 The financial planning community is in overwhelming agreement when it comes to retirement planning on these two facts – and rightly so:
1. It is critical to utilize investments that outpace inflation (increases in the price of goods and services, over time).
2. History proves that over longer periods of time, the stock market tends to beat alternative choices like bonds, money markets, and certificates of deposit. And, in effect, it has offered returns that enabled investors to outpace inflation.
BUT, there’s a problem.
The problem – and the area where most conventional financial professionals are, unfortunately, totally wrong and consequently lead their investors astray – is that investors must bear all the risks of investing in the stock market. For decades, these advisors have brainwashed their investors into believing that they must accept the risk and unpredictability associated with the stock market’s gyrations, simply to beat inflation.
Laser Financial Group’s Solution
For years, we have advised our investors to utilize a simple strategy which links their portfolios to a stock market index of their choice. They are, therefore, able to participate in the gains the index experiences, up to a predetermined cap. They also enjoy complete downside protection, so that when the index plummets, as we’ve experienced over the past few years, their portfolios do not lose a penny. The reason? They are not directly in the market – they are simply linked to it.
In effect, an investor’s principal dollars are guaranteed; year-to-year gains are locked into a new principal that is guaranteed never to diminish. When the market performs poorly or crashes and the index loses or returns less than the contracted minimum return, the portfolio is still credited the minimum guaranteed rate.
We liken it to playing cards or slots at a casino where, at the end of your play – even if you lost – you were guaranteed to leave with no less than all the money you started with (your principal) plus, say, 2 percent more. On the other hand, if you won, you got to keep all of your gains, up to a cap of, say, 15 percent. Is that an arrangement you could live with?
This is precisely the strategy we advise for our clients. It enables them to indirectly participate in the upswings of the stock market – hence outpacing inflation – without experiencing the risk of losing significant portions of their nest eggs when the market dips.
A Quick Illustration
Let’s look at a general example. Say you had invested $100,000 in the S&P 500 index (assuming it were an investment) over the 10-year period from Jan. 1, 1999 through Dec. 31, 2008. Your ending balance would have been approximately $73,481. On the other hand, had you implemented our common-sense strategy with a minimum guaranteed return of zero, yes zero percent, a cap of 15 percent, and a 100 percent participation rate, the account’s balance at the same 10-year mark would have been approximately $174, 644. That’s $101,164 more!
For those who are understandably skeptical, apply these general assumptions to any significant periods of time and you will discover the shocking truth. This is why our investors trust us, and the reason more and more folks just like you are turning to us to learn and implement this simple strategy and others like it. As a result, they are joining the growing group of smart investors who are keeping their portfolios where they belong – in their control.
For your no-obligation consultation, please call (301) 949-4449 or visit www.LaserFG.com today!
| 
