It
has been said that risk increases the rate of return. My experience
tells me that risk increases the probability of ZERO return and risk
increases the probability of a loss of some of my capital.
The
New Millennium saw the close of the year 2000 with the market
down
across the board, with the S&P 500 down, the Dow Jones
Industrial Average down, and the bottom fell out of the NASDAQ,
claiming $3.3
trillion, a 53% decline in 301 days.
The
tough decision, "when to sell to lock in a gain" is out
stressed only by the tougher decision, "when to sell to cut a
loss". In the market, on the BIG BOARD, we know, all too
well, that our money is at risk from the very day that we buy,
until the
day... correction, until the hour, correction, until the very
moment we sell. Not only is our capital at risk, obviously,
our gain, be
there any, is also at risk. So, how do we lock in a gain on
the Big Board?
SELL!
How does one know when to sell? That is a tough decision! So
tough
only a few master it. Every time there is a market crash, or
said more diplomatically, every time there is a major correction,
some
do not survive their attempt to brave the storm. Obviously,
a major correction can only occur after some, and normally substantial,
gain
in the market. For most, the opportunity to profit is lost.
Why? Because we often fail to recognize the opportunity to sell
and profit, or
we procrastinate in the face of the tough decision. Yes! When
to sell is a "Tough Decision"! When to sell and cut a loss; another
'Tough Decision"!
So
you missed the great opportunity; perhaps a once in a lifetime opportunity
to cash in really big...the market has made the big correction. Is
it time to sell and cut your loss? That is a tough decision!
Tough
Decisions often result in procrastination. To procrastinate is to
weather out the storm and risk the perils of financial ruin. The Big
Board is swift and decisive with no remorse. So how do you survive
the crippling storm? How does one measure their tolerance to loss?
Well,
one suggestion is to realistically weigh your ability to recover.
In doing so, place emphasis on the Rule of 100. To employ the Rule
of 100, simply subtract your age from 100 and the difference is the
maximum (not the least) percentage of your net worth that should be
exposed to risk, while at all times maintaining an investment balance
wheel of stability or a safety net to your investment portfolio.
Tax
deferred annuities have always provided a safety net for an investment
portfolio. Today Equity Indexed Annuities not only offer a safety
net to an investment portfolio, Equity Indexed Annuities remove the
stress of making the tough decision.
Why
battle the storm when you can take the EIA flight to safety? With
Equity Indexed Annuities, like El Toro Bravo, you can weather any
financial storm, participate in the Lion's share of the market growth,
with none of the risks of the market.
You
can have:
-
Your
gains credited and compounding annually without triggering 1099s.
-
Your
money and your gains protected from market risk.
-
An
annual reset on the U.S. Stock Market index every policy anniversary,
from which the following year's gain will be measured; which has
a similar effect of selling when the market is up and re-buying
when the market is down, without requiring the wisdom or knowledge
when to place a buy or sell order.
-
A
special peace of mind.
The
Equity Annuity is your Life Line! Isn't it time that you come in out
of a world wide crippling storm? I thought so.
So...
You Like Bungee Jumping On Wall Street? Annuities can provide a balance
wheel of stability or a safety net to an investment portfolio.
Now
you can have traditional tax deferred interest-bearing annuities, or
equity indexed annuities that index or link the interest rate to the
U.S. Stock Market Indexes. It does not have to be one or the other,
you can have both tax deferred.
Equity
Indexed Annuities let you participate in the Lion's share of the growth
of the market index, with your gains (interest) credited and compounding
annually tax deferred. Your money and your gains, once credited, are
not subject to market risk…now that's peace of mind!
More
helpful, free information is available from ANBC at www.ANBC.com
where you can also register for a free trip for two to Hawaii. Your
source code is: Pekin Daily Times.
