Are You Taking the Right Amount of Risk for Your Retirement?

7.28.23: Audio automatically transcribed by Sonix

7.28.23: this mp3 audio file was automatically transcribed by Sonix with the best speech-to-text algorithms. This transcript may contain errors.

Producer:
Any examples used are for illustrative purposes only and do not take into account your particular investment objectives, financial situation or needs and may not be suitable for all investors. It is not intended to predict the performance of any specific investment and is not a solicitation or recommendation of any investment strategy.

Producer:
Welcome to the Buckeye Advisor with your host, Woody Bowling. Woody is a fiduciary licensed financial advisor and Medicare expert who always places your needs first. Woody works hard each day to educate Americans like you on how to reach the financial freedom they've worked so hard for. And he can help you, too. So now let's start the show. Here's Woody Bowling.

Woody Bowling:
Good morning. Good afternoon. Good evening. Or whatever is appropriate as you begin to listen to this week's exciting information packed episode of your favorite show concerning all things financial and insurance related. And that would be, of course, the Buckeye advisor. I'm assuming you know that or else you wouldn't be listening right now. Maybe somebody told you about it. Maybe the radio station commercial told you about it. Or maybe more than anything, you're a loyal listener to the Buckeye Advisor program and we appreciate it very much. I am Woody Bowling and also known as the Buckeye Advisor. I'm excited to be here again this week. Also excited to welcome in early into my ever growing show, Mr. Matt McClure. Matt is our producer, co-host and one of a kind jack of all trades to make the Buckeye advisor continue to grow in leaps and bounds. Matt Good morning. How are you, sir?

Producer:
I'm doing great, Woody. I bet there are a lot of people in this world who would be very grateful that I am one of a kind because I don't know if we could handle many more like this guy right here.

Woody Bowling:
Yeah, no doubt. But we are glad to have you. And the good news is your check. You're not real expensive, which I love that at least to me. And the way we have this whole show set up. Somebody else pays your check, and I like that. But I'm glad to have you. And you are an integral part of what we do. More importantly, we couldn't do it without our listeners. So if you're listening today for the first time, second time, 28th time, thank you for joining us. We know that you're going to want to come back after you listen to today's episode. I always go back, Matt, and I listen to our episodes and try to pick up on areas where I can improve and get better at what I do and strive to continue to reach people in places of their lives that are important and make an impact on their growth and their progress towards the American dream, which of course the American dream is owning a home. But the other American dream, a big part of that is being able to retire and do so comfortably.

Producer:
Yeah, that's absolutely right. And that is the wheelhouse of what we do around here. And I know what you do in your practice each and every day. What he is, is really help people along in that way, not only right there in the immediate area of Dayton, but but of the surrounding areas and and other places as well. You know, it doesn't matter where you might be located there. It doesn't matter how much you might have saved for your retirement. It doesn't matter really where it is. Chances are the Buckeye advisor is going to be able to help. And we have more than a year's worth of these shows now under our belt. And so, folks, if you want to go back and listen to any that you might have missed, you can check them all out by going to the Buckeye advisor.com and click on the episodes page or the podcast page. Either one. You click on the podcast page there and you can see where all the show is available. And you can also subscribe on any of those places where you get podcasts. Check us out on YouTube as well. We're pretty much everywhere. Woody That just got to say, if you're if you're online and you can't find us, chances are you're just not looking hard enough because it's we're easy to find at the Buckeye Advisor.

Woody Bowling:
Those would be my sentiments exactly. I think anyone that hears about the Buckeye advisor is going to be intrigued by the name the Buckeye advisor with an or an advisor. And then they're going to want to know what the heck can this guy and his team do for me? Well, we can do lots. Where as a hybrid advisor, I'm well versed in a lot of different topics that can make a direct impact on the comfortability, the comfort, the duration and retirement that you are going to put into it. People work hard for a lot of years to build up towards retirement and they deserve to work with someone that really understands and that works with dozens and dozens of other clients over the last 14 plus years to understand their situation and then come up with a solution that's going to be unique to them based on their own situation. It's not a one size fits all. It's something that we're going to put together based on their situation, their comfort with how much risk they're okay with. And along with some of the other solutions that we're going to probably talk about a few of them during the show today, I do have a feeling.

Producer:
That's right. A little birdie told you that. And speaking of risk, one of the things that we're going to talk about is whether or not your level of risk is age appropriate. That's kind of a big topic today. And you'll give you some some tips and some ideas on how to really adjust your investments and that, you know, the way that they're allocated as you age. And so, yeah, we all age, you know, look at my reflection in the mirror and see my dad every day more and more every day. And so I know how we're aging here. But yeah, so we're going to talk about that and talk about how your investments need to change as you age. We'll also do an inflation demonstration and talk about Social Security as it relates to the whole inflation picture update, of course, as well. What the Fed did this past week as far as interest rates as well, we'll play a little right or wrong. It's been a minute since we've done right or wrong here. And we've got four statements coming up that I will present and Woody will tell us whether they are right or wrong. So get ready to put your financial knowledge to the test here, folks, as well. So play along with us. When we get there. We'll also talk about why people need a comprehensive plan, not just any old plan, but a comprehensive one for retirement as well. And then if we get to it with all the other great things we have to talk about, we'll get around to this week in history and tell you some things that happened on this particular week through the decades. Right now, though, let's get things kicked off here, Woody, with our Quote of the Week.

