Jan 30, 2017|
Common Sense Retirement Planning
Automatically Generated Transcript (may not be 100% accurate)
Good morning and welcome to common sense retirement planning how are you I'm Tony day I would normally be introducing my partner and best friend Philip Allen. But Phillips is in San Diego today actually we won and and ward and retirement planning warden so he's after picking up. Their war to an end with my team format that later frankly. I just limit your so much I. I find it hard to make myself police. Had missed I just. I mean what what's not to like about it this area San Diego's and that the anyway Phil will be back with us next week end and as you may know if you listen before. We are your alternative to the mainstream. Financial press our our mission. Really is too. Inform you and entertain you we try to bring you. Information stories that are largely ignored by the mainstream press who are his liberal and in their spin as the mainstream political press is. And we try to do things and waited that we help you see. Context for your retirement planning course Philip and I are the of state to regional retirement planner so our whole goal is and always has been pretty simple we just don't want you to lose money and we don't want to run enemy and Campbell we want you to make money during periods of market going up that's. What we do bought. Having said that. Since most of us are securities licensed and instantly we do that through capital investment group member of Finneran in septic. All of the information imparted here is designed. Free for you. T here in and respond to it very general sense not to let him make some sort of sudden decisions about your would be investing future because something I said on the radio. And we offer. Free consultation so there shouldn't you know no reason to do daddy what you need is something it's tailored to whatever your situation assess what this week. And we also. Do whatever we do we. Biblical. Principles biblical stewardship in mind. And because of always start this program was something from the Bible so I couldn't keep in mind when you talk about. Well you think usual or money you were wealthy etc. God is the owner. Of everything you can think yourself we juries manager. CU we have been entrusted. When all of them the things that we've been given in this world but it is an hour or so we we didn't create it. But we are accountable. To do true owner and we are accountable specifically could be faithful. In our financial transactions and if you go Gregory Matthew 2523 says. So his master said to him well done good and faithful servant you have been faithful over a little. I will say too over much. Inter individual if your master this was of course Jesus. In in his sent pair of one of his parables. And that is the root of the best way to look at itself. What you're talking you know 41 KI area itself with your job is to to try to be a good student and. Part of it part of that principle is. Being why he's out another biblical term be wise as serpents and harmless is as I I think right now. Is a time for. Incredible caution wisdom. So this week we passed a milestone you probably sold at Dow Industrials. Topped 20000. Well. I went back and do little church and I ran up on something so interest. Headline. Of the Wall Street Journal march 30 1999. Front page. Dow Industrials topped 101000. And then underneath it and something is said. If this is a bubble well it sure is hard to bop. I remember those Halcyon days very well I remember having conversations with people. And trying my best into late ninety's to make them aware Europe how dangerous. The situation wise my gosh wasn't alone. Federal chairman Alan Greenspan said. This is irrational. Exuberance don't do obvious this is a market bubble. And yes. It was a major milestone back in in 1999. Everybody cheered. And very few investors seem to be concerned I remember this because I was one of those people that was concerned ice I'd been studying the history remarkable ovals and this report. Every hallmark. Of the doozy. But. I felt then. Stocks were too expensive the whole market was in dangerous bubble. And of course what are the Wall Street Journal say the mainstream press to people like myself. If this is a publisher is hard to pop. Well. They were right. Brief. But this history shows us back in January. Fourteenth of 2000 it did peak in win it started to tumble. It wiped out five trillion dollars of wealth from investors. So this week. The Dow Jones Industrial Average hit another milestone 20000. So the question days. What should you think about. Out 20000. Frankly should give anybody who has any rational common sense I believe. Paulus. Because if you goal in steady history which I have. You should then begin to reflect on some possible consequences. Think about this. So what is the most important single characteristic of any investment. It basically is what price are you paying for what you're talking about house or car or assure stock. And it doesn't matter how spectacular your investment is if you baud rate too high a. In you have no margin of safety when things correct. And as the market has affirmed this week's stock prices can be expressed in a single word they are incredibly. Expensive. A good thing to do is to start looking at benchmarks from metric so. If you look at the price of stocks relative to other important metrics for example. Cash flow book value sales price to earnings ratio and so forth right now. Stocks US stocks are selling at the highest. Price to sales