The Perfect Investment For A Perfect Retirement?

&l;p&g;Many folks live with the feeling that they could have done better with their investments. They will often compare their investments to imaginary standards of &a;ldquo;perfection,&a;rdquo; such as:

&l;/p&g;&l;ul&g;&l;li&g;Unlimited growth potential.&l;/li&g;

&l;li&g;Guaranteed principal.&l;/li&g;

&l;li&g;Locked-in gains.&l;/li&g;

&l;li&g;No fees.&l;/li&g;

&l;li&g;Tax-free gains.&l;/li&g;

&l;li&g;100% total liquidity.&l;/li&g;

&l;/ul&g;

Of course, the perfect investment doesn&s;t truly exist, except in our imaginations. What investors should do is rank the above criteria from most to least important to find a solution perfect for them.

&l;img class=&q;size-large wp-image-601&q; src=&q;http://blogs-images.forbes.com/impactpartners/files/2018/05/GettyImages-831560024-web-1200×800.jpg?width=960&q; alt=&q;&q; data-height=&q;800&q; data-width=&q;1200&q;&g; Money is both a financial and, more importantly, psychological game.

If you bought a house but kept looking at houses every weekend, how satisfied do you think you would be with the house you bought?

If you bought a car and kept car shopping every day, do you think you would second-guess your car purchase?

If you got married, would you still visit online dating sites to see who else is available?

The above questions may seem trite, but they make a very important point &a;ndash; investing is all about making a sound decision and sticking with it.

People today are bombarded daily with so many choices, information, and advice, it&s;s almost impossible not to feel that you could or should have done better, especially with 20/20 hindsight.

Twenty-eight years in the financial services industry have taught me that money is both a financial and, more importantly, psychological game. Some folks are never satisfied, while others are satisfied with modest gains. There is no one-size-fits-all or one right investment for everyone.

Money is the most emotional and personal subject aside from love, so why would you base your choices and decisions on what strangers are doing?

We recently met with a couple who was considering retirement and visiting with many advisors to get input on &q;if&q; they could afford to retire with their current nest egg and other income streams.

They told us that, when they met with other advisors, it seemed as though they were all projecting unrealistic returns and hoping to get their business by showing and inferring great performance.

This is basically what the retirement industry does: Advisors show the highest performance they can illustrate and project it onto your nest egg to tell you that YES, you can afford to retire right now. Because that&s;s what they think you will say yes to!

People in the retirement industry enjoy making you feel like whatever you are doing is wrong so that you will move your account to their platform. This is why those who consume a lot of financial media are not only dissatisfied with their situation but will also often make ill-timed changes.&l;strong&g;&a;nbsp;&l;/strong&g;

&l;strong&g;Please consider another alternative!&l;/strong&g;

First, ask yourself: Do I really want to retire, or just quit my current job? There is a big difference; many people are sick of their current job and want to quit, but they call it retirement. We have advised folks many times not to retire but find a different job &a;ndash; because they couldn&s;t afford to retire yet.

Second, run your nest egg projections using worst-case, not best-case, assumptions.

Third, put together a real monthly budget that accounts for every expense item. Most people we work with spend more money in retirement than in their working years because, in retirement, every day is a weekend.

Fourth, stress-test your monthly cash flow needs against your worst-case cash flow projections.

Then, when it comes to choosing where to place the money, start with an understanding and ranking of which type and amount of risk you can live with on a daily basis. Do you want to have a low-stress or high-stress retirement? It&s;s really up to you and your money choices. Filter the money and investment universe down to those strategies and investments that fill your daily risk profile, not vice versa.

When prices are high, people feel positive and will make optimistic projections. They are willing to take on more risk at the wrong time because high prices mean more risk. When prices are low, people feel pessimistic and are unwilling to take action and buy low. It may seem oversimplified, but human emotions affect asset prices on a daily basis, and asset prices will affect your emotions as well.

Do you really want all of your retirement nest egg on the daily stock market roller coaster for your entire retirement? The advisors who sell those past returns rarely ever speak about the daily stress those strategies created for the retiree.

Some people live on $3,000 a month, some on $20,000 a month. Some folks are happy, and some are not. Of course, money is necessary, but there is always a price to be paid in the level of daily stress you want to endure. It&s;s your money &a;ndash; get to know what is most important to you and find the best strategy and investments that fit your situation and that you can live with for your entire retirement.

&l;em&g;This content was brought to you by Impact PartnersVoice. Insurance and annuities offered through Vivid Financial Group, LLC. TX Insurance License #2106734. DT #488882&l;/em&g;