I'm Brad Chastain Director of Education At U.S money reserve for over 18 years I Worked at Vanguard one of the largest Investment firms in the world there I Worked as a retirement counselor helping Clients plan and prepare for retirement And then as a manager of retirement Education Today we're going to discuss protecting The Assets in your portfolio in times of Economic or political uncertainty During these times we often find Ourselves wondering how best to protect Our assets and wealth during the years Ahead if you have concerns about the Future you're certainly not alone Forbes reported in 2022 that 88 percent Of Americans feel the U.S is on the Wrong track Uncertainty about the future is to be Expected and there is no crystal ball to Tell us what will happen in the next 5 10 or 20 years we've been through Difficult economic and political crises On a regular and recurring basis for Centuries and no one expects the most Recent crisis to be the last one we'll Ever experience Uncertainty leads to indecision which Can lead to the three most common Mistakes that people can make regarding Their portfolios The first is waiting to see what happens Before making changes to a portfolio
All too often when faced with Uncertainty about the future we want to Wait to make a decision until we have a Little more certainty this is human Nature The problem is when the future arrives And we have more information it's too Late Markets move and react to information Quickly quicker than we can respond to Putting a non-diversified portfolio at Risk This often leads to people making the Second most common mistake waiting until A loss is recovered to make adjustments To a portfolio Once someone has experienced a loss it's Human nature to not want to realize that Loss the reality today is most people Who feel they've lost money in say the Stock market still have more than they Put in if they've been saving for a long Time even if their account balance was Higher a year or two ago But if you're only focused on recovering Losses then you may find yourself making The third most common mistake not Preparing for the unexpected often the Biggest losses have come during times When people are feeling the least amount Of fear and concern Things seem to be going well and then a Surprise unexpected event happens We've seen two such events recently with
The housing market and Global financial Crisis in 2008 and the covid-19 pandemic In 2020. it's in times like these when Many people find they were far more Vulnerable than they even realized How do you avoid the mistakes the Average person makes time and time again Like waiting till it's too late because You felt like you needed all the answers Before making decision holding on to an Asset that is underperforming at the Expense of getting the wealth protection You need and being caught off guard by An unpredictable event The answer is simply diversification When you diversify your portfolio today And maintain that diversification over Time You're better positioned to weather Whatever lies ahead Any financial advisor will tell you Owning a diversified selection of assets Is critical to your financial success So what does it mean to diversify Diversification means owning a variety Of asset types specifically ones that Don't share the same risks as one Another and therefore don't respond to Various events in the same way whether Those events are political or economic Asset types are categories of assets you May own stock in companies like apple Amazon or Disney but they all fall Within the category of stocks so stocks
Is one asset type bonds is another real Estate precious metals and even cash are All asset types They all have risks but because they Don't share the same exact risks the More asset types you own the safer your Portfolio can be since they can help to Offset the risks of one another Making your portfolio stronger and more Robust that's the whole point of Diversification reducing the risk to Better protect your assets and wealth One example of how diversification Reduces risk is how gold can help Diversify stock risks while stocks can Provide excellent long-term returns they Can be very volatile in the short term During the most challenging times for Stocks gold has been a safe haven As we can see during these notable Events over the last 30 years gold has Acted as a Safe Haven by performing very Differently than stocks This is why gold has been referred to as A form of wealth insurance Think of it this way you wouldn't Purchase a car without having insurance So why would you build a portfolio Without including assets that could help Minimize your risk No one knows what the future will hold Or how any one asset or asset type might Perform at any given time This is why your diversification
Strategy how you allocate your money Across different asset types is one of The most important decisions you can Make for your portfolio This is why owning a variety of asset Types can reduce your risk and provide More protection than any single asset Alone So how do you go about getting the Diversification you need No single individual is completely Versed or an expert on all areas of Finance and asset types so many people Find it helpful to build a financial Team of professionals to help in each Specialized area of their finances Your team may include a financial Advisor that specializes in assets such As stocks bonds or mutual funds who can Help make sure you have those assets Diversified properly and accountant or Tax professional can help you with your Taxes a real estate professional can Help you navigate purchasing and owning Rental property or land and your account Executive at U.S money Reserve can help You understand and diversify with Physical hard assets such as gold and Other precious metals that have been Proven to help diversify and protect the Portfolio Call U.S money Reserve today to speak to An account executive about how precious Metals can help you achieve the
Diversification and wealth protection You and your family deserve