Producer:
And now wholesome financial wisdom. It's time for the Quote of the Week.

Producer:
Now, this week's quote comes from potentially an unexpected source. And as a matter of fact, when I read this quote, Woody, earlier on in the week, for the first time, the first time I had seen it, I had to look twice at who said it after I read it. So I'm going to I'm going to tell you the quote first and then I'll tell you who said it. The quote of the week this time around is the question is not at what age I want to retire. It's at what income. Now, you might think, oh, you know, maybe the Buckeye advisor said, that sounds like something Woody Bowling would say. No, it was actually George Foreman, the former professional boxer, Olympic gold medalist of George Foreman Grill fame later in life. And boy, he hit the nail on the head with that one, Woody.

Woody Bowling:
He did. And, you know, I'd love to take credit for that, but I did not say it, although I believe it wholeheartedly. Income is a very important part of retirement. People, you know, hundreds of thousands of Americans today have fun, save for retirement, but they really don't know what that lump sum or that lump sum number, excuse me translates to as far as a monthly or annual income. And that's really what they need to know. And George hits it on the head. I had no clue. He sold 100 million George Foreman grills, but I do know they were everywhere. And God love him. You got to love George Foreman. He just he's a guy that disarms you immediately. His smile is infectious. And I used to love watching him box back in the day. He was really talented and he could take a blow for the most part, but he went toe to toe with some of the greatest boxers of all time and won several of those matches and was champion, I know a handful of times over the years. But we got to love Big George. It's retirement is about income and that's super important.

Producer:
Yeah, that's right. And we'll touch on a little bit more of that as we go through today. And boy, yeah, talk about George Foreman being someone who really reinvented himself later in life, not only a great legendary boxer, but of course, a great legendary businessman as well. A couple of those 100 million George Foreman grills have found their way into my house over the years and just a real, real success there.

Woody Bowling:
I think he had quite a few kids, if I remember correctly. So there was probably some necessity behind that inventive spirit that he had as well. Want to know where your hard earned money is going. It's time for an inflation demonstration.

Producer:
It's always a fun topic here for us, Woody, but we're going to talk about inflation as it relates to Social Security. You know, this past year, the Social Security cost of living adjustment was it was a big one. It was the biggest one we'd seen in quite some time, the highest boost in 40 years. As a matter of fact, for this year's recipients next year, though, with the way that inflation has been headed, doesn't look like it's going to be that big.

Woody Bowling:
Yeah, very true. And this this episode is actually being on the radio station Saturday, July 30th. I can't believe it's the end of July already, 9:00 to 10 a.m. It's going to be re-aired on the station. 94.5 FM Dayton. Go to their website, check them out. Great content, great personalities during the week at nine and 10:00, 9:00 to 10:00 on Sunday, July 31st. So this week, we found out the Federal Reserve decided to raise rates again a quarter point 25 basis points. Not a great surprise. We've talked about it on our show the last few weeks. It's been baked into the market. Not a surprise. There was a 91, 92% chance that it was going to happen. They also left the door open for further rate increases, which is again, not a surprise. When that was announced, the market immediately went crazy in a good way. It then caught its breath, declined again. So look, it's been a really good year in the market overall. Inflation continues to be an issue, especially for people whose incomes can't keep up with it. And depending on what part of the economy you're talking about, you know, a car increasing 5 to 7% in price is different than a loaf of bread because it depends if that car is someone's need and not only what want, but a need because they need that dependable transportation, it makes a big difference.

Producer:
And guess what? The car price went up. They're also paying a higher interest rate for it because thanks to the number of increases that have gone over the last year and a half. So it's a difficult time for many. And. Inflation is on the mind of every voter in our country and every citizen, I think. So this segment about inflation, we want people to stay informed. And if you're informed and you're educated not only about what's going on in the economy, but lots of other things around us, I really think that makes people more well rounded. I've always tried to do that myself and know about a lot of different things that are going on. So I think this is an important segment for people to understand the importance.

