There are three huge decisions that will likely lead to reaching the “early retirement” goal. Paul discusses why these three decisions are key, and shares stories about those who have been successful in reaching their financial freedom goal. How important is it to have a spouse who has agreed to the challenges of being an aggressive saver? How important is it to find a lifestyle that allows everyone to feel they are not missing anything that is more important than reaching the goal? There are lots of investments that would have worked in the past, but which are the ones most likely to work in the future? This is a good podcast for a couple to listen to together.
2. With the market selling at record levels, is it time to consider a bear market fund to defend against big loses?
3. How can the combination of a great short-term track record and a commission-motivated salesperson lead to terrible financial outcome?
In a recent radio conversation with Ken Roberts of Bulls and Bears, Paul discusses compound interest, the best asset classes, small cap value, target date funds, portfolio diversification, calculating retirement distributions, young investors, house swapping and more. You can find articles on all these subjects at http://PaulMerriman.com
Paul explores the implications of making investment recommendations that are wrong. Contrary to what he recommends, it may be that large will beat small, growth will beat value, and U.S. will beat international. How will investors make out if everything goes wrong? This is an important question to ask about any portfolio. Paul faces the possibility and concludes that being wrong is not necessarily bad.
Paul discusses the pros and cons of bond funds in his list of 15 different considerations in determining which is better: bonds or bond funds?
Paul discusses his latest financial education program at Western Washington University and the results of a national financial literacy survey that indicates a huge need, even for people who are confident of their knowledge of financial topics. Paul gives his listeners the five easy questions that the survey listed. While he believes his listeners will get all 5 right, less than 10% of adults in the survey did.
Continued from last week's podcast (Part I), Paul expands on his MarketWatch articles, giving you insights into the essentials of investing. He discusses such topics as: When do you have enough to retire? Not taking risk beyond what is necessary. The worst performance of any strategy is in the future. How to plan for the worst-case scenarios. Why investment decisions should always be based on probabilities, not possibilities. Asset Allocation and knowing what is a perfect fit for you. Working with brokers or other advisors to get the information you need and realize the best returns on your investment.
Paul discusses his conversation with a 33-year-old man who was "freaking out" about his financial future, wanting to learn more and create a plan. Paul helps him determine how much he should have at 65, and the simple steps he can take now, as well in the future, to quell his panic and ensure a secure retirement. Listen and see if this advice helps you, or can be used to help young people you know.How To NOT "Freak Out" About Your Financial Future
In a new weekly column at MarketWatch.com, Paul suggested that one way to double your retirement income is to work an additional five years. The responses from readers ranged from outrage to bewilderment. In this podcast, Paul addresses these comments and elaborates on making life changing decisions to help ensure that you retire with "more than enough." You can read the original MarketWatch article at http://paulmerriman.com/