The Rule of 100
We have always subscribed to the Rule of 100 because it reflects our conservative approach to finances. It makes sense for the simple reason that the older you are, the less time you have to make up for losses. At Adams & McReynolds, we believe that money you cannot afford to lose should not be at risk, period. Here’s an example:
Take your age and subtract it from 100. If you are 70, the result is 30. According to the Rule of 100, 30% of your portfolio can be at risk. That risk may be in the form of stocks, mutual funds, or any financial instrument in which your principal is at risk of being lost.
The remaining 70% of your portfolio should be protected against losses. This is the portion of your portfolio that we can help you with. And by the way, you can be protected against losses in the stock market, have the potential for a reasonable rate of return, and have access to your money all at the same time!
Insuring your financial future is a process in which we help each client decide on a plan that fits their individual needs. Whether your priority is several years of tax deferred growth, immediate income that will last for the rest of your life, or leaving a legacy for future generations, we will help you find a guaranteed solution.