ratio in fifteen years high near her then who was before the 08 crash. And similarly indifferent and give from metric but Nicole Lee cyclically adjusted price to earnings ratio. Of the market is now at its highest level since. Yet the 2000 crash higher than it was before the 08 crash. So. Perhaps an astute investor will I begin to start looking for a margin of safety. When you see this. Wouldn't that seem prudent what was that. No Kenny Rogers song gotta know when to hold you know when to fold them know when to walk away know when to run. Things are credibly expensive. And so I look at what the sort of the insiders paint. Because right now with the people who are buying this stuff. Are the same. As they called the greater fool theory this same greater fools they did we're buying. In nice and in 1999. Thinking that this was gonna go on forever when it hit 101000 seat. This bubble and if it's a bubble it's hard to pop well. Again I say steady history. So what what does all this mean into professional investors will Bloomberg had an article is. And they found out that it's mostly a call for caution. They. Look at this Dow Jones and nearly a number of people and around. Cable and and and they say OK so this conjures memories. And the damage done seventeen years ago and as I said earlier we get to 101000 mark. And that. Seem to be at the time a siren song for individual investors seeking to jumping into the dot com euphoria I will never forget this this is a true story. So this would have been. 98 against. And I was still meteorologist to channel seven in there is a local fee only advisor. That would come on channel seven every so often and pontificate about the market and what he thought was going to happen and blog and so I'm sitting there are missing him doing so Linda briefing before the weather. And he's ranting on about how this market is gonna go up inept and not the forever and wobble so I sat down during the commercial break and say bow. Has said I steadied a little bit about market history. Aren't you concerned that this is has all the hallmarks of a classic market bubble I mean like a tool patty can fifteen hundreds of south Sea Island Co. originally railroads back in the eighteen and resort or 1929. That the two. And he looks at me was like. Here's a weatherman what you know you know they look keep you from certain hearing types. He said let me tell you something he said I'll tell you right now I think. Lay your 2000 the Dow may 25000. In the NASDAQ hit ten. Straight face he says that. And I need to look back now seventeen years later and remember watching. It's now. Plummet from ten manner and high NASDAQ is still not recovered seventeen years seventeen years down the road. The NASDAQ is still under water from where it was in. So. That is a classic example of irrational exuberance if ever there were time for common sense and irrationality it is now. So these and strategists and money managers on Bloomberg and a warning about chasing performance. And they're citing concern from from when I was a bit earlier stretched valuations to also. And the uncertainties. In history I think is on their site. You go back and look as I say history and and let me here's some here's a metric they think. When I heard the news. I nearly fell. Over I read this week or so bad. In this this this number is so. Mind numbing. OK so you know the Bible. Proverbs the borrowers slave to the lender. So. After the big. Crash in worldwide. Recession. Following 2007 and 8 all of the central bankers starting with the Federal Reserve felt that they were gonna have to bail everybody out. Because we couldn't have to banks failing. We had. Big. Financial services companies that were quote too big to fail it couldn't have bad. So points to what we have we have the Federal Reserve. Lowering interest rates to zero. Putting four point four trillion dollars worth of paper or. Buying our own stock and running up 813. Trillion billion rather dollars. Worth of quotes stimulus money on quote shovel ready projects that never happened. Now. Here we are. Eight years later. Ended that is roughly doubled in eight years time. So debt. Is a dangerous thing. And did in the world right now listen to this number. 324%. Debt to GDP ratio was where the whole world is in other words. We 0324%. More. Then everything produced in the world in a year. Debt to GDP. Gross domestic product ratio. Now we're talking hundreds of trillions of dollars here. Do you think. If you study history you would know. Do you think that at some point it is possible. That there is going to be a reckoning on all this how could they are not. There always is. And so back to our stock market so Charles devolved. Chief investment officer of international value advisors and are if the dour stock I would be selling. Rich twice. Senior manager at American Century Investments said. Hey John any potential ground that downdraft in the stock market these are the guys around Bloomberg. Laszlo bringing president of Birinyi Associates from the very big form. This is like crossing state lines with kids. I don't. Now you would think. Having heard that it did. Collie named maybe this just a handful of guys well maybe not. This is a different stories from zero hedge your buying dinners selling. Executives at the biggest Wall Street banks are sold nearly a hundred million dollars worth of stocks since the election. That is more than the same period in any year over the past decade. Insiders are Goldman Sachs sold 205 million of stocks since November 8. X three