Preview Mode Links will not work in preview mode

Listen to Johnson Brunetti's Money Wisdom with Joel Johnson CFP®, host of Better Money Television program and Forbes Contributor. Gain true financial wisdom and advice aimed at educating you about all of your financial options when it comes to retirement so you can make the best decisions for you and your family. Get information and education that can bring you peace of mind with your savings and retirement. Whether it’s your 401k account, IRA, or an underperforming asset, Joel Johnson can answer your questions and make you more aware of issues that may affect you.

Subscribe on Apple Podcasts

Subscribe on Android

Jul 28, 2017

How do you protect your investments when the market ultimately corrects itself?

Main Questions Asked:

What does complacency look like in this market?
How do we avoid letting greed and fear take over?

Key Lessons Learned:

The Market

  • The most common form of complacency is that people will think “this time is different”, that’s when people get hurt.
  • Proactive advisors have been working to equip clients with the mental resilience to endure a 20% correction in the market.
  • Many people are comfortable with the way the market has been going and are not ready for a correction.
  • People tend to think they are smarter than they are when it comes to investing in a bull market and won’t admit how much luck had a part to play. The inverse is true, you’re not as dumb as you think you are when the market inevitably goes down.
  • You need to have the proper asset allocation that serves your investment needs right now, not wait until an asset is doing poorly.
  • Cookie cutter financial advice for everybody doesn’t make sense, your particular Goldie Locks portfolio should be designed for your needs and risk tolerance.
  • You should be positioned to take advantage of the upside of the market while protecting yourself from the downside.
  • “Be fearful when others are greedy, and greedy when others are fearful.” -Warren Buffet
  • Right now is when you should be taking action to protect yourself. Nearly everyone is taking on more risk than they realize.
  • Most people have no idea what’s in their 401(k) retirement account. There are many factors than go into your investments and you should review your portfolio frequently to assess if you are where you should be.

Links To Resources Mentioned

Money Map Retirement Review
Thank you for listening!