“Someone's sitting in the shade today because someone planted a tree a long time ago.”

Depending on how much time you have before you need to access your money, you have a lot of options.  However, at Dynamic Life Financial, we subscribe to the philosophy coined by Warren Buffett which states: 

                 "Rule Number 1: Never Lose Money.     Rule Number 2: Never Forget Rule Number 1."

As a result, we tend to favor Indexed Investments in our recommendations - which are investments tied to an index such as the S&P500, the NASDAQ, or a multitude of other options that have a guaranteed floor of at least 0% interest.  What this means is that no matter how the market index (or indices) that your investment is tied to performs over the period that you have selected (of which there are many options)- your investment will never receive lower than 0% credited to it.  Which is another way of saying that it cannot lose the cash value it has.

See the brief video below to learn more about how Indexed Investments work.

A Very Simplified Example: 

You've invested $10,000 in a Fixed Index Annuity and have chosen the S&P500 market index with an annual interest crediting strategy.  At the end of your investment's first anniversary, the S&P500 market index increased by 10% so your investment also gained 10% (or $1,000) making it worth $11,000.  However, in the second year there was a negative global event that affected all of the major world markets, and at the date of your investment's second anniversary the S&P500 market index had decreased by -7%.  Because your investment is an Indexed Investment and you are guaranteed no lower than 0% interest, you didn't lose any money and your investment is still valued at $11,000 going into its third year.  In year three, the markets started to rebound, and the S&P500 market index went up 10% again.  As a result, your investment value also went up 10% (or $1,100 since your investment was worth $11,000 entering into the year) and your investment is now worth $12,100.  This compound interest crediting method continues for the life of the investment.  

It is important to note that most indexed annuity products also have a cap (or maximum amount) that the annuity can be credited annually as well.  So, if in this example the annuity you have chosen has a cap of 10% and the S&P500 goes up by 14% that year, then the most you would be credited is 10% (or the cap amount).  So for these annuities (and there are some that don't have a cap) you don't get the full growth-potential that the index may offer, but you also don't have any of the loss-potential that the index also offers.  

The above example is very simple indeed, but the premise is sound.  No matter which index you choose (based upon what is available to you through your investment) or the crediting strategy you choose (also based upon what's available to you) the result is that indexed products can often outperform other investments because they do not lose their principal and (unless you've chosen an interest crediting strategy with a management fee which is higher than the investment performance for that year) they do not lose the money they've gained.  

In addition to not wanting to lose money, we also don't want to put money into investments that underperform compared to other options in the same category.  As a result, Dynamic Life Financial is always on the lookout for the highest-performing indexed investments. As such, our growth investment partners must have products with forecasts and strategies that result in above-average performance (we typically do not promote products with less-than-7% annual crediting forecasts).  Tie this together with flexibility and various added benefits (such as lifetime income, terminal illness riders, and inflation-based increases), and you are looking at a fantastic option to diversify any investment portfolio.

It is so easy to just let an IRA plan (such as a 401(k) or 403(b)) go dormant once you've left an employer.  But don't let this happen to you!  With a direct rollover, you will not be taxed (or pay fees) on the transfer to a new account and Dynamic Life Financial will introduce you to financial products that will help you keep your money working and earning interest just as hard as you worked to earn it in the first place.  And if your investments are losing money or seem to be earning interest at a snail's pace, then we'll help you understand what's happening and give you options that can help get your investment back on track.