I’m going to live to 100. Even if it kills me.
Talking 50
I recently turned 50. On the evening of my birthday, my wife and two sons wished me an ‘old-man’ happy birthday as we gathered for dinner. I responded, “It’s just the first 50. I’m getting a second. I’m going to live to 100. Even if it kills me.”
My 14- and 12-year-old boys take every shot they can at their old man. The competition between us generates plenty of good humor…and today I shot back.
“When I am 100, how old will you be?” I asked my 14-year-old.
The wheels started spinning.
“Sixty-four” he calculated. “Oh…………….Wow.”
Mr. Hot-shot-14-year-old just realized there is a point in time when we will both be old. I then imitated my son as a 64 year-old – still asking me for help in my best old man voice. A good laugh ensued. Papa can still put you in your place.
I’m not easing into my second 50. Health and fitness are a high priority and I am nowhere near perfect. Current medical studies are regularly concluding that “top-level” cardiovascular fitness is a top factor to make it to 100 and I’m a believer.
I’m doing what I can to stay fit and feel blessed that my kids enjoy similar activities. I enjoy big rides, big efforts and chasing these boys – it is not easy. I love it and I’m going to live to 100. Even if it kills me.
The Money Part:
It is obvious to also consider the financial requirements of making it to 100. Like health and fitness, it is not easy. For your money to make it to 100, you’re going to need “top-level” results.
Build your wealth, understand compounding effects, keep investment costs low, earn attractive returns, maximize tax deferred strategies, maintain a financial plan, monitor the markets, don’t blow up your portfolio…in short, do everything right.
High fee investment strategies with long-term returns of less than 5% are not the path for the 100-bounders – yet I worry a lot of folks are in the high fee / low return quadrant. Charts like the following are a valuable reminder of the difference between 3%, 5% and 7%.
It is worth noting that long-term annualized returns for the US Equity market hover around 10%*. Hence the value to get this trajectory right, early.
Could you lower your investment expenses by 0.5% to 1.0%?
Are you stuck in a low return portfolio?
Big down-side performance in 2022?
Bond portfolio underwater?
Optimizing your IRA to Roth Conversion?
Best,
Jon Fritzinger
Founder / CEO
Western Level Advisors LLC
Hello@westernlevel.com
About Western Level:
Western Level Advisors LLC is an independent Registered Investment Advisor. The firm provides investment management and long-term financial planning services for individuals. All services are provided on a fiduciary and fee-only basis. Western Level’s only purpose is to establish a clear pathway for each client to help them manage and compound their wealth.
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Chart: $1,000,000 single contribution, compounded annually,fixed interest rate, no variables.
https://www.investor.gov/financial-tools-calculators/calculators/compound-interest-calculator
*The 50-year average annualized return for the US Equitymarket is roughly 10%. Past performanceis no guarantee of future results. https://www.investopedia.com/ask/answers/042415/what-average-annual-return-sp-500.asp
Disclosures: Western Level Advisors LLC ("WLA") is a registered investment advisor The information provided in this commentary is intended to be informative and not intended to be advice relative to any investment or portfolio offered through WLA. The views expressed in this commentary reflect the opinion of the author based on data available as of the date this commentary was written and is subject to change without notice. This commentary is not a complete analysis of any sector, industry or security. This commentary is not intended to be a recommendation to buy or sell any investment. Please contact WLA with any questions regarding your accounts. The information provided in this commentary is not a solicitation for the investment management or other services offered by WLA. References incorporated into the commentary from third party sources are as of the date specified and are believed to be reliable. WLA is not responsible for errors in the third party data. Source information is provided under each chart. Additional disclosures are available at www.westernlevel.com.