Eric Weigel | The Retirement Architect

🚀 Guiding high-achieving professionals to post-career success! Explore DIY retirement investing and unleash the 9 Keys to True Wealth. Think, Plan, Do! 💰✨

[Eric Weigel | The Retirement Architect @WeigelEric]

@ramit Weekly time with friends having a beer or dinner

[Eric Weigel | The Retirement Architect @WeigelEric]

The easiest explanation is that to be successful as a small ib firm you need a steady stream of new clients and situations. Given how competitive the industry is, deals don’t just show up at your door- you have to hunt to stay in business. Most people don’t have the desire or aptitude to constantly look for new deals so they stay in a larger firm where they are not 100% responsible for new client business.

[Eric Weigel | The Retirement Architect @WeigelEric]

@syouth1 A win for investors

[Eric Weigel | The Retirement Architect @WeigelEric]

The problem is that our “vol” Presidente is increasing uncertainty across many fronts without a clearly articulated plan. Justifying tariffs on drug shipments into the US is a clear deception and everybody knows it. Trump would be better off tackling a small number of issues and then disrupting the status quo. The public would get a better understanding of whats going on. His mándate is change but just not all at the same time.

[Eric Weigel | The Retirement Architect @WeigelEric]

https://t.co/zWIS0wWEOd

[Eric Weigel | The Retirement Architect @WeigelEric]

🧪 I'm excited to share that I'll be learning something new about AI for 100 days as part of the #100DaysOfAI challenge! Starting July 1st!

Join me via @100DaysAI!

https://t.co/0wwvi2HgXY

[Eric Weigel | The Retirement Architect @WeigelEric]

@AcdntlyRetired Costa Rica or Mexico

[Eric Weigel | The Retirement Architect @WeigelEric]

Chinese equities, with their current valuation and growth prospects, offer a compelling case for inclusion in a well-rounded investment portfolio, promising not just diversification but also the potential for attractive returns.

- The Retirement Architect

Read more here: https://t.co/BBCy1fESTp

[Eric Weigel | The Retirement Architect @WeigelEric]

When the Noise Gets Loud, Sometimes the Best Move is No Move.

Feeling stressed by the latest stock market gyrations?

This is what I do when I feel stressed:

1/ Exercise or go for a walk outdoors. Getting physical activity and fresh air is incredibly grounding for me.

2/ Watch a comedy or some sports. With YouTube, I can always watch tennis or soccer highlights from around the world. And if sports do not work, I watch reruns of The Office. Both are a great distraction.

3/ Listen to some music. It could be classical or my favorite 80-90’s music. There is probably not a day that goes by when I don’t listen to some Earth, Wind, and Fire. It’s my mood modulator.

4/ Visit my local library. I love books and chatting with the librarians always reminds me of a larger world outside of the capital markets. I love seeing little kids enjoying story time, reading a magazine, or simply browsing through the shelves to see what’s new.

5/ Turn off my screens. I purposefully disconnect from financial media to avoid getting even more worked up. I get away from my work desk.

The key idea is to create physical and mental distance from the source of stress.

You’ll be happier and your portfolio will benefit from some alone time.

What do you do to deal with a crazy market?

[Eric Weigel | The Retirement Architect @WeigelEric]

When Ambition for More Turns into Ambition For Better

During your main career days, you want more:
* Money
* Advancement
* Recognition
* Speed

When you leave your primary career behind, you want better:
* Health
* Relationships
* Pace in your life
* Clarity of purpose and meaning

The shift that happens as you mature and focus on what matters in your life.

Retire with Possibilities!

[Eric Weigel | The Retirement Architect @WeigelEric]

Lower inflation does not mean lower prices!

To get back to break-even from 3 years ago we would need an 18% drop in the CPI.

That's not going to happen. If it did happen we should all head to bunkers in the countryside because our economy would be in chaos.

Since the end of 2020, $100 has turned into $84 in real purchasing power. Reality bites!

Only real growth can make up this gap. It will take a long time for the sting of the Covid inflation spike to wear off.

If you want to read more about the silent killer of lifestyle plans aka "inflation" read my next issue of Retirement Juice https://t.co/u9lZFDfmez

[Eric Weigel | The Retirement Architect @WeigelEric]

Deciding where to live once you retire is a big decision.

* Do you stay put?
* Do you downsize?
* Do you move?
* Do you split time between locations?

I wrote a whole chapter on this issue in my book, Reimagining Retirement - 9 Keys to True Wealth, and emphasized the importance of living in an environment that supports and makes it easy to lead the type of life you want.

The role of the environment (everything around you) is often under-appreciated in influencing your daily behavior.

I was reminded of this today waking up to bone-chilling temperatures in Boston after spending 9 days in Costa Rica waking up to sun and warmth every day.

One of my goals is to spend time outside every day in nature and exercise. It's now almost 2 PM and I have yet to do so because of the cold, damp weather outside.

I wonder if living in a different environment would help me achieve my goals?

Science would say yes, but many other factors are holding me back from moving at this time.

In any case, I wonder how many self-imposed hurdles we all have that are holding us back.

Is life in retirement really this complicated?

Or, do we make it out to be something much bigger and more complex than it has to be?