times more than the group has sold in any month for the last five years. Lloyd Blankfein. What does he know. Might he be Smart fellow. In addition. Did you share sales these bank executives also sold and had 350 million dollars worth of stock to cover the cost of exercising. Stock options. When you see the Smart money behaving this way that should tend use something. These guys didn't get to be where they are by not being the smartest guys in the room. It's it's the old analogy and I've used it before forgive me batted it really is true main. If you're a movie theater and used smell smoke. Do you wait for some ideal fire. In the and try to get out with the crowd and get trampled if you get out of all I keep thinking that their tent. Nightclub that burned down a mile back. Or. When you smell smoke did you get up then and that's what Lloyd Blankfein and all these other guys are doing. And here's another thing that's only that the banks only have to disclose trades at just their top executives. Put there are a lot of rank and file employees that are paid in stock options what do you think they're doing when they see their bosses are selling. Which leads to a point animator earlier. Who is the soccer at the table then. That is mom and pop investors right now that's the same people that got it in the teeth. In tech stock crash is the same ones they've got to be in the teeth. And they're back in the corner and taken blows in those seven and no way. Let me tell you sent. Common sense. Is a very uncommon thing in this day and age. In any realm in any pursuit. It common sense retirement planning. That is all we do. Literally because we believe it is common sense. To protect yourself. One to pass a certain age. If you were over the age of fifty. You are already appointed if you had another 07 in LA. You probably will never recover. Because think of 50% loss requires a 100% gain has just simple mathematics. But. The problem is that's. For Mo for people who are saving money for retirement which is why most people are saving money. The day is coming in it'll get here faster than you can even imagine. When you are going to start taking income and wind as they arise. The entire equation is going to change for you. Instead of you thinking about rate of return in total return investing in all of the stuff to the guys down the Wall Street shops are telling you to do. Which which what. Means you paid him fees you take the risk maybe make some money may be losing it. When you get to the age where you begin to take income. You dare not do this nominee tell you why. Because if you begin to take income. And the market. Loses money why are you withdrawing it. Dead is like putting a Turbo charger. On your injured it's gonna suck too that tanking gas fast it'll make your head swim you will find yourself. Down the road. Old retired. And without any money to live. This is a very real possibility for people the the TD Ameritrade is steady. On this. Sometime back and determined that if you retired in 2000. And you were doing what Wall Street tells you did you take the 4% withdrawals. You wouldn't it be 71%. Likelihood of running out of money. Seven because why you'd taken 4% a year you would I have lost money in the tech stock crashed lost money again a seven and a way. Somewhere in there than the principal has now caught. Well we can show you way to take your principal and first and foremost. Build a wall around ice I'm I'm Donald Trump was build a wall at this built around your retirement savings. Keep out the rats. Keep anything from leaking out of your law. We do not want you to lose a dime so we start with the zero stop secondly we wanna know who did during periods when markets are climbing. We have a shot and make money when they're going. And keeping it blocking it and it's keeping it inside that wall. So they from the market crashes you have lost nothing you made it to that point. But lastly I would have to say most importantly. We get we want NL. That we will have a guaranteed. Income that we can count on for the rest of our lives no matter what happens in the market. Not only that but we want to make sure that income is going to be here not just for one spouse which is what pinching usually does. But for both spouses and furthermore unlike a pension. Can give you raises in your income whenever we have. Goodyear's in the market whatever term rate return you get any given year when you're taking is income. That's translates is a raising income. So. I believe inflation's going to become problematic might actually criminal us money create analysts dad. That is an important factor to know that you never an inflationary hedge going for and lastly. We want to know. There and our final passing of husband and wife whatever is left. Should go to your beneficiaries. In the most tax efficient possible we do that too. So listen. There is no reason for you to try to figure this stuff out by yourself until the myself and our staff we got a bunch of Smart people we work with two. Are there for you as common sense retirement planning all you have to do is go to. CS RP. Stands for common sense retirement planning CS RP dot info. CS RP dot info. Call if you want 806876768. Q actual happen to you called are you go to our website or whatever and you alarmed by the way out some interesting things about us. She's going end make an appointment to come in. Will sit out. And we're gonna listen to you. That's the first thing we do is we just ask a bunch questions about you. Who are you what are you trying to do