In this episode we are sitting down with Rick White to talk all about the science of risk vs. return. Rick is definitely the perfect person to help us tackle this topic because he is a seasoned pro in tax planning and asset coaching for business owners and is the President of both Patriot Business Consultants and Triangle Adult Learning Center. He will provide listeners with a structured way of thinking about risk versus return. We all get the basic idea that when it comes to risk vs. return, it's a balancing act; you want those high returns but not at the possible expense of losing your shirt. It's like a tug of war, where on one side, you're pulling for those gains, and on the other, you're desperately trying to minimize losses. The thing is, though; there is a science behind it that we can actually optimize. Many of us tend to get fixated on the thrill of maximizing returns, but there's a hidden danger there, and Rick has some eye-opening insights into why obsessing over gains might not be the smartest move. Join us as we unravel the mysteries of measuring risk, exploring concepts like standard deviation, and digging into how volatility can make or break your portfolio. Stay tuned to learn how you can make your money work smarter, not harder!   Guest Bio: Rick White is President of Patriot Business Consultants Inc. as well as President of Triangle Adult Learning Center. Patriot Business Consultants is a tax-planning and asset coach to business owners and Triangle Adult Learning Center provides adult financial educational material to advisors who wish to be an educator first. The flagship course, authored by Rick is entitled, “The New Reality in Our Retirement”. Rick is the instructor in North Carolina, with other advisors teaching the course in various locations around the country. Rick is also a mentor to advisors nationally and is a founding member of Next Level™ Advisors along with other experts in various fields associated with Financial Planning.   Key Moments: 0:46: This episode covers the science of risk vs. return. 2:19: Today’s guest - Rick White - is introduced. 3:32: How does Rick measure risk and return? 5:23: Rick affirms that he absolutely measures risk via volatility. 7:24: Rick explains how managing portfolios without assessing risk can harm retirees, as losses demand substantial gains for recovery. 9:44: Consistency in managing volatility, illustrated with a 6% return and 6.5% deviation, ensures steadier growth. 12:36: The importance of risk mitigation is emphasized; missing the worst days holds more power than avoiding market peaks. 13:29: Rick adds that there are tools to mathematically lower standard deviation for portfolios. 16:28: Rick emphasizes the active management of various financial instruments for risk mitigation in fluctuating markets. 19:24: Tightening rate of return and standard deviation boosts retirement success with significant financial improvements. 22:04: Rick states that volatility is a critical factor in determining the longevity of one's financial resources. 22:20: Reducing standard deviation preserves the mean return; managing risk shields gains without sacrificing potential returns. 25:55: Rick underscores the significance of matching one's perception of risk with actual behavior in investment decisions. Additional Resources: Finance Lab website: https://www.financelab.dalbar.com Visit the Patriot Business Consultants website: a...