Protecting your investments

Are you worried about the money you have invested in the stock market? Many people worry about protecting their nest egg especially in this economy.

In 2008, the market ended the third-worst stock market year in history, and Jim Byrd with Safe Harbor Financial Services says you only have to look back to see what’s coming. He says he talks with people every day who worry about their hard earned savings and are not aware of the safe alternatives available.

The “Rule of 100” is a financial rule of thumb that tells you how much of your portfolio should be “at risk” by taking your age and subtracting it from 100. The rule is, you should be taking fewer risks with your money as you get older.

Jim Byrd says as you age, you are losing time to make up for losses. An example would be, is you're 65 years old, take 100 and subtract 65, and you would get 35. That means 35% of your portfolio should be at risk, and 65% of your money needs to be invested in “safe” investment tools.

Jim Byrd says if you’re like most people you are probably taking on far more risk than you should. He says you should ask yourself how much you lost in the nasty market years of 2000 – 2002, and in the year and a half stretch of October 2007 to March 2009 because you have far less time to earn it back.

Byrd says investment tools that were once considered “safe” may not be safe any longer. One example would be bond funds of any type. They do not fall in this category because they can, and do lose money, especially in a rising interest rate environment. Corporate bonds, preferred stock, and utilities won't fall in this category either. They're are all considered risky funds. Byrd says some brokers don’t understand what “safe money” is but a financial planner can look at your statements and show you where you are most at risk.

Jim offers a free comprehensive financial review of your portfolio and a free copy of his DVD or book, The Ultimate Success Secret. You can get more information when you email Jim Byrd at jbyrd@safeharfin.com or when you call 1-877-251-1984.

James Byrd has 30 years of experience, is Top of the Table of the Million Dollar Round Table, and a member of the Better Business Bureau and the National Ethics Bureau. Safe Harbor Financial Services has been awarded Small Business of the Year 2012 for South Eastern Alabama by the Easter Shore Chamber of Commerce.

Safe Harbor Financial Services
9056 Merritt Lane  
Daphne, AL 36526
(251) 625-1226
www.safeharfin.com /