My eBook has Saved Me Thousands of Dollars

I redeemed my retirement nest egg from a WRAP Account manager in November 2007 because of the research I did on the Internet about how retirement funds work and the problems associated with them. My timing was perfect but  I believe I was very lucky. Had my financial planner given me good reasons to stay in the WRAP Account I would have done so.

I know how much I have saved because a close friend decided to stay in the same WRAP account I exited. He is now down around $200,000 on his original investment. If I had stayed in the WRAP Account I would be down thousands of dollars too.

I don’t say this to gloat. I say this because we’ve all been conned and Baby Boomers most of all need to wake up and take action. Giving your money to someone for 40 Years, and whom you have never met is a recipe for disaster in my view.

Whilst many of you may have got caught up in the stock market crash you still need to know how you got caught in the marketing hype surrounding the flawed mutual fund investment model so you can get control. The flaws are most pronounced for Baby Boomers about to retire.

The markets will come back and when they do you need to be ready to take control of your nest egg and learn how to protect money you cannot afford to lose like I did. Here are just some of the things I learned

  • I learned I need to always apply Rule #1 – Avoid Large Losses in retirement, from reading some Academic reports on the Internet about how hard it is to make up for losses when in retirement.
  • I learned a loss was not as important as how much was lost. We are now suffering a 1 in 100 year event according to Greenspan.
  • When I understood the flaws of using average returns to plan my retirement I knew I had put my nest egg at risk leaving it to the fund managers.
  • I found mathematical proof on the Internet of how fees and charges seriously deplete my nest egg over time and end up with me paying my financial planner more than I pay myself.
  • I read reports by highly respected Academics on the problems with the buy and hold philosophy. It was then  I knew a WRAP Account was a pay check for my financial planner rather than a secure retirement income for me.
  • I found Greg Heiple’s Teeter Totter Principle software and understood his philosophy of separating risk based assets from safe assets and it was a revelation to me.
  • I read many articles from Jim Otar including the Time Value of Money and it opened my eyes to how my money can just disappear and it is all legal.

I’m sure many of you want to hide your heads in the sand and hope it will all go away. But it won’t in the short term. That doesn’t mean you should just side on the side lines and wait. What you should be doing is making sure you won’t be caught again.

If you don’t understand some simple rules about your retirement nest egg you will not be able to take control of your nest egg. Your financial planner will be in charge. Leaving your life savings to someone else to manage is just not an option any more.

I live in Sydney and was wondering if anyone in Sydney would like me to hold a small seminar on “Protecting Your Nest Egg in Retirement”? I’ll go through some of the things listed above and a whole lot more. It’s only an idea at this stage. It will not be investment advice, just the knowledge to confidently meet with your financial planner hopefully on level ground.

Either email me privately using the Contact page, or add a comment to this post.

One Response to “My eBook has Saved Me Thousands of Dollars”

  1. Martin White says:

    Good idea

    Martin White

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