If you saved a lot of money or have a big inheritance coming in, you might feel you are financially set for the future. However, did you know that money loses its value over time? Think back to what you could purchase with $20 five years ago, versus today. This is known as the time value of money and inflation is the culprit behind it. The good news is you can use investment strategiesthat strive to protect your money from inflation by attempting to grow it at the same rate inflation depreciates the dollar.
There are many different ways to invest your money. While purchasing stocks and bonds are the most common options that come to mind, there are several others that a financial advisor might recommend:
Before we begin making recommendations, however, we assess your current financial situation and future goals. Only then can we make recommendations that align with your goals.
Unfortunately, there is such a thing as bad investments. This can happen when people put all their financial eggs in one basket and that plan fails. Diversification and risk tolerance are two of many key elements your financial advisor will explore when ensuring your plan is solid. Contact Financial Partners Group for more information.
All investing involves risk including loss of principal. No strategy assures success or protects against loss. There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.