What sets our services apart here at Miramontes Capital is the emphasis we place on minimizing risk in your portfolio. This means the stocks, bonds, annuities and mutual funds we use to harbor your money are going to be balanced in a way that will help you reach your goals, while also helping to ensure the vitality of the assets over and above volatile market situations. Use this guide to help you when protecting your assets in retirement.
Protecting Your Assets In Retirement
Minimizing Risk
We always customize portfolios to help minimize risk for each individual investor we serve. Investing in stocks is also an element, but we avoid chasing unrealistic rates of return that open our clients up to unnecessary risk. As wealth advisers, it is our responsibility not to over-accentuate the profit-side of investing to our Miramontes Capital clients. When someone is making a decision about a financial risk, he or she will not temper that decision by thinking about returns. Instead, one would think about the ability for recovery in the event of an economic downturn.
This is where diversification comes in. For your assets that are on the market, you will want to make sure you have a safety net for when the markets fluctuate. But at the same time, if we are too diverse–that is, if our investments are too spread out–we run the risk of not maximizing on returns over time. There are appropriate and inappropriate amounts—and ways—of diversifying, and it will be different for every person, and for each investment climate.
It is often difficult for working individuals who are accustomed to a certain degree of risk in their investments to fully comprehend how different investing feels once retirement comes along. Once you retire, you may be completely dependent upon the money in your accounts. Moreover, during retirement, money is not being deposited into your account every two weeks, as it was before. Now, instead of relying on a contribution from your paycheck, all you have to rely on the performance of your investments. Your perspective will reflect this: before, you were confident and not dependent on the money, and now you’re dependent upon those assets and will likely be less confident when it comes to risk. That is why protecting your investments in retirement is a crucial step for you to take.
When it comes to protecting your investments in retirement—and your meaningful life—from potential risks, never stop at asking, “How much do I stand to gain?” In the same breath, temper your thoughts by asking how much you stand to lose as well. If you are confronted with an investment choice with a certain amount of risk, and the potential return appeals to you, consider the recovery. If you can handle the potential loss, then, and only then, should you feel comfortable taking that risk.
For more help regarding protecting your assets in retirement, contact Miramontes Capital.
Schedule an in office or over the phone consultation to discuss how Miramontes Capital can help you with your new beginning through retirement planning.
Miramontes Capital is a Registered Investment Adviser. Advisory services are only offered to clients or prospective clients where Miramontes Capital and its representatives are properly licensed or exempt from licensure. This video is solely for informational purposes. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. No advice may be rendered by Miramontes Capital unless a client service agreement is in place. Miramontes Capital is a Registered Investment Adviser. Advisory services are only offered to clients or prospective clients where Miramontes Capital and its representatives are properly licensed or exempt from licensure. This video is solely for informational purposes. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. No advice may be rendered by Miramontes Capital unless a client service agreement is in place.