Producer:
Yeah, it's a it's a reality check. I think any time we talk about inflation because, you know, you get that idea of really big picture how much prices have gone up. We're feeling it every day, of course. And sometimes it can be, you know, every once in a while we'll notice something. Boy, this this didn't used to cost nearly as much as it does now, that kind of thing. A little sticker shock going on. But I mean, when you look at the statistics year over year inflation in somewhere like down in Florida, Miami, Fort Lauderdale, West Palm Beach area, that whole southeast kind of corridor of Florida. 9% inflation year over year and mean that is kind of that same number that we were looking at when inflation peaked last year nationwide. So, you know, Miami area kind of really still feeling it. Um, some other places in Florida really, you know, feeling it as well like around the Tampa area, 7.3%. I think the closest place on this list of other metro areas that are feeling it too. You probably Detroit, which is right at 4.7%. And that is actually just ahead or behind however you want to look at it, of my hometown, my home place, Atlanta, at 4.6% year over year. So, yeah, we're still feeling it. Inflation definitely not a thing of the past, but it's, you know, it's better than it was in most places. But there are a lot of places, as we see by these numbers, where people are really still feeling the brunt of that inflation.

Producer:
Yeah, exactly. I agree. And I've said it before, we said it before on the show, Inflation is going to stick around for a while and some of the prices that have gone up are probably not going to come back down. And if they do, it's going to be at a much slower rate of decline than it was on the way up. So that's difficult for consumers to understand and to really swallow that. And I feel for the people in the Miami Fort Lauderdale area. Wow, 9% inflation still. That's ugly. Ugly. And if I could whistle when you said that statistic a minute ago, I would have whistled in an amazingly good way. But I'm just not a good whistler. I hate to reveal that on the show today, Matt, but it's taken me 54 episodes to reveal it. Um, but hey, Detroit, Tampa, San Diego, all those areas still over 4.6%. So it's difficult. I do think it's going to improve. It's just the rate of decline that's going to be the question. And so many areas are not going to come down in the near future.

Producer:
Yeah, that's right. We'll just kind of have to be in wait and see mode there. And you know, if you were concerned about Social Security and the income that you plan to receive during retirement, get in touch with Woody Bowling, the Buckeye advisor himself, and receive a free Social Security maximization report. You know, he can really help you make the most of the benefit that you've paid into your entire working life and really, you know, stretch those dollars out and make more of them in retirement. All you have to do is go to the Buckeye advisor.com that is the Buckeye advisor with an or at the end.com or you can call him (937) 974-6201. That's (937) 974-6201. Well at the beginning of the show Woody, we talked a little bit about risk and making sure that you're taking the appropriate level of risk with your investments for retirement. Well, let's talk about that a little bit more and dive in as far as how the level of risk you should be taking relates to your age. In some some people might be thinking if they're planning for retirement, they've got an investment portfolio. Maybe they've been working with an advisor on this. They might think, okay, how much at certain whatever your age is, whether you're, you know, 40 or 50 or 60 or however old you might be or young you might be, how does that age play in to how much risk you should be taking with your investments?

Producer:
I would say that probably most people that are listening to the show today have not heard of the rule of 100 because I don't think it comes up a lot with the most advisors, insurance agents, financial advisors, hybrid people like myself who do both. The one side of my practice is an investment advisor representative. I have a fiduciary series 65 license, and on the other side I do investments and market type investment strategies under Brookstone Capital Management, which I'm very proud to affiliate with them. They have a lot of fantastic models that I use for myself, my own retirement money, as well as lots of retirement dollars for clients. And most people don't hear or know of the term, the rule of 100. And, you know, a great example is if you're 60 years old, deduct 60 from 100. That's going to tell you about how much money. You should still have in higher risk strategies your actual whatever is left of that. On the other side, your age is probably more close to the ideal amount of how much you should have in investment related matters that are lower risk. I didn't say no risk. They could just be lower risk. And those are the things. And we got to remember that all things are subject to the own discretion that I establish with my client and some people.

Producer:
It's not appropriate to do those exact numbers. We need to tweak those numbers a little bit and we do that all the time. I do that with pretty much most of my clients. We come up with a different number that we're both more comfortable with, and that's what we make work for their strategy because it's all unique. It's not a straight 60 over 40 rule. The 60 over 40 rule that we've been taught for decades. We've already we've already busted the myth about 60 over 40 stocks and bonds being the way to go all the time. Okay. We've already busted that myth in 2022, worst bond market of all time. And we've demonstrated that if people will be open to thinking of new ways, different ways to do their investment planning and their retirement planning, a hybrid advisor like myself can really look at their overall situation, whether you're 60, 50, 55, 65 or even up to 75 or 78. Like a lady that I just met with about three weeks ago who's 78, just turned 79. We came up with a great way to increase her retirement income from her variable annuity.

