Hello, fellow financial explorers! Today, we’re diving into the fascinating world of credit scoring, with a particular focus on the superstar of the game: the
IT’S NOT ABOUT THE RETURNS, IT’S ABOUT THE DOLLARS
We hear it every day from people who visit our office for the first time – returns, returns, returns… what are your returns? But, what return you actually earn has very little meaning in the grand scheme of things and can actually distract you from the task at hand – figuring out how to have more dollars to do the things you want to do throughout your life. If you can do more with less return and subsequently less risk does it matter if you earned 2% more last year than your colleague?
Since the stock market collapse of 2008/2009 we have witnessed many people who jeopardized a good financial situation because they sought a higher return rather than taking a steady course. Why? It’s puzzling ,but, we think the financial services industry is largely to blame. Investment company marketing programs have brainwashed our society into thinking that return is all that matters. And, to make matters even worse, the return data they throw at you is what happened in the past. The past is no indicator of what will necessarily happen tomorrow!
It’s time we start focusing on taking the least amount of risk to achieve the greatest odds for not running out of money. If a 5% return accomplishes your goals so that you can do all the things you want to do, why would you risk your future to eek out a couple more percentage points of return.
Together, let’s figure out a plan that allows you to life your best life rather than simply earn a return!