Retire Right 06.24.18 Seg 1

Retire Right with Alan Becker
Sunday, June 24th

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

This these three tire right with Allan Becker. And the retirement fuse network's Megyn most active. Allah is the president and CEO what the retirement solutions group. With more than eighteen years of financial experience Alan and his team will help preserve and maintain his client's way of life. And the legacy they leave behind. This is retire right with Allan Becker on the retirement news network. I it's Megan NASDAQ by the retirement news network here with Alan backer of retirement solutions group who were glad to have you with us today. If you like to reach out to Alan and the team at RSG you can call 9132867980. Hears that number again. 9132867980. Ever hear the old adage worry about the things you can controller change and fret less about the things he can't play how many times have you heard that maybe from your spouse are. They only member or friend or your boss. Well. It's really good advice and it's advice that you got to take when you planning for retirement but space at one thing we just can't control. Is interest rates and interest rates they are on the rock aid they're expected to keep rising because they've been at historic low levels for a long time now. And those rates will impact do you and they will impact your retirement assets are gonna talk about that in fact today. Allen's get a give you ways to proactively position yourself to take it be manage our rising interest rates. You can stick to worrying about the stuff that you can't control. Now let's start just panic at the beginning here may be a quick update on where interest rates are at right now here in the US. And making you know interest rates are as you setter one of those things you cannot control and can't is actually at Akron and that we use here in the industry it means capacity. So what is your capacity for loss let's say what's your attitude your attitude towards investing. And how much money do you actually need so when we're talking about. You know finances in investing money we've got to look at all of these different aspects of it so when. Abusive. You know how is interest rates been here recently enacted remember back ten. The eighties. Many of you probably will as well when rates were up around 16%. Eight. But lately we're talking. 11 and a half your lucky getting 2%. So interest rates have fallen a lot over the years and a lot of people who depend on interest for their fixed investment so. We you know we're investing we have some money that we can afford Everest with them some money that we really don't wanna put any risk. At all into. And you know there's not a lot of options out there since they were her talk about. Options that we may have in these. Rising and flat interest rate environments so that we can help you make it to enter retirement your retirement solutions group. We believe that you really need to be working with the fiduciary. And if that issue some minutes legally obligated to act in your best interest. Now the law states that they somebody who is working with your qualified money should be a fiduciary but we believe that somebody's working with you need your money. Should be a fiduciary. And I go a step further to say they should be licensed in both life and health as well because as we're getting. You know closer and closer retirement. Most people would rather take less risk on some of the things that they do one of those being their investment strategies. So if you're working with somebody that has both life and health license in addition to the securities license. They can help you with things like. Your health insurance you're long term care solutions. Life insurance whether he's still needed are you looking utilizing as an asset class they can also help you takes on the wrist got your portfolio. So the markets a great place and as we've seen over these last eight or nine years you know I'm a nice bull market there. You know great place to make some money if you can afford the risk or your. Work more than advisor to help you control the volatility controlled risk in the fourth for the year taking. It can be a great place for the good mix. That seems to be that the best solution self care retirement solutions group we look at our line not just as return on investment. But reliability of income the true meaning of our allies and the golden years. So that's what we wanna help you it. Alan besides stimulating the economy what impact has the Fed's decision to keep interest rates low pattern people financially. Making it low interest rates they can be a friend to some vote others. Interest rates over the years has slowly been coming down I remember when I got to the navy I went to buy a car and you know 78%. And few years later got closer to 2005. And I want to buy a truck. And they offer me 0% interest a lot of us probably remember that. I think I'll ever wanna pay interest on an automobile again so interest rates just historically gone too. These low points where it's hard to come back from but the government's been keeping our rates low for many years. To stimulate the economy to improve. Growth ever since the Great Recession. And you know for some of us that's working out well but you know as you buy homes and businesses and different things out there. You're gonna see is interest rates start creeping up your money's not gonna go as far. It's all senators around why we need to plan for retirement so we can make sure money lasts as long as we wanted to. It here retirement solutions group we wanna help people only to retirement to retire that's what we created around there retirement process this covers areas such as. Investments. In complaining. Healthcare. Tax efficiency. And legacy planning so that we can get you. All the help he needs to make it to enter retirement. And we wanted to give the next ten collars on today show from the line access to our calendar to comedy your questions answered so we can show you how. These all of these series of retirement applied EU so pick up the phone and give us a call 9132867980. That's 913. 