Producer:
We lowered her expenses on that annuity from 4.7% annually. Makes your jaw drop to the ground. When we called the company directly, I won't name the company the variable annuity was with. She was on the phone with me at her house. We did speakerphone 4.7%. I moved her to a fixed indexed annuity that is complete principal protection. It has a 1% annual fee. It's with a very well known company based out of Ohio in Columbus. So we saved her 3.7% on expenses. We raised her monthly income $186. Unbelievable. She couldn't believe it. Very happy. It's just an example. And I'll share some other examples of people that I'm talking to later in the show. Probably. But this 60 over 40 rule, it's or the rule of 100. I'm sorry. It's an important rule to think about and it gives you a good groundwork or a baseline to start and then work from there. And that's the key is really where do we start the conversation? And then we'll work our way towards a mutually agreed upon, you know, strategy that we can execute and then monitor it throughout and we can adjust it as time wears on as well.

Producer:
Yeah, it's a great place, as you say, as a starting point there that, you know, so you can then make adjustments to that based on a lot of different things. And that is the good thing about working with the Buckeye advisor, for example, because Woody Boling is going to take a deep dive into your particular situation via a free consultation and other meetings that that you can also have and really, you know, analyze your particular situation because no two people are alike and no two financial situations are alike either. It's a free risk analysis consultation that's available to all listeners of the show. And folks, you can get help from the Buckeye advisor himself to understand the current risks that you're taking with your investments. Also how your investments are working together or are they not working together at all? Or are things kind of broken and you just might not realize it? You can get all of that analysis done for you and as always, no obligation. You're free to receive the information and then just use it as you wish, right? What do you mean? It's it's not like if people come in and you you do all of this on on their behalf and it's part of a free consultation that you're going to say, okay, well, now this is my proprietary information and now I have control of it and you can't do anything with it. No, but of course, the hope is you work with the Buckeye advisor because it's going to be some great information for you to be able to use and work together.

Producer:
Well, exactly. You hit the nail on the head. And it's funny because I met a lady a couple of weeks ago and she was referral because she's turning 65, so she needs some help with her Medicare strategy. So when I sit down with her, I told her, you know, everything I do is highly regulated, the investment side and the insurance side. And I needed to ask her a lot of questions, including some financial related questions. And when we got there, she kind of looked at me and said, Why do you need to know that information? And I said, Well, as I explained earlier, it's an important part of what I do to understand your whole situation so I can make the proper recommendations after I do my research. And that includes Medicare, investment planning and all that thing and risk planning for your overall situation, including life insurance. By the end of the conversation, I found out she had an old 401 K at a prior employer. She has money in the bank that she really isn't doing anything with, but she's very concerned about risk. She has a 401 K with her current employer, which is they're both doing great.

Producer:
But what we're going to do is we're going to roll over her old 401. K into an IRA that her and I can strategize and manage properly because she doesn't want a lot of risk anymore because you're are going to work for a couple more years. So she's taken on the risk in her 401. K and getting the company matches and you know so she's kind of in that. She's in that zone where she's kind of suspended in the middle of nowhere. She has all 401. Nobody to help her with a new 401. At her company she's been with for a few years, but nobody really advising her on it. She's got money at the bank. She doesn't want it invested with their investment guy. So it's all sitting there not doing a lot for her. So she's very grateful that she was referred to me and I'm grateful to have been referred to her naturally, because it's going to be a nice relationship to help her in those different areas. But that's just an example for our listeners. There's lots of other people like that that need help and I'm happy to provide it.

Producer:
Absolutely. That's what you can count on with the Buckeye advisor, Mr. Woody Bowling himself. And once again, folks, you can go online to the Buckeye advisor.com that is advisor with an Or at the end the Buckeye advisor.com or you can call Woody bowling the number (937) 974-6201. It's (937) 974-6201. For that free initial consultation take a look at your financial situation and get things going on the right track. Well, just about time here, Woody, for us to take our first break of the show. That means we're almost halfway done, which is kind of crazy. Seems like we just got started here, but we've got plenty more to come in the second half of the Buckeye Advisor for this week. When we come back, of course, it's the dad joke of the week to get us started off in the second half and then we'll keep the fun going by playing a little bit of a game to test your financial knowledge here. People there, there are no prizes to be awarded, but a lot of pride if you can get these questions correct in right or wrong. And then of course, talking about why people need a comprehensive retirement plan and more. We'll cover all of that. We'll tackle it in the second half of the Buckeye advisor as we continue right after this.

Producer:
Miss part of today's show, the Buckeye advisor is available wherever you listen to podcasts and online at the Buckeye advisor.com. Don't care what it is. Thanks for listening to the Buckeye advisor. If you like what you're hearing, subscribe to our YouTube channel to watch videos from this program and other recent episodes.

Producer:
Welcome back to the Buckeye Advisor. I am Matt McClure, the producer, the co-host of the show. So as you probably deduced at this moment, I am not the Buckeye advisor. That would be Woody Boling. And he's right here with me on the show. The Buckeye advisor.com is the website that the Buckeye advisor with an or at the end.com or you can call Woody Boling at (937) 974-6201. That number once again (937) 974-6201.

Producer:
Oh, sure, you can handle ghost peppers. You choose scorpions like Skittles. But can you stomach the dad joke of the week.

