Essentially, risk management occurs anytime an investor or investment advisor analyzes and attempts to quantify the potential for losses in an investment and then takes the appropriate action (or inaction) given their investment objectives and risk tolerance.
Inadequate risk management can have severe consequences for investors and retirees. For example, the recession that began in 2008 was largely caused by the loose credit risk management of financial firms. This had devastating effects for people who were relying on the stock market while drawing income from accounts that went down in value.
At TradeWell™ Tax & Financial, We Define Risk More Broadly
Risk in your 401k or IRA is understood, but it does not just stop there. Understanding the threat of increasing taxes on your retirement income would be a great place to start reducing risk for many. Perhaps it may be having the proper legal documents* in place for either death or disability. Let’s have a conversation about the threats of long term care, or in-home care services if that day ever came. Have you considered how this would affect your retirement accounts for you or your healthy spouse if such a catastrophic health issue occurred?
There are also estate taxes, risk for probate, gift taxes, financial mismanagement, and misuse. Proper risk management planning is necessary to help avoid these threats and others.
If You Are Thinking Through Your Risk Management Needs, You Are Not Alone. Many pre-retirees and retirees have no place to turn to for help. Who can you feel confident handling all of your details and affairs in retirement.
To receive a free copy of our white paper, Four Reasons to Review Your Risk Management Strategy Now, register at our Resource Center. Our white paper is packed with some ideas on how you can better manage risk for yourself, your family, and your legacy. Please keep in mind that TradeWell™ Tax & Financial is not engaged in the practice of law.
Legal services provided by Kirby Moss. Kirby Moss is an independent attorney and not affiliated with TradeWell Tax & Financial or USA Financial Securities.
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Mike Albertson, Martin Carbaugh, John Redmaster and Heather Foster are investment adviser representatives of, and advisory services are offered through, USA Financial Securities Corp., a registered investment adviser. Additionally, Martin Carbaugh and John Redmaster are registered representatives of USA Financial Securities. Member FINRA/SIPC. USA Financial Asset Management is located at 6020 E Fulton St., Ada, MI 49301. Tradewell Tax & Financial is not affiliated with USA Financial Securities.
The representatives of Tradewell Tax and Financial are authorized to transact securities-related business and investment advisory services only in states where they are properly registered. For investment advisory services these states include: (Mike:FL, IN, KY, OH, SC) (Heather: IN, KS, MI, OH, TX) (Martin: IN, OH) (John: NJ, OH, IN) For investment products and services these states include: (Martin: FL, IN, OH) (John: IN, MI, OH) Clients who are not residents of these states cannot be serviced. This website is not intended to provide investment, legal, or tax advice, nor to effect securities transactions or to render personal advice for compensation. Tradewell Tax & Financial is not engaged in the practice of law. All insurance recommendations offered through Indiana Tax Advisory Group, Inc. Mike Albertson is President of Indiana Tax Advisory Group, Inc.
There are no assurances that you will achieve your investment objectives. All investment strategies have the potential for profit or loss. Changes in investment strategies, economic conditions, contributions, or withdrawals may materially alter the performance of your portfolio. Past performance is no guarantee of future success. We cannot guarantee that a portfolio will match or outperform any particular benchmark.
Recommendations and advice are based on information provided by the client that is presumed to be accurate. The financial planning process is not stagnant and must be adjusted based upon changes in the client's personal and financial situation, liquidity needs, investment objectives, and risk tolerance. Clients are responsible for notifying us immediately if their personal and financial circumstances or goals change.