ISMAmerica is an independent organization focused on restoring hope. We demonstrate and educate that the average individual, not just the elite or gifted or fortunate, has every right to expect that even today, with work and determination, they can still achieve the American Dream.
ISMAmerica Review of the Accumulation Versus the Preservation of Retirement Money
When the American economy was red hot, which was not all that long ago, Americans in general were much more focused on accumulating the wealth they needed and wanted for retirement. Now that America finds itself in a New Economy the emphasis seems to be placed more on the preservation of money they have.
ISMAmerica – Accumulation Versus Preservation – Accumulate
It’s almost strange to think that not even a decade ago most people were thinking about living the good life once they retired. Even though the stock market had come way down from its huge dot com run-up, the housing market was there to take its place. Eventfully the financial markets responded in kind and the path to a ritzy retirement seemed to be paved with gold.
ISMAmerica – Change Comes
In what seemed like the blink of an eye everything came back down to earth even faster that it had left. A change had come and this change brought a New Economy that meant money no longer free-flowed in whatever investment vehicle someone chose.
ISMAmerica – Accumulation Versus Preservation – Preservation of What is There
These days, people think about preserving what they already have. It’s not that they don’t want to make money by investing what they have, but they have a great fear of losing what they do invest. However, these snake-bitten individuals are likely not saving at a pace that will keep up with inflation and without a consistent return on their savings they may come to realize that their worst fears of running out of money in retirement do come true.
This nightmare could come true even faster if something unforeseen were to happen. An unexpected illness or inability to work can lead to a great drawdown in assets and if not prepared then the worst can happen.
ISMAmerica – The Not So Simple Solution
So the solution is not to simply accumulate or preserve wealth for retirement, but rather to do both. There is no doubt that these troubling times do make it harder for people to accomplish this goal, but with sound strategies and the right advisors to help, anyone is capable of reaching their financial goals.
However, this won’t happen if people continue to bury their heads in the sand and keep their money in a simple interest savings account, or worse, under the mattresses of their beds. The American Dream can only be realized with proper action and proper planning.