Karl Frank, Certified Financial Planner ®, MSF, MBA, MA, is the President of A&I Financial Services LLC, a local business that specializes in wealth management, insurance planning, and retirement planning. Karl cares for business owners and the businesses that care for them. Learn More about Karl.

Want Less Risk, Buy More Stocks!

A recent article in the Journal for Financial Planning written by a colleague of mine in the Financial Planning Association, Wade Pfau, makes an absolutely astonishing claim: As you age, you should put more of your money in the stock market.

Two weeks from now, you will hear our stock analyst team, lead by Dr. Tom Howard, tell you that he has all of his money in the stock market, and he has a 50 year time horizon, and he has as many years under his belt as anyone you might think is already retired.

What are these people thinking? 

Put more money in the stock market as we age?

Our Lunch and Learn is already almost full, so if you'd like to sign up for the event and hear it from Dr. Howard himself, move fast! For the rest of us, let me give you a brief glimpse of the logic.

Early returns determine a lot of your success. As we go into retirement, we like stability and safety. Yet, as we life, inflation eats up a lot of our purchasing power! The only asset class that has consistently beaten inflation is stocks. So, increasing your allocation from a fairly balanced (or even a fairly conservative) portfolio to one that is mostly stocks in your later years--as in over the age of 80--is a good decision! 

So claim the academics, such as Wafe Pfau. So what should you do?

Talk to your advisor. We have copies of Dr. Pfau's research, plus more, here at the office. Ask a lot of questions. Make sure you take less risk over the duration of the years ahead of you. . . and not just today.

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Looking Back at 2013

Looking Back at 2013, statistics tell the tale. 

Unemployment fell, the economy improved and home prices rose, all without measurable inflation. So why don't you feel better?

People will tell you that the stock market had a record year-the best in decades. But you will ignore this, go on, admit it, and instead focus on the Broncos. People will tell you that the Broncos had a record year but you will ignore this, go on, admit it! You are worried that this weekend, we will lose to the San Diego Chargers! 

Why is it that we look at the downside more than the good side?

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Go Tax Free

A&I Financial Services - Karl Frank Book - Go Tax Free






An assortment of tools and strategies that give readers of all backgrounds a clear, specific action plan for obtaining the maximum allowable control over when and how they pay taxes.
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