[Eric Weigel | The Retirement Architect @WeigelEric]

Retirement is not all that's cracked to be.

It's not all fun days filled with adventure and excitement.

It's not all sunny skies with not a worry in the world

It's not what the experts led me to believe if I diligently saved up my pennies.

At least for me the reality is different.

Rather what I have found is that it takes a lot of work to figure out the "new you" - who you want to become to lead the type of life you want and find that sense of purpose and meaning that is so often elusive.

I haven't yet figured it out but what I do know is that I need to:

1/ Focus on people first - relationships are everything. It's not just with your family and close friends but also people you encounter in daily living.
2/ Stay engaged in the world - again, this involves people. Be grateful for the past but also appreciate what today offers.
3/ Become emotionally resilient because everything won't go my way. The older I get the more I will need my emotional energy to offset physical decline.
4/ Stay flexible because I might change my mind as to what I want or what I need.
5/ Enjoy more of the present because tomorrow is not guaranteed.
6/ Invest in my health - movement is essential (and it's free). I work daily on cardio, strength, and balance.
7/ Take action - nothing happens without taking that first step. I want to become a better doer.
8/ Focus on my whole life, or what I call my NET WEALTH. Balance is key.
9/ Be myself - a cookie-cutter life is for commercials. My vision of my Future Self is mine alone.
10/ Seek fulfillment rather than an easy life. That's success for me

How about you?

What do you need to focus on?

[Eric Weigel | The Retirement Architect @WeigelEric]

@Ashikaw Interesting - I just got back from Costa Rica and the flights back were horrendous.

[Eric Weigel | The Retirement Architect @WeigelEric]

The perspective adjustment that comes from a change in scenery.

I just spent 9 days in Costa Rica. Miles away from my life in Boston as a retirement advisor/coach.

It's funny how a change in scenario sometimes allows us to see how narrow-minded we've become - not just about the world, but often more so about ourselves.

In the US we get so focused on what we need to accomplish to be considered successful when real success is often simply having a fun-filled conversation with another human being.

Success does not have to always involve acquiring more of something material.

Sometimes to be rich all we need to do is open our eyes to the beauty around us.

[Eric Weigel | The Retirement Architect @WeigelEric]

The Biggest Hurdles Facing Investors are often hidden

All investors – big and small – need to overcome these challenges

Hurdle #1: Taxes
The more active your trading the more you're sharing with the IRS. Timing your taxes is a pretty robust source of alpha - a win-win for you.

Hurdle #2: Fees & Expenses
Investment management fees can add up especially if you're paying your advisor on the old AUM schedule. Those Celtics tickets aren't free. Just ask Rachel Rollins.

Hurdle #3: Inflation
The loss of purchasing power is like carbon monoxide - you don't notice it, but it kills you. Probably the biggest threat to retirees. Maintaining or even better elevating your purchasing power is ultimately your real bogey!

Hurdle #4: Cash Drag
Not too bad right now, but historically it's barely kept up with inflation. You work hard, why don't you expect the same from your cash? Don't pay too much for feeling safe.

Hurdle #5: Volatility Drag
It's the drag queen that smashes your dreams of riches. It means that after a big loss you need an even bigger gain to get to breakeven. Think about both returns and vol. Volatility drag acts as a tax on your wealth.

Hurdle #6: Yourself
Being human is tough on your portfolio. We love safety and certainty, don't we? And guess what? The markets don't move on safety and certainty. They do exactly the opposite of what you crave. Learn to control your emotions.

These are the topics that fascinate me and which I write about in my newsletter. Read here: https://t.co/o9J6M4J1aZ

[Eric Weigel | The Retirement Architect @WeigelEric]

The same applies to overseas markets. The big news almost always happens after the close.

I once thought I had discovered a great trading strategy based on the close of the US markets but all effects happened before the opening of foreign markets so you could not execute. All post-US news was already in the price.

[Eric Weigel | The Retirement Architect @WeigelEric]

@MebFaber Love this quote. Certainly what I did as a PM. When the market is coming your way go for it. When it’s not figure out why not and wait

[Eric Weigel | The Retirement Architect @WeigelEric]

Asset allocation is not a set-and-forget strategy.

Six common mistakes made by individual investors:

1.Failing to Pay Attention to Investor Risk Capacity: Assess and integrate your financial ability to withstand losses into your investment decisions.

2.Never Adjusting the Asset Mix: Stay responsive to changing asset volatilities and correlations to maintain a balanced and effective portfolio.

3.Misunderstanding Diversification: Fund names do not diversify. Not everything goes up at the same time but protects you on the downside. A hedge usually carries a cost.

4.Overemphasis on Equities: Ensure a well-rounded portfolio by considering the roles of various asset classes, not just stocks.

5.Overlooking Current Starting Valuations: Use valuations as a guide for potential risk and return, adjusting your asset allocation to align with these metrics.

6.Lacking a Contingency Plan: Prepare for both downturns and upswings with a clear strategy to adjust your portfolio as needed.

Want to learn more?

Subscribe to my newsletter, Retirement Juice coming out today
https://t.co/YyB3YnxKUE

[Eric Weigel | The Retirement Architect @WeigelEric]

@choffstein James has become way too promotional.
I get so many emails every day predicting something huge. And life just goes on.