what what he we've what are your hopes and dreams what are your concerns. And we take notes and in canning get a snapshot of what's going on with you. And which are trying to achieve and then we put together. Something that is suitable for your situation. Might be different. Somebody else but pitcher situation we're trying to to solve form. Now that meeting Dan cost you think he's come and receive and we had this chat and we'll come up with some recommendations and if you like them you will do them. If you don't you won't. We won't call you and her rescue that either incompetent inept but. We would very much like give you. A way to look at it different approach to retirement planning and I think you probably even knew existed in you do the news. By going to see is RP dot info it stands for common sense retirement planning CE NS RP. Daddy info not dot com I didn't. And make an appointment incumbency as. And it will not be wasted time at the very least you walk out having. Made available to use information. The you do need to know. So. It's time for a common sense retirement review CSR peed out in. Are right got to make a wee little break here and when we do welcome back we'll continue with more common sense retirement plan. Eight there are welcome back to common sense retirement planning I'm Tony dale my partner Philip Allen isn't saying you know be easy for me to say I should give me anything. It's in San Diego receiving an award that we receive it comments answer to our planning for work and we're very. Pleased about that I'm sure he'll have more say on that next week and frankly I kissed. I don't know I'm you get to a certain age. 69 in my case. And frankly I just don't really give a flip much about awards and all kind of Steffi anymore and I'd and I don't like to go fly places unless I'm gonna stay here for a little while an idea flying at the San Diego for two days. And going through all that airline drama just I'm sorry net now or that to me so I'm here. Instead. And I want to share some step would you be if you if you just joining us course commons his retirement planning. We are the regional upstate retirement planners mostly Mano with it as we've been on this show for cash going eleven years now. And we are as well. The alternative to the mainstream press what I try to we tried to bring new information that is. Not frankly being told by the mainstream press which are largely. Are nothing more than cheerleader for the big Wall Street investment firms Wu of course biology. Ads that you see on CNBC in and region money magazine in the Wall Street Journal and so forth. Trying to each you to invest and take risk well. I am just I would tell you thrilled that Donald from es first week in office. He put the pedal to the metal my friend started throwing punches like crazy. I was so tired. Of this is watching our country trapped in the corner just. Case eating leather rightly have body punches all of it by this Obama administration for eight years time. Finally. Down from comes out of out of the corner swinging in his is now. Throwing leather like there's no tomorrow and they'll lift is just Don and I'd like. What I see now there are tons of things how ever that you have to understand. He is up against. Because Obama is leaving the office having almost doubled the national debt during his terrific. More concerning than this. Is that it's also tied to the weakest economic recovery in US history are you aware of that. Obama handing trump the riskiest America since World War II is debt to GDP is the highest since Truman is a matter of fact as of Friday. The economy slowed to one point 9%. GDP in the fourth quarter as always I just love the story more than expected. Due you know that these bone headed economist. Didn't hit one. Of hair. Projections. Over all wet on world you can't expect the economy to growth rate of 2.3 extra aren't what it's average one point seven. I just it's stunning to me but it did. So this is the worst recovery ever. And I unfortunately this being radio have a chart in front of me you can't see but he few good. It blow your mind because it shows all of the prior expansions peaks. During recessions and and and this one is so far below all of them. That it is not even funny. In new no it isn't funny because. What has happened during this administration is. Ever more spending ever more debt. Ever more misery for middle class families which is why he. Got elected. And that is why we we are filled with hope but. Hope has to be tempered. With reality. And laughter. So. There are some some things going on in the world. That are bigger than trump bigger than congress bigger than. Anything these people can deal. And wanted to be what biggest factors facing the world today. Is demographics. And frankly if you have listened to the show were probably movement actually from Bob McClain could have talked about this a lot. I believe it is one of the equal ray disc harbingers. Of future strife and difficulty. Facing us. And most. Economists most news people never even talk about this stuff. But you should think about it and social let me. Let me just give you the bottom line on all the world's population. Of under forty girls. As essentially peaked. So. What is interesting about this under four year old population is that. They are responsible for about 97%. Of all pregnancies and burst stick with me now. So. That means. A shrinking population. That isn't replacing themselves. And then what does this is telling us. Is it week in expecting massive deep population