Producer:
At each week? Not only do we like to talk about money and finances and planning for your retirement and all of the great important stuff, we also realize it's also important to laugh and have fun. So in that spirit, in that vein, I throw it to you, Woody Bowling for our dad Joke of the Week.

Woody Bowling:
And your toss hopefully will be well received and not fumbled in this case because I am fully prepared with another good dad joke. Matt, I have to say, I've got to tell you, in all confidence, I'm afraid for the calendar.

Producer:
Oh, why are you afraid for the calendar?

Producer:
Because its days are numbered. Gotcha. You weren't expecting that one. I like it when I can get you good sometimes.

Producer:
Was I like it when you mix it up. You know, with the formats a little different? Not at all. Exactly. Are we going with this one? But that's got a nice laugh out of that one instead of an eye roll. So that's no, that's what we get. And it's free of charge, as always, courtesy of the Buckeye advisor.

Producer:
Come on down as we test your financial knowledge. In right or wrong.

Producer:
Yeah. It is time for you to test your knowledge. Me to test mine and all of us to test Woody Bowling's knowledge. Really? As we play right or wrong here. And the whole purpose of this, or the guess the premise of this, the purpose is education. The premise is that I will present a statement about something financial related, something we've talked about on the show potentially before, maybe even during this episode, perhaps, or a different time. But I will present that statement and Woody will tell all of us whether it's right or whether it is wrong. Okay. So number one, Woody, is this you should keep working and stop contributing to your retirement accounts to maximize your Social Security benefit. Is that one right or is that one wrong?

Woody Bowling:
Well, if I had a big gong, I would hit it now because, unfortunately, that one is wrong, Matt. You don't want to stop contributing. As long as you're working, keep contributing, even if you're retired and you can still contribute to a retirement plan, feel free to do so. Meet self-employed people each month. So keep doing what you're doing. Max out your plans through work. Don't stop those contributions. You want to keep that money working. And here's another thing. Social Security takes your top 35 earnings years when they calculate that Social Security benefit at your full retirement age. Okay, So keep working. If especially you're in your later years, Most people are earning towards the higher end of their earnings career. So keep going as long as you can. I'm always going to advise you to keep working as long as you can, as long as it financially makes sense, as long as your health allows you to do that. Because quitting puts a lot of people in a quandary because they're not sure what to do with their time. And they also have other things that distract them in retirement. So the answer is wrong. Keep doing what you're doing. You want to maximize those Social Security earnings later on. All right.

Producer:
Great advice there. And definitely something to clear up for folks because, you know, a lot of people might be, you know, a little bit confused as to exactly how it works and how it's determined what your Social Security benefit is going to be. So that really does shed light on that particular topic. All right. So topic number two then, this one might sound a little familiar. We'll see how well you all were paying attention in the first half of the show, folks, The rule of 100, ha ha ha is a simple calculation to help one determine how much risk they should be taking inside their portfolio of assets. Is that right or is that wrong?

Woody Bowling:
Woody Well, you are correct, Matt, and I feel like there's a lot of our listeners that just listen to the the first part of our show that we're all going to get that one correct as well. It's a simple calculation. Take your age, subtract it from 100, and then you'll come up with some ballpark ideas on how much of your retirement earning savings excuse me, should be in more aggressive and more modest and more conservative investment type solutions and suggestions. So I think that probably everybody listening got that right. In addition to.

Producer:
You? I would think so as well. At least I would hope if you were paying attention, folks, you should have got that one right. And I'm sure you did. Well, number three then, is this There is no way to grow your money tax free in an IRA. Right or wrong, Woody?

Woody Bowling:
You know, that's a good one. That actually sounds like it could be correct, too. Probably a lot of people, especially those people that have not heard of a Roth IRA, and that's Roth wrote. Unfortunately, the answer is no. That's not the only way, because a traditional IRA is where that's a vehicle that I use to park a lot of client money that they're rolling over from 401 K plans from work years. So I use traditional IRAs. We also use what's called a Roth IRA, and that will allow you, the listener, to park a portion or the entire thing in your retirement or savings into a Roth IRA. And what's that going to do for you, Matt? A lot of people say, well, what's the big deal? Well, the big deal is, is you pay your tax bill when you do the transition, when you do the conversion into the Roth IRA. So whatever amount you take out and convert to the Roth IRA, you're going to pay taxes on that at your current income level. So some people do it in a two, 3 or 4 year strategic planning cycle so they don't swallow the whole tax bill the first year.

