Looking Back On… The Luck Factor

Despite all of the calculations involved in investing, there is still an element of luck involved. A specific term for this luck is, “Sequence of Returns.” What on earth is that? Answer: it is a risk and may be the most important concept in the world if a saver or investor ever wishes to spend their savings – and have those savings last.

The topic became relevant recently when a client asked me for assistance in defining what their “concerns” should be for the long-term now that they had accumulated a decent amount of savings and investments. The desire was to continue to accumulate savings and, more important, have the monies last at least long enough to see their plan to fruition for themselves and their kids.

There are ways to plan around both good and bad luck! 

Continue reading “Looking Back On… The Luck Factor”

Luck, Timing & Investing

From the Archives of TGIF 2 Minutes….

There is an element of luck involved in investing. A specific term for this luck is, “Sequence of Returns.” What on earth is that? Answer: it is a risk. And it may just be the most important concept in the world if you ever wish to spend your savings – and have them last as long as you need.

green plants on black soil
There is an element of luck involved in investing. A specific term for this luck is, “Sequence of Returns.” 

Continue reading “Luck, Timing & Investing”

Luck & Sequence of Returns

Last week’s topic was taxes. This week I’ll talk about luck, which can matter nearly as much to our financial lives. Taxes and luck can go hand in hand – with planning being the link.

The following are highlights from TGIF 2 Minutes one year ago entitled, The Luck Factor otherwise known as “Sequence of Returns.”

Despite all of the calculations involved in investing, there is still an element of luck involved. A specific term for this luck is, “Sequence of Returns.” Otherwise known as risk of timing, which can be the #1 most important concept if you ever wish to spend your savings – and have them last as long as you need.

close up clover depth of field environment
Photo by Roman Koval on Pexels.com

Continue reading “Luck & Sequence of Returns”

Sequence of Returns: The Luck Factor

Despite all of the calculations involved in investing, there is still an element of luck involved. A specific term for this luck is, “Sequence of Returns.” What on earth is that? Answer: it is a risk. And it may just be the most important concept in the world if you ever wish to spend your savings – and have them last as long as you need.

shallow focus photography of four leaf clover

The topic became relevant recently when a client asked me to assist in defining what their “concerns” should be for the long-term, now that they had accumulated a decent amount of savings and investments. The desire was to continue to accumulate savings but, more important, have the monies last at least long enough to see their plan to fruition for themselves and their kids. Continue reading “Sequence of Returns: The Luck Factor”