of under forty Urals. Throughout the world. Estimates from the UN and this is this is star. Somewhere between one. 22 and a half billion fewer. Forty girls. By the turn of the century and perhaps well in excess of a 50% decline. And you're saying about this time Tony that this kind interstate Ingraham and what Equus had to do with it. All of the interest rate cuts all of this Dan I've been talking about it. All of this stuff. Has been undertaken. Under the paradigm that it would be more easy. Easily repay ED. In the future. In other words we kick the can down the road every year every two the next generation to pay. But now. We have to drive get in the future. Where there are fewer of us to service the debt by the home buying the cars. Consumer way to prosperity or for that matter pay taxes. To keep social system solvent. Think of where we have built a world economy. On consumer. Consumption. On people buying stuff. To keep the wheels of economic role wing. That's why they did this stimulus to try to get released John Maynard Keynes economics and a match. Here's the problem you know that. Yeah I love the road runner cartoons remember those men and injured or been benighted Wiley Coyote. In there's a scene that frequently happens to him. Where he's chasing the road runner and then all of a sudden he goes off the cliff and he's he's he's won. Twenty steps out over the edge. And certainly stops and realizes. He's already gone over the edge and he's looking down. And there's always that bemused. Sad look on his face knees tongues hang in out. And then there's that. Draw that they do in the commercial and you seem just disappeared and their fine little puff of dust at the bottom when he lands. Basically. We are Wiley Coyote. We've gone over the cliff. And yet we have not quite realized. Global economic activity in consumption are likely to fall off faced deep hide precipice. Because of economic delegates are demographics for a well it's both it's economics and demographics. And here's here's the main reason in the United States that this is problem. So every survey out there when it comes to retirement planning shows that most people are hoping this Social Security would make up the bulk. Of their income. And maybe you guys child. And here's why wind Social Security began. There were forty plus workers for every recipient people relating to sixty years so. And the demographics work. Because it's a Ponzi scheme think of it in the current or Kirch pay for the current retirees. And a lot of people had this mistaken impression that liar put been putting money into Social Security all these years I've got this bank account somewhere and you know that's my money I put it and no that's not how this works this is Bernie Madoff went to jail. Of course I'm being eyed peas. So. Today. We have right at three workers for every recipient. People are living to eighty or so. And that means. Three taxpayers. To pay for. MR Graham polish after taken Social Security. Now if you had a growing economy. Where we were producing a lot of GDP. That would be taxed. Then this would not be as big a problem but estimates of the OM BE put the overall body over the lifespan of the baby boomers. Which is an X 1520 years. It's somewhere between one and 200. Trillion. That is trillion with a T. Dollar. As Medicare Medicaid Social Security. All right so keep that in in your mind now let's talk about how would that. Effect the stock markets. What does that have to do with the investing side this conversation. We hear idiots. If you think of hero our investment life in terms of the football game. The first half of your life saved between the ages of twenty and 4550. That cube your working life. So that first half of your life is the period where you're gonna run up the scornful ballgame or in this case dollar cost average. In in in save as much create as much wealth accumulate as much as you can't miss the accumulation phase they call. Would during that period you can take risky can take a lot of risk because you could lose money you have plenty of time to make it up down the road don't you. Bit. And halftime you need to Sudan say OK second half of the game. We gotta leave here. Says the goal is let's not lose our lead us not lose that game. Well in terms of retirement planning what that means is don't lose money in the market it a point where you cannot make it up. And more importantly. Don't lose money during a period wherein you are taking money out in the form of income because what is the second half we your ball game. It's the income side the now. How does that relate to demographics. Here it is. From 1982. To 2000 ad being run up we were talking about earlier where the Dow hit 101000. March of ninety night. What the cost that was not that we. Reinvented the wheel or that we figured out how to turn water into gasoline or any fabulous thing like bad. Go to GDP did you get above norms. It would it was not. That they created the biggest bubble in stock market history what created it was. Demographics. Oh. And they change from defined benefit plans are pensions. Two defined contribution plan to work for a one case diaries and so forth. Because you see our whole generation. We should. Part of the big shift in how you do retirement planning has ever happened. Prior to eighty. Or 78 rather eighty plus percent of the population had a pension. Companies would put money and create its annuity for you it when he retired you'd have this guaranteed income. But in the sand in these came in the markets crashed in