Woody Bowling:
But there are some big advantages to getting that money into a Roth IRA. Your money grows tax free. You got to keep that Roth open for five years. By the way, your money grows tax free. You can take distributions tax free. You don't have to take required minimum distributions or RMDs at age 73 like you do on traditional IRAs, because IRS is holding their hand out, ready to get into your pocket. Big, big. And the final one is this If you're a listener and you have some money, I don't care if it's 100,000 or 10 million, if your beneficiaries can get that money from a Roth IRA, guess what? They pay no taxes on that money. That's huge to allow your heirs. Now, let me say this. There is an estate, an IRS inheritance state or a tax estate cut off. So I got to be careful in what I say there. I believe right now it's five point something million. So if you're you can take exemptions for that. But let's say anything under that amount, you pass it to your heirs. It can be tax free because it's a Roth.

Producer:
Yeah, absolutely. And as we have mentioned and we'll continue to mention here on the show before, a Roth is one of the only two types really, of tax free investments available to all of us, really, the other being life insurance and ways to use that not only for a death benefit, but also for some living benefits for you and income as well. All right. So one more to go here. We're two, two and one here in our our. Well, I guess that would be wrong. Wrongs versus rights there. Well, one and two, I guess we should say with our right or wrong record for today. But one more to go. See if we can improve things here. 60 over 40 portfolio with 60% stocks, 40% Bonds is a tried and true method and is still the best way to construct a portfolio for retirement. Is that one right or is that one wrong?

Producer:
Unfortunately, Matt, I have to share the bad news. You're going to be one for four today. But you know what? That's still to 50. And if you can bat to 50in the major leagues, you're probably going to make 5 to 7 million a year. If you if you play if you play decent defense. So the 60 over 40 portfolio, that's called modern portfolio theory, it's been taught to the public since 1952. Right. In that ballpark. It's an old strategy. It worked for quite a few years. But what we've seen in an era of high inflation, of high interest rates and interest rates are at four year, 40 year highs. Now, we saw the bond market go copwe and in 2022. So, no, we don't believe that the 6040 bond stock portfolio is any longer appropriate. What we think is that 40% or so, whatever that number is we arrive at, we think that can be better served by being put into a fixed indexed annuity that can provide a couple of things safety of principal. People love that. Why not? Because that's what you want. You work hard for your money for 30, 40, 50 years. Do you really want to lose it to the market when the market turns sour? That's why we only recommend we have a portion of our money in investments. And the investment side of my portfolio business that I do is done very, very well this year. And I think we under we under utilize that. Sometimes I want people to know that the investment advisory side of my business is doing very, very well.

Producer:
When the market does well, we're going to do well as well. When it goes down, there's a good chance that we're not going to be down as much as the big indexes that we follow. So we think smart risk, smart, safe are a great combination. Smart risk, smart, safe. I'll say it again. The money you've got in the market, be careful. Put it in strategies. Tactical money management can make a big difference when you have somebody automatically adjusting your portfolio based on what's going on. And then for that bond portion, the fixed indexed annuity. You can get safety of principal, you can get good returns when the market or your index that you follow does well. And more than anything, so many people I meet with today, Matt, are interested in lifetime guaranteed income. That is a biggie because what we said earlier in the show, people have lots of assets that they've accumulated, but they really, really, truly don't know what that amount of money that they can generate on a guaranteed income basis can be. And that's where I come in to help educate them. And this is the fun part of my job. And I love helping people understand these concepts and see those concepts, how they can work for them in each case and help them retire better, more comfortably, and also more importantly, more securely knowing that part of those retirement income and assets are guaranteed for life and protected. But yet we can still make money on the investment side of their retirement money. Yeah.

Producer:
And that's you know, really shines a shines a big bright spotlight on it that it is about balance when it comes to your particular plan, about your particular situation and whatever balance is right for you. Because again, it's not going to be the same as what might have been right 70 years ago or what was right a few years ago for your aunt or uncle or your parents or whatever. Like it's not be the same because your your time has passed, things are different. And then, you know, that also just sort of calls into the spotlight as well. You really do need a comprehensive plan. It's not just something that you can kind of, you know, just let's just wing it and see how it goes. You know, this is your future. This is your your family's future, your loved one's future as well. So, you know, having something to be able to pass along to them and to benefit them as great as well. So it's all part of a comprehensive plan, not just, of course, your retirement years. That's what we talk about a lot here on the show. But just planning for your own retirement is is one aspect of it. It really is comprehensive. We really want to highlight.

Producer:
It really is. And I have so many solutions to different areas of people's lives, whether it be Medicare, whether it be getting a good return on your safe money that you have in the bank, or that you have invested. So many things that I can help people with and have a good knowledge of so I can wrap all those things together. I mean, there's a lot of people that have just a will. They don't have any kind of a living trust. Very, very risky to only have a will. People don't understand that a will more than likely will still need be go through probate. So for 90 to 95% of Americans out there having a trust can be way, way less expensive in the long run and be solid as a rock when it comes to protecting that legacy that people want to protect. Because there's a lot of crazy things that go on with wills. There's a lot of attorney billable hours involved in probating, an estate and probating a will. So people need to understand I have a great solution with getting a living trust at about half of the cost of walking into any trust attorney in your local area that's advertising however you find them. If you can get a trust at half the cost and walk through it step by step with an attorney and it's all done online, you still get the nice printed trust paperwork.

