In this week’s Hidden Wealth Review, I teach that, since the election of our new president, over a trillion dollars has evaporated from the global bond market. If you own bonds or you have bonds as part of your portfolio, you need to be aware that bonds are not the place to be. This is especially true with the rising interest rate environment that’s being predicted.
The yield on the 10-year Treasury Bond closed at about 2.20% last Wednesday. Since bond prices fall when yields rise, anyone owning longer-term bonds just took a big hit.
Many experts are predicting that retirees will be hurt the worst because, the bond market is more volatile than the stock market. Today’s typical investor has never experienced a sustained rising-rate environment and they are unprepared for what happens when interest rates go up 3% or 5%.
We find that many clients have what’s referred to as a “balanced” account; one where your money is in both stocks and in bonds. I want you to be aware that this diversification does not equal security. It’s been predicted that, with a rising interest rate environment over the next two or three years, one could experience losses that exceed those we saw in 2008.
The experts are predicting that we should expect a 5% return for the next decade. A 5% return barely keeps pace with inflation. I want to teach you how you can have 40% more return with our safe indexing solution! The table below shows what 40% more looks like at various interest rates.
Our clients’ retirement savings go up when the market rises but, their savings never go down when the market falls. I want to teach you how you can earn a higher return and how to insulate your retirement savings from market losses. Our clients haven’t lost a dime in the worst economy since The Great Depression and they won’t lose any money in the next market correction or crash. To learn how they do this, register for one of Tuesday’s Retirement Protection Webinars.
To register for this no-cost, no-obligation educational event, simply go to www.RetirementProtected.com and enter the required information. But hurry, because of the rapidly changing market conditions, the seats for these events are filling quickly. I strongly encourage spouses to attend this event together.
Just for registering, you’ll receive my video book, 7 Steps to a Tax-Free Retirement. When you attend my webinar, you’ll receive a copy of my e-book, The Baby Boomer Retirement Breakthrough as an attendance gift.
Here’s to your Hidden Wealth,