them economy hit the wall and eastern airlines are bankrupt and other companies got in trouble over their pensions and blowing the old. They cooked up to 401K and IRA. Which I think is many dubious success. Look at the actual records because they never told people that you could lose money doing this. You can't and you know they had. So all of a sudden the entire baby boom generation. All become investors while hallelujah what do they tell you I'll Mandy is going to be great oh dude you're gonna make 78% a year for ever. You're gonna happen. End. How are you going to be so what's it mean you can take incoming 4% withdrawal rate you're never out of money and while I have you heard at all. I'll put in pain who knew. In the end something like to take stock pressure who knew. That the market could crash in 07 and LA and and as I said earlier. If you started taken a 4% withdrawal rate based on the T. Rowe Price steadied at 71% chance of running out of money. Doing place. So. That. Run up on the market in 1982 to 2000 and what has happened since that period. That essentially. Has been the result of the accumulating. Affect. Of the baby boomers as investors. But now what is happening. We are hitting retirement Egypt and thousand a day approximately. Think of the race I called the silver tsunami. For the next fifteen to twenty years. All of the baby boomers are going to begin to retire Atari happen. Happening now. 2000. And what are they going to do. While there are not gonna do the same thing he did when they were accumulating know they're gonna do the opposite they're gonna start to be accumulating in other words. Week. I'm part of this generation are going to take income from whatever we say you know whatever we save is going to have to last us for however long we live. And that is where the problems. Began. Because I knew Tony in physics tells us that for every action there is an equal. And opposite reaction so if you could imagine the giants were spy corrupt in the market from eighty to 2000. And then try to picture what's gonna happen when that same generation starts pulling money out over 1520 years. You're going to see an inverse. Of that. And I would frankly submit to you know fans but the generics or not. Mullen knows aren't shown the whole lot of promise on creating a whole bunch well. I cache of did you find one that would work show up on time and be pretty amazing I'm Tom Amylin euros in particular but I digress. So my point is this unless you have a plan. It can get you through what is common. And I don't care what Donald Trump comes up with or anybody else this is the demographic. Acting descendants down birth rates are dropping people are getting older too going to be needed taken care of and pensions and let alas I left that out of the equation. Here like you that they're thinking no way that's OK got to stay pinch and are you aware that the state of South Carolina has twenty billion dollar underfunded pension system. And their dot alone. Overall pension benefit guarantee us association says that that we are one point seven trillion dollars abundant fund or pension is in this country. So here's where I'm going ethics. You my friend in need to take action and you need to do it soon. You need to protect what you spent your entire life creating. Which fortunately is what we do it common since retirement planning as we do we take your assets. We build a wall around and I liked it amusing that trump all imagery today. We still don't walk around your assets so the market can drop in fallen golden loopy. You lose nothing. Worst shall we say enough things. Hogan's Heroes. On the other hand I'll. Markets don't just go straight down they go up and down up and down up and down even while their overall trajectory is down. Well even if we get a sustained period of of may lays in the markets they're going to be period where the market goes up and during his career he's we have a shot or make your money. Which is just past the trick. Make money during. Periods of up swings in markets without losing it when markets fall. So. Once you've accomplished that the next part of the promised that is. Department take a drink water and scratchy throat today. Written water. The other part of SE is once you hit bad. Income phase of your life. It is imperative. Did you make sure that the income doesn't stop when you're too old to do anything about it how might that happen. Well let's happens to people it happens sadly your number of people I know personally of come to see his clients. Because they did retire back in 2000 went through those two market correction while taking into account what happens is this. You suffer losses in the early days of the downturn just taking withdrawals are down. You are losing principal. Both by withdrawal and by Marco loss at the same time and you will never make that out. Average retiree who can see three to five bear market cycles in their retirement during their retirement years. So that tells you gotta have a guarantee approached in complaining guarantees a good word when you comment income. Because frankly that is what most people fear the most. Mean imagine being. Eighty years old. To all related. To get a job AB health problems something like that. And you watch a principled just finally due to dwindle down to nothing. What in the heck are you going to do. Go fall on your kids and baiting him to take you win. None of the either of our pleasant thing to think Evan frankly it's why a lot of people don't take the time to come and get an. Free common