2867980. We're conveniently located at 435 and Metcalf and we'd love to have in the office so we can start your journey to enter retirement today. Then number 9132867980. And Allen's web site makes you visit this as well simply guarantee you reach higher ranked Casey dot com that three tire right Casey. Dot com or talking about interest rates right now here on the show and how that might affect your retirement. Alan what changes are you start to see. With those interest rates. May and we've seen in the Fed has approved a series of modest interest rates that are increasing. An effort to maintain economic growth. We're trying to control certain factors and now they're talking about having a little quarter point. Increased every quarter. For the foreseeable future to see these interest rates climb now are they gonna have all these increases. Seems like every time we get close to an increase that's only see a little volatility in the market. We don't want to but we do want and it's one of those things where if we see interest rates come up we're gonna have more better places if you will to put our fixed income. For people to see seven safe earning potential on their money's. But then again it's gonna affect the stock market potentially adversely so it's it's kind of a double edged sword that the government really has to. To move upon it very slowly. If they wanna keep the economy from just going too far one direction or the other. Signed as an attacking today about these big issues you know focused on interest rates right now. She people who are getting close to retirement passion may be preparing. For this continued rise they were expecting to see in interest rates. Why I think this time more than any you should be working with the financial professionals somebody that understands all the different vehicles that you could utilize. For retirement. And this is one of those areas Megan and I think people may just. Knee hit a little confused and I've heard people call up and say you know what. I wanna come see you and and who you affiliated with that and in looking at the size of our office and that kind of thing we're very large. Office when it comes helping people to enter retirement and we work with fidelity and and TD Ameritrade for custodians. So. But people get confused with a lot of these other household names out there and think and that's the best way to go because it's a familiar name but what I'm trying to tell everybody focuses. You need to look at who you're talking it. You go to one of these big companies and you don't understand what the person saying or you meet with two or three people and and they can assist you with your needs. Don't just go there because of a name go to a person. Company professional team because they your understanding what they're saying. And because they're gonna help you with the next steps up here retirement solutions group. We work with people. You know control and volatility in the market and assisting them. With understanding how to separate out assets and retirement so we're talking about planning to get close retirement some people use CDs. And a lot of people latter bonds. That may work for some people there's a lot of options out there other people. We'll look at it fix it duties fixed income and in some people have a look at terrible movies there's a lot of solutions. But if you don't understand what those solutions are how they worked. In you need to do your homework do your research or have a really in depth conversation within the team and individually you're talking to. So that your feel comfortable moving your characters interest rates are gonna change there either gonna go up. They're gonna stay stable maybe at some point the go down even further let's hope not Japan and adapter. Again twenty plus years of zero inflation. We don't wanna see that our country and we're trying to learn from the experiences. Of countries like Japan here in the states so that we we don't give in to a situation. Zero inflation for you know decades to our government's doing a good job of trying to. Keep us informed let us know what their plans are so that we can be proactive. When you see interest rates go up that means. The cash that a company has is gonna go as far and a lot of what we've seen lately. As we've seen companies and it's cheaper for them to sit on their own cash and borrow money. Than it is for them to spend their counsel their books look great which makes their. Values look great which means their stock prices go up so it all works hand in hand so what happens if they start lowering interest rates. Just the