Every investment begins with a plan. That is our mantra.
If we have a sense of what we want to accomplish, we will gain clarity on what we need to do, in order to accomplish it. We will then invest for the return we need, and avoid unnecessary risks that may not be required to get to our goals.
Baby boomers are too close to retirement, to hold stocks through severe downturns like the two we’ve experienced in the last decade. In addition, markets are more volatile than ever.
But as Yogi Berra once said, “You can learn a lot by watching”
The markets, more often than not, tend to anticipate events, rather than react to them. Fundamentals matter, but often markets move, before fundamentals become apparent.
That’s why we blend a fundamental approach with technical analysis. This helps us determine when to be on offense, or Wealth Accumulation mode, or when to be on Defense, or Wealth Protection mode. It is difficult to make up large losses. While there are no guarantees in investing, we believe that our approach will help to mitigate the chance of such a loss, while allowing us to participate when the primary trend is resulting in higher prices in the markets.