sense retirement review. Most people had a tendency to procrastinate when dealing with things that are unpleasant is just human nature I've done myself so I know. But not in this area I haven't yeah I would tell you that. One of the reasons I started doing because this for a living sixteen years ago almost. Is I saw what was coming and I said I gotta I gotta really had I started messed around with this and as a setback in his eighties and Indian Indian well I had a good fortune of being part of that run up in the market. And that I saw what was coming and I said I've got to find a way to protect myself and and other people. Which is pretty much what we do you know I I have been involved in boxing and martial arts and stuff like that in my whole life and and with them but most important thing you should teach him by when you're first learning ideas how to defend themselves in other words defense. If you think about the Super Bowl teams usually win the Super Bowl retained ever really a good offense but a great defense that. Is incredibly important is not just known had a pro apologist now an out and not get hit by one. What that is the same. Thing that happened when we talk about your money because of the difficulty of making applauses and comets into retirement planning week in show you. How not to lose this stuff. How to have a shot and making money when markets go up. But and locked bedding and by the way so it's permanently there. Without putting yourself in dire situation of losing money on the downside. But secondly I would say more importantly back to the income point we can surely way to create for yourself. Something similar to a pension but I'm not like a contingent problem with pensions. Pinching gesture guaranteed income. However. That income never changes. So you're vulnerable to whatever inflation occurs during your during your retirement years. And secondly pinching usually are only for one person presumed death benefits or when the pensioner of the in new attempt passes away the income can stop. For the spouse that is not good well under way. We construct plants is we wanna make sure. They're not only do you have. An income. For life to two groups now. If it's you can continue to participate in growth. In their income. Based on whatever rate return your taking its income well you know. We certainly the you'd be getting a 4% raise the following year and now as the market dropped well in a losing the and near knock and again it a cut in your income just days where it is. But the next time the market goes up and next time you get whatever rate her new debt and as you'll be getting a race. And that is a sensible approach to retirement income and that's what we do common sense. Retirement planning and you know. Again cost you anything Communists yes. There are people sometime frequently as a and so how much style he left we said man this conversation I think you know me any thing. Ammann put together some ideas feminine shown to you in if you like them and we can do them. And if you choose not to do it and you can do that and I will not bug you or call or you're saying you know you made a decision yet or I just that's never been part my banking and my attitude is in his war might play. Phillip and I have well over 300 million dollars assets under management now we had a report record year in Tony's sixteen. People and entrusted us with a lot of their money and an I would say that's another thing we give reference. And they not been disappointed. Many pop McLean among them. Can tell you he he got became an client before the crash of 0708 and he and lose die Amy talks about it on the radio. And and all of our clients can carry similar stories they've been with his stamp long went through that. Now we've we've done pretty well during Terry's a run when markets going up to and that's a good thing but the most important thing is I have clients right now. They're retired from floor and BMW who Michelin. In G. EE in a lane a lot of places. That have already started taking these guaranteed income. And all. When I just had to review Tony is for same last week it's an interest me Tony as well. And that's what he said he was tell me every time we ever do annual reviews CEO we've become annually was up to him and they eat he gets to go. To the Clemson game champs and take his granddaughter to Disneyland to see him came her birthday filled. Righted the same ten Clemson football when the championship so he went in the game and then took her to Disney World which is pretty cool. They should you know such a wonderful thing to not worry about what the market is doing. And just know that every month that chicks shows up it's mailbox money I know every year that we've done well we. I know that if we have a good year and get a raise every game and in the same thing does that sound like a peace of mind kind of thing the U. Swine invested sleep well at night. We call. If it does go to our web site. Common sense retirement planning. Or program easier seat is our. CE SRP. Dot AIMCO. Check this out make an appointment cost connecting. But look list take these market is tees up that top grab what you got in protected. Lockett in build a wall around it. So the U will be safe secure. And not have to worry have real peace of mind and retirement. Common sense retirement plan that's who we are what we do. CS RP dot info. So I'm Tony gale Philip Allen bedecked with mean next week we'll find they're all about whatever world war we've got to whatever god bless you have a fabulous weekend.