Producer:
It's all completely 100% legal and done, and you have me to help walk you through it and I'll even help you with what's called funding the trust. It's a home run, and this is being very well received by a lot of people in the area because now they need to understand that some of the old ways of thinking aren't what they used to be. And just because somebody said it 25 years ago, just like the lady who I replace her variable annuity with recently, she didn't even know what it was called. She just knew it was an annuity that had a lot of money in it and that still had market fluctuations, which she didn't like and she didn't know what it was called, but she knew what she didn't like. And when her friend told her about me, she was very pleased to find out that there was an option where she can still get the money coming monthly from the annuity, not pay 5% in expenses, but pay 1% and then still get more income. I mean, man, that's a home run for her.

Producer:
That absolutely is. And talk about as well, the peace of mind that comes along with that, because that really is something that is is coming more into light for me is, as you know, I spend time with you and working in this kind of realm of, you know, trying to help educate people about their own futures and their own retirement planning for it. I have, you know, started to really educate myself here and having a few less gray hairs when you get there because you've got less stress in your life because you know you've got a plan that's going to work. I mean, that's huge. And you know, that can help you live longer. And people are living longer anyway despite despite the past couple of years and Covid and all. But people are living longer. And so, you know, as part of that comprehensive plan, you can also. Look at things like long term care and all of these things that go into it can really help you have that peace of mind.

Producer:
They really can. And I'm surprised at how much life insurance that I've done over the last 90 days because it seems to run hot and cold. But all of a sudden, I ran into several people that either had no life insurance and they wanted some maybe it wasn't a large amount, but it was something to take care of funeral expenses and that's it. And then other people want some bigger policies because they're they have term life they took out 20 years ago. That's going to expire in a few months. That happened to myself. And I just had to redo a policy about a year ago. So finding people, helping them, if you're going to live longer, why not have those years be more secure, be better taken care of by your advisor, and then also feel like your entire legacy can be secured. So if something happens to you, your spouse will know exactly what's going on. A living trust can help that, along with the strategies that I can help you do to implement that can help fund that trust. Things like having great health care, the right Medicare plan can save people money on their monthly budget, make retirement a little bit easier to tolerate when you get the old inflation rearing its head from time to time. So that's the fun part about what I do is trying to provide a lot of different answers to a lot of different scenarios and then see it all come together, work as a good, cohesive plan.

Producer:
Right? And you know, I mean, a lot of advisors, given the the whole, you know, uncertainty of the past couple of years in the markets especially, and and the economy overall, a lot of them have sort of been like the ostrich with their head buried in the sand kind of and and not wanting to reach out to clients. Maybe because of all of that, they just are kind of scared the conversations that they could be having. So if that's you folks, if you haven't heard from your advisor lately, maybe you're not getting the attention that you deserve either from your advisor or from your work based retirement plan. Get in touch with Woody Bowling. I mean, there's, you know, a great thing that he can do for you at no cost and no obligation. And that really is take a deep dive into your financial situation and what it could be if you were to work together. And that's really what it's all about. What he is working together. It's not about you just, you know, doing kind of your own thing and people having to sign their lives away. To Woody Bowling. No, it's it's a it's a it really does to be cheesy. It's almost like another dad joke, but not quite. Teamwork really does make the dream work.

Producer:
I knew it was coming, but I felt it was appropriate as well. I will tell you everyone that I meet, I don't I don't wind up working with for whatever reason. Sometimes the person I meet with decides to go a different direction. Sometimes I don't care to work with them, and sometimes it's mutually the same way. It doesn't happen often, but it does. So there's no obligation. There's no cost. If we do get together and talk about your situation, in most cases, I think we'll find that we're going to like each other, that we'll be comfortable with each other. And the more we learn and the more we talk, the more comfortable we'll be. And there's a high likelihood that we'll be able to work together and live in harmony and we'll come up with a great plan, but doesn't happen every time. And that's sad, but true.

Producer:
Yeah, well, if you want to be part of that majority of folks, that vast majority of folks who do end up working with the Buckeye advisor go to the Buckeye advisor.com that's advisor with an or or you can call Woody bowling (937) 974-6201. But when we say that Woody Bowling can help you with all aspects of your financial life, we mean perhaps some things that you've never thought of or considered being part of your investment portfolio or your, you know, planning for the future. Something like a structured note. Woody And people might say, Well, that sounds like it could be very complicated. So dispel that, that myth for them.

