The famous investor Warren Buffet once said, “it is only once the tide goes out that we see who has been swimming naked”.
Well, the tide has gone out in global markets and some investors have been left well and truly “exposed”.
Events over the last month reveal that when fear takes over, and there is a full-blown panic, there is nowhere to hide.
These recent events highlight the importance of knowing, and understanding, where your superannuation is invested. It is of paramount importance that your Superannuation – your retirement savings – are invested in line with your tolerance for risk. It is no good soaking up excess returns as markets are going up, only to find that you have given back more than you can afford to lose once markets inevitably return to their lower long-term averages.
If you are relying on your superannuation to fund your retirement then it is absolutely crucial that you invest your funds in accordance with your time-frame, your age, and your tolerance for risk.
If you would like a no obligation review of your current superannuation investments, please call John Kalachian at Fortis Financial Planning on 9267 0108.