opposite those than their own money in their books won't look as good the stock prices might drop a little that. So knowing all that and you wanting to have income that last as long as you do. You need to have options. To place those dollars so that you can. Not have to worry about her term retirements about enjoying life work on your bucket list money it has two purposes you're either gonna spend it. Or you're given away it just can't take it with your rates so might as well enjoy it so that's what we concentrate here retirement solutions your is helping people. Understand the purpose of their money so they can enjoy life and and that's what it's all about it is I look everybody that comes in. Like if it was myself my parents and grandparents how what I recommend to them and that's the same advice and years so if that's good enough for my family. Probably good enough for years straight. About some of the risks that are associated with these higher interest rates. I mean some bullet is making money doesn't is it doesn't go as far right because. If you have fallen in your take house for example you wanna buy a house. And let's say it's a 300000 our house and yet 10% interest rate vs 3% interest rates. You're not getting it is much house or not your payments going to be significantly higher and higher interest rates. So money's just not gonna go this far that's that's the easiest way to look at it and when we're planning for retirement and we're on a fixed income we've got to know. That we can. You know plan for some inflation then not hyper inflation. He goes up too quickly we may not be able to handle if we don't have contingencies and in play that's why. We recommend you were talking to people that they have fixed money but they also some money in the market good mix for liquidity and for safety. So that you can plan for whatever happens. Now. Retirement is about going into a period of unemployment a period of 101520. Even thirty years where you're no longer working whatever you've created for yourself past the last as long as you too. Not only as long as human as long as your spouse does and these are concerns that he you know keep you up at night later ear. I think about him during your your days as you get closer to retirement or maybe you've already retired and you're worried about how long it's gonna last. You need to pick up the phone and give us a call our phone number's 9132867980. I believe that we can show you some solutions. And assist used to eliminate some of those fears. Because we have this proprietary around him retirement process. Designed to help people get too into retirement so one of the next ten collars on today show no cost no obligation. To pick up that phone 9132867980. And Emery in 9132867980. Interest rates are on the rise and we'll show you more ways to help make that economic trend work for you not against you that's up next. This is retire right we've Allan Becker on the retirement. News network. Hi it's Glenn Beck of the dozens of retirement advisors in Kansas City you're gonna hear me talk about only one Allan Becker at retirement solutions group and our SEG investments and that's because Alan is not your typical establishment. Kind of advisor and retirement solutions group and our SG investments isn't your typical establishment advisory firm everything they do is custom fit to you. Thank you Glenn join us for one of my upcoming complimentary dinner events pick the date that works best for you we at 6 o'clock on Tuesday July 10 or Thursday July 12 at 801 chop house in leeway Kansas reservations are required in seating is limited so call now 9132867151. Learn about retirement planning process and gain insight into today's retirement strategy. Let Alan and his team help you retire successfully to sign up call 9132867151. That's 9132867. He won 51 in Kansas City call Allan Becker 9132867. He won 51 and it hasn't been greeted an investment advisors to offer limited leverage to individuals to me into policy. This is retire right with the Allan Becker and on the retirement. News network. Hi Megan NASDAQ and the retirement news network and here when it Allen backer of retirement solutions group you're looking to build your plan for retirement or maybe you just need a second opinion I wanna give you Allen's phone number. It's 9132867980. That's 9132867980. On our show today were discussing our current interest rate environment I would think as your listening today. Only chance that you have some of your retirement assets invested in balanced so Allen. What impact could these rising interest rates have on a bond portfolio. That's a fantastic question you know ponds as interest rates rise. If you're a bond buyer you're gonna look at new bonds because they're going to be paying higher interest rates and old bonds something that has a lot of bonds. In their portfolios gonna find that the liquidity of them. Has severely diminished mean nobody's gonna wanna purchase the existing bonds. If they go out and buy a new and higher interest rates. Meaning if you were gonna go buy a commodity anything out there you'd wanna buy it for the best price available it's an act now by somebody else's. So the person that. Has existing bonds on hand they're probably going to be stuck with those. Till the maturity a lot of bonds could be 10152030. Years and that's a long time to be one investment so my devices. I'm