Producer:
Well, I can tell you a structured note is a great idea. It's got components that remind you of a bond, and it's also got a component that reminds you of a derivative. They're kind of a combo. But what really people need to know is most advisors, the vast, vast majority of advisors out there that just work for a wirehouse firm with large bank, they're never going to give their clients access. They don't have access to structured notes. We, being an advisor at Brookstone, Capital Management, do have access to these each month. They're negotiated with a very, very large one of several financial institutions that are do business worldwide as well as in our country. And ultimately, what people need to understand is it can be an effective part of managing risk and they don't have to be super duper complex. What people really just have to understand is these notes are issued at very, very good coupon rates, a coupon rate meaning the rate of interest that you're guaranteed to receive. They're usually a one year structured note, but you're going to collect that interest each month and after six. Mods. The company that issues the structure note is more than likely. If things go as usual, they're going to call that Node two and they're going to probably renegotiate a new one. But guess what? You made 1% per month or 1/12 of whatever percent use your coupon rate in the meanwhile. So structured structured nodes can be very, very positive a part of your portfolio strategies. They're not for a 100% of it, but they can be very effective for a small part of it. And as long as three major indexes in the market don't fall more than 30% during that one year period. And think about this historically, that's almost like a financial Armageddon for all for one of those three indexes to drop 30% or more. So we like them. They're part of our strategy. It's another unique component of what we do on the investment management side, and they're very effective for a lot of my clients.

Producer:
And to find out more, you can go to the Buckeye advisor.com. It's this week in history. Some some big important and some fun things happened this week in our history. On July 29th, in 1954, the first part of J.R.R. Tolkien's Lord of the Rings was published. Boy, it became, you know, just a huge hit, not only as a series of books, but also series of movies that are just big and epic and all of that and just have been big blockbusters at the box office to worldwide fans.

Woody Bowling:
Unfortunately, Matt, I'm not one of them. I'm not well versed in the series. I couldn't tell you the first thing about them. I do know the names and I know that it's very popular. Made some people some a lot of money.

Producer:
Oh, yes, a lot of people who don't have to worry about their retirement because that's taken care of. Also on July 30th, 1965, we'll cover this one here. President Lyndon B Johnson signed amendments to the Social Security Act of 1935 that established Medicare and Medicaid. That is a big anniversary, especially given what we talk about each and every week.

Woody Bowling:
It really is. I mean, it fundamentally changed our society and the term Medicare and Medicaid. So many people get them confused. If you're confused about them, don't worry. I can help explain very, very large impact on us as a country. And here we are almost 100 years later. It's a very important part of what I do and helping people understand Medicare. And I do work with a handful of people on Medicaid as well here and there that I get referred. But look, thanks to LBJ, it's a good thing for us.

Producer:
That's right. And thanks to Woody Bowling. This past hour has been a good thing for all of us as well. And that's going to be all the time that we have here. Woody, thank you for spending it with us, all of the listeners as well, because we have really enjoyed it and learned a lot. I learned something every week, so I know that the listeners have as well. Thank you, sir. Well, that's.

Woody Bowling:
What it's all about. I try to keep learning all the time myself, Matt So let's keep doing that together and we'll keep putting out great quality shows, hopefully for our listeners. Thanks to everybody for coming and listening today. If you're on the podcast, come back again next week. Subscribe and like the podcast and you'll be the first to get it when it's uploaded each week to wherever you're listening, come back to the radio station next week and join us again for another great show. I hope everybody has a blessed week and thanks for joining us.

Producer:
Thanks for listening to the Buckeye Advisor. You deserve to work with an experienced and licensed expert who will strategically work to protect and grow your hard earned assets to schedule your free no obligation consultation with Woody, visit TheBuckeyeAdvisor.com or pick up the phone and call (937) 974-6201. That's (937) 974-6201.

Producer:
Investment Advisory Services offered through Brookstone Capital Management, LLC, BCM, a registered investment advisor, BCM and the Buckeye advisor are independent of each other. Insurance products and services are not offered through BCM, but are offered and sold through individually licensed and appointed agents. Investments involve risk and unless otherwise stated, are not guaranteed. Past performance cannot be used as an indicator to determine future results.

Producer:
Structured notes involve risks not associated with an investment in ordinary debt securities. The securities are not bank deposits and are not insured by the Federal Deposit Insurance Corporation or any other governmental agency. Nor are they obligations of or guaranteed by a bank. The securities will not be listed on any securities exchange and the secondary trading may be limited. Therefore, there may be little or no secondary market for the securities. Accordingly, you should be willing to hold your securities to maturity. The securities are subject to the credit risk of the issuing bank and any actual or anticipated changes to its credit rating or credit spreads may adversely affect the market value of the securities.

Sonix is the world’s most advanced automated transcription, translation, and subtitling platform. Fast, accurate, and affordable.

Automatically convert your mp3 files to text (txt file), Microsoft Word (docx file), and SubRip Subtitle (srt file) in minutes.

Sonix has many features that you’d love including transcribe multiple languages, advanced search, powerful integrations and APIs, share transcripts, and easily transcribe your Zoom meetings. Try Sonix for free today.