the markets - volatility.  A number of factors are driving this volatility, including the Ukraine/Russia war,  inflation, the market’s uncertainty of whether or not the government is going to slow down the economy without over tightening the money supply, global supply chain problems, and domestic employment issues. 

A solid investment strategy, however, should already have market volatility built in to the plan.

Step 1: Begin with the end in mind and avoid unnecessary risk.

Step 2: Build your investment plan around your budget plan.

Step 3: Embrace Volatility.

Michael feels the markets are reacting as expected to all of the above issues.   But volatility is less scary when you have a plan that accounts for it.

If you need help putting together a financial plan - so you can stick to it - feel free to reach out to Michael and Stacey.  You can find them on our website - artofwealthunbroken.com.  Or give them a call at 855-378-1806.

Additionally, for our podcast listeners who visit the website, we are making the LifeArc plan free to you - with no obligation. This will help you get started on taking stock (no pun intended) of your overall financial picture.

"Thinking Well" - it could be a super power.  At the very least, it's a character trait that's vital in our current state of market volatility.

Fear is a powerful emotion.  Michael Wallin equates market panic to the reaction the movie Jaws - when people were suddenly afraid to go to the beach.  When you look at the numbers of actual shark attacks, that fear was largely unfounded.  That same overreaction and panic often causes people to exit the market or make changes to their investments - which often results in "locking in a loss" and not giving your portfolio a chance to recover and grow.

Having a solid financial plan in place accounts for both market volatility and the resulting fear.

If you need help putting together a financial plan - so you can stick to it - feel free to reach out to Michael and Stacey.  You can find them on our website - artofwealthunbroken.com.  Or give them a call at 855-378-1806.

Additionally, for our podcast listeners who visit the website, we are making the LifeArc plan free to you - with no obligation. This will help you get started on taking stock (no pun intended) of your overall financial picture.

Today, Michael Wallin and Stacey Andres break down 3 of the most common mistakes that investors make regarding their retirement.  They are:

1. Not having a plan
2. Quitting their job too early
3. Not investing with a purpose

We discuss each of these points, and our hosts also explain the Life Art plan that they use.  It uses hard numbers to determine our investors' ideal rate of return for a successful retirement.

If you need help putting together a financial plan - so you can stick to it - feel free to reach out to Michael and Stacey.  You can find them on our website - artofwealthunbroken.com.  Or give them a call at 855-378-1806.

Today's podcast episode was largely inspired by an article in TheBalance.com, titles "Why Average Investors Earn Below  Market Returns."  You can read it here: https://www.thebalance.com/why-average-investors-earn-below-average-market-returns-2388519

Investors often earn returns below what the market brings in.  When Stacey Andres was  teaching stock trading, it's something he ran into frequently.   We used to call it "fear and greed," but now folks call it "behavioral finance."   Essentially, the average investor is so afraid of losing money, that they often overreact to market volatility.

Michael Wallin cites a Dalbar study further showing the disparity between market returns and investor returns.  Investors often perceive a loss of money when the market is down, but the money isn't actually lost until you sell the security!  Recency bias often comes into play -with the belief that a down market will continue to fall, or that an up market will continue to rise.

This often leads to trailing the market by one or two percentage points a year. That may not seem like much, but it can compound over time. Stacey and his calculator show us how this turns into real money.

Our article from the balance talks about 4 ways to avoid these usual pitfalls.

Do nothing

Know that your money is like a bar of soap - the more you touch it, the less you have!

Never sell equities in a down market

Trust that the science works.

If you need help putting together a financial plan - so you can stick to it - feel free to reach out to Michael and Stacey.  You can find them on our website - artofwealthunbroken.com.  Or give them a call at 855-378-1806.

The Art of Wealth Unbroken podcast is specifically researched for investors that are on a path of success in achieving their retirement goals, but are just as focused on their planning to not expose their wealth to avoidable mistakes. You will have a better understanding of the common mistakes often made, how to navigate around those pitfalls, and be more educated during these financial times. Our hosts are seasoned professionals in the field of financial planning and investment strategies. These discussions are designed to give you the knowledge you need to become financially independent to live the lifestyle you’ve always imagined and how to protect it.

Michael Wallin is a certified financial planner practitioner and Managing Partner of Optivise Advisory Services, LLC. and PanthRex Asset Management, an industry-leading money management platform that offers Biblically-Responsible investment strategies that allows investors to align their investment strategies with their principals and closely-held convictions.

Stacey Andres is CEO and founder of Anchor Wealth.  He started the practice in 2013 after leaving his former company where they provided stock market and trading education. More than 43% of the students at that time where already retired and were in fear of outliving there money because their financial advisor had done nothing to protect their investments from the market crash in 2008 and 2009.  Since then, he has made it his mission to help clients identify, understand implement a plan that helps protect against the pitfalls that come with their unique financial position.  Together he and his clients develop and implement a strategy that provides a higher level of security for them in the life they are living now, and in their legacy plan.

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