portfolios. It's kind of the old way of doing things tell the buy and hold portfolios of a yesteryear. The idea of buying something mutual funds and just holding on Tillman just like in the market do its thing utilizing a managed or flow can be. Much more beneficial to somebody you know. Everybody. Can get lucky and any type of investment pool we're talking about us have the most controlled and consistent retirement available. So I look at other fixed vehicles that can be utilized instead of flattering bonds or having a bunch of bonds in your portfolio. If you're looking for ways to have more tax free income because you're really high net worth. Using some tax free year you know municipal bonds that happening inside your portfolio. My work really well there's also managed portfolios that would utilize bond funds that would have some. Tax advantaged V benefits when inside the salute there are ways to get the benefit of bonds without actually holding the box. And I think one of the best ways and as utilizing fixed index annuities in today's market. Because I've seen fixed index annuities. That have made 0% returns in the past I've seen some of those same in new he's come back. With 1015 and 20% returns in current economic conditions so my point is. That's not lessen the norm typical fixed index and he's gonna average around 56%. And that's fantastic that's what most of us were looking for an. The risks and the interest rates. And the bonds then most individuals so I like to shift all that risk that I would put in my bonds the less risky portfolios and let those go into fixed indexed annuities. And then using a managed portfolio of investment side. Here's the key a lot of us don't have access. To the fixed indexed annuities not because of any other reason than those who were working went. Does not allow fixed indexed annuities and their portfolios. We'll tell you about them tell you their bat they all these things cannot tell you why either bad or YUN use them but the would put all your money into bonds and a rising interest rate economy so you really got to look the motivation of the advisor and what they actually work with so that you can get the advice that you're looking for. Alan. Is that's still the case today are used to using them quite a bit. You know in Armitage. Or follows Megan we use bond funds quite a bit but not individual bought most the people that we work with that still have bonds. Are some of those have older I'm high paying bonds that they have when they came aboard with retirement solutions her. And then we'll just manage those four we're not really going out and purchasing. New bonds. Where the investors actually hole in the actual box so. In other words typical with the bond fund or. Trader at risk over a fixed indexed annuity because that way we can work with more for what we're worried about which is the interest rates the returns and the income. Not investment and that's a big point I think as an investor. Should always think about what are you trying to accomplish or he really do you care what holdings party care about the return of the holdings or you care about how long you can get that return. And how long it's gonna pay. I making sense so there's a lot of moving parts when it comes to investing. But a lot of us focus on the wrong parts you know if you look at a managed powerful and it's got 121000 positions are you worried about. Position number 2002. Because it's in a company added that maybe you had a bad experience with or do you care about how that powerful those performing. And what it's gonna do for you your family and that's what we try and teach in assist their crisis and it really has a problem with a certain companies or category. Will look at a solution that doesn't include that obviously that is really it's more of a handle I'd rather not be with them but. That's okay there were looking more for the portfolio portfolio manager. That is that consistency. That's highly rated that is performing well to give our investors. The peace and the income that they're looking for retirement. And we find that that usually helps people make it to into retirement a lot more comfortable. And it again that is why we created our roundtable retire process because people need a plan a plan for retirement. Mean would be nice to actually go to a financial planner and get a plan a written document knocks them Monte Carlo simulation that you really can't follow and that tells you may or may not make it but it an actual plan it says here for the next thirty years here's where you're taking your money from here's where you can. Plain fear inflation here's what you medic here's gonna cost of your whole budgets included in that. This plan doesn't have a cost or obligation associated with the what it takes is some time. And we're gonna give that he would no cost no obligation as I said if you pick up the phone and dial 913. 2867980. B one of the next ten collars on today show. And we're gonna make sure you get right to the front line of our calendar 913. 