YOUR MULTI MILLION DOLLAR OPPORTUNITY

You don’t need to have a huge salary to grow your retirement savings to millions of dollars. You don’t need to save unrealistic portions of your paycheck to achieve this either. The only things you need to do are (a) start as soon as possible and (b) invest your savings the right way.

It’s pretty sad that an amazing investment vehicle like a 401(k) account is looked upon with such dread by so many people. People are fearful and stressed when it comes to their 401(k) accounts. It doesn’t have to be this way and it shouldn't be this way.

The industry has trained everyone to be very cautious with their retirement accounts. Stock market collapses, which happen about every six years, create fear in all investors. People in general have a negative mindset about investing. Negative and pessimistic mindsets rarely produce optimal results.

My problem is that nobody talks about the amazing opportunity that all 401(k) investors have. I believe that if people saw the opportunity as well as the risk, their attitudes towards the 401(k) would change, and they’d make better investment decisions as a result.

Everyone should be able to retire with at least $1 million in their retirement account.  Just about everyone should be able to retire with a multi-million-dollar retirement account. 

Another reason that people are ambivalent about their 401K and IRA accounts is that the investment industry offers lousy solutions.  Their main solution is the asset allocation strategy which supports the Target Date fund solutions.  It is a very mediocre investing strategy.

Most of you are following some version of a Target Date fund approach with your retirement investments.  As a result, you will only end up earning an average of 6.5% per year on your investments in your retirement accounts.  And despite what the industry tells you, you will still get crushed in stock market downturns.

You can and should be earning almost double these returns AND you can be protected from stock market crashes. 

Let’s look at an example of someone who started at age 35 with their 401K investing.  

Sally is a 35-year-old worker and has grown her salary to $75,000 per year. She realizes that she needs to start a 401(k) account.  She doesn’t feel the need to catch up, so she only contributes the average of 6% of her salary per year and she also gets the average match of 3% per year.

If she follows the best advice from the investment industry and puts her money in a Target Date fund, she will only end up with a retirement fund of $722,000 at age 65.  If she uses our Beyond Buy & Hold system, she will end up with a retirement fund of almost $2 million at age 65.

With only $722,000 at age 65 from her Target Date fund, Sally would be looking at a difficult retirement. She might not even be able to retire at age 65. She would only be able to withdraw about $48,000 per year from her 401(k) in retirement.  This is why 401K investors are so anxious about their retirement accounts. 

But following our better investing approach, she would have a very comfortable retirement with an annual income of $219,000 per year.  And even better, her investments would also be protected against stock market collapses. 

Do you see why I’m so excited about 401(k)s and IRAs for ordinary investors? I want all working people to have the retirement of their dreams. Most people don’t even know this is possible. You can get the same or better results than the big players in the stock market if you improve your investment results.

Stay Disciplined My Friends,

Phil

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Disclaimers The Beyond Buy & Hold newsletter is published and provided for informational and entertainment purposes only. We are not advising, and will not advise you personally, concerning the nature, potential, value, or suitability of any particular security, portfolio of securities, transaction, investment strategy or other matter. Beyond Buy & Hold recommends you consult a licensed or registered professional before making any investment decision.

Investing in the financial products discussed in the Newsletter involves risk. Trading in such securities can result in immediate and substantial losses of the capital invested. Past performance is not necessarily indicative of future results. Actual results will vary widely given a variety of factors such as experience, skill, risk mitigation practices, and market dynamics.