When to be more conservative, when to be more aggressive, and how to do so in a more balanced spread out way.
Paying yourself first and separating out your goals is all well and good but if you're using inappropriate types of investments for certain goals, they may take much longer to achieve or even worse, perhaps you may never achieve them at all. (01:41)
Sure, we don't want to be reckless in the ocean and sink to the bottom of the sea but at the end of the day, we also have to get to where we're going before we run out of food and supplies. (02:50)
Using a bank or cash type savings vehicles for goals that are for 5, 10, 20, 30 years out is almost certainly not appropriate. (03:40)
Quote for the episode: "It's so important to be using the right bucket for the right goal and the right risk tolerance for the right timeline." (06:26)
Securities offered through TFS Securities, Inc., and Advisory Services through TFS Advisory Services, an SEC Registered Investment Advisor Member FINRA/SIPC. TFS Securities, Inc., is located at 437 Newman Springs Road, Lincroft, NJ 07738 (732) 758-9300.
Accidents will happen in life so captain your ship or at least hire one!
"Yes", he replied, "the boat went past me first on its way towards you." "You were lucky it missed you. I wasn't so lucky." "Well," said the newcomer, "I saw that it might hit me so I moved out of the way." (01:51)
"Little by little, a little becomes a lot...plus compounding interest!" - paraphrasing a Tanzanian proverb
You get your first 401(k) statement that you threw a couple pebbles into and it essentially says you know, "well thanks for playing, but you still have pretty much nothing", right?...