2867980. We have around him retirement process waiting for you. 9132867980. And don't forget that website you can always go to retire right Casey dot com to find out more about Alan. And a tee and that's retire right TC. Dot com we're discussing steps to take to make sure higher interest rates are working for you not against Steele. So Allan what's another step to help protect and build your assets as. Interest rates start to dry ice. I think a lot of people or use of the concept of a certificate of deposits CDs on the with a pay it's got a 250000. Dollar. Guarantee from the FDIC. And it gives you some some peace of mind if you will that we're able to go and buy these CDs. And we're gonna get this fixed interest street in you know there's a penalty associated if we need to get our money back in. No sooner than the the period that we bought that certificate of deposit the problem is. And we go back to the eighties where interest rates were in the double digits to today. Where there in almost you know 12%. Or eight. It's hard to. Older retirement in an interest rate environment that's in the one to 2% range. A lot of people are so used to it CD's used to be there hoping that they're gonna come back. They won't look at anything else. The issue is that there are other things that are fixed vehicles that are available that we should look at so I'm not a fan of. Buying CDs or even holding out keeping Melanie cash and waiting for interest rates to rise to know a lot of people look at it that way. The issue is your missing so much interest while you're waiting for interest rates to rise. If you're just absolutely. Stuck on the idea having a fixed interest rate. There are multiyear guaranteed annuities out there that are in threes are ready so wide I see you want when you go get a multiyear guaranteed annuity. At three. Folks the bottom line is the CD you can latter those annuities as well. Is the same thing it's just want an insurance company wants the bank. They both have guarantees on them they're both 250000. Dollars just most people don't know that the multiyear guaranteed annuities actually exist and that. Truth is a lot of banks. Actually sell the abilities. Because people want higher interest rates so there are options out there. I think that we need to wait for interest rates to rise a little longer before the idea of the certificate of deposit. Starts coming back mainstream for most people but. Even when those rates do rise the multi year guaranteed annuity rates are gonna rise even higher because. Of the way they perform and in my twenty years that I've been doing in this. I have always seen the insurance products being a point 22 points higher than CDs. It's CDs are more familiar. Because there's a bank and every corner insurance companies a lot of them use agents as advertisement. So we don't and is familiar with the insurer doctors out there we are what the banks out there but that's just because. The insurance companies don't have as much. Brick and mortar to pay for. They don't have a much advertising expenses and that's good for us as a consumer we have to get over the fact that we may not be as familiar with the name. But we are familiar with the guarantees were we like the interest rates. So it all comes back finding a financial professional that has access to the different products and solutions that can explain. What's out there so we feel more comfortable and those who are powerful. Allen one issue that people have whipped and things like CDs is this lack of liquidity and I wondered. It there's a way to address that you know sometimes you need cash but you still wanna have the benefits of a conservative vehicle like a CD radio. EIL laugh at that for a moment and here's why my grandma hello I've talked about her before on the show but she wanted to be is she under. Draw hounds gonna be a 101 here in the next week to end this thing is it's been a big wake up call for the family because. You know we'd really have to plan for the longevity in our family because we have relatives Macon and it's it's a fantastic thing girl she's just so blessed are so cute. I remember talking there has spray tan maybe in fifty years ago. And we were talking about utilizing some. Other vehicles for her assets. And I remember her saying you know I've got these CDs at 3%. And I'm like what we did the math and based on a that your you've got a thirty dollar penalty I'm not an uphill. You're gonna make 2000 dollar I'm not paying a penalty so it matter if the penalty was thirty dollars to may 2000 gravel was that haven't. The word penalty is just scary for some people so. But here's the thing annuities. Some of them pay bonuses. Tiny but then that there's a new idea to paint a 20% while mr. if you put in a hundred grand and they're gonna give you a 101. So there's some great opportunities out there but the other thing is annuities give you liquidity you can take on average 10% free withdrawals inside an annuity. Where CD if you take one dime. The whole annuity and she's been the whole CD is broke where the newly has liquidity Bildt said. So there are different solutions. Different options for people out there in all just comes back to education. So get educated come out. 21 of our workshops or better yet be won in the next ten cars on today show at 9132867980. And be apart of the roundtable retirement process our proprietary playing. To get you to retire that number 9132867980913. 2867980. Rising interest rates you know they can be a positive in the case of one particular source of retirement in come. Find out what that's sources and where it might fit into your retirement mix next. You are listening to retire right with the Allan Becker on the retirement. News network.