Expert Article - Financial Advisor

COMMUNITY EXPERT - Financial Advisor PROTECT YOUR INVESTMENT ACCOUNTS AGAINST A FALLING MARKET!

by Dustin Smith, Black Swan Legacy Group

The financial industry is in the business of selling products, and very few accept responsibility for actively adjusting your accounts as the economy continues to shift and change. As a result, they love to sell you things like stocks, bonds, and mutual funds. A major problem with these sorts of investments is their pervasive lack of down-side protection. In other words, when the markets drop significantly, the overall value of your funds do as well. And since most advisors are not equipped to do anything to stop it, you just have to go along for the ride. This is what's referred to as "buy and hold" investing. You buy into an investment and hope the markets go up significantly more than they go down. When they do go down, you have to play catch-up to get back to where your account value once was, losing valuable time that could have been spent compounding the money you no longer have.

Conversely, institution-grade tactical management firms use artificial intelligence algorithms to enable your investment accounts to dynamically adjust themselves in response to the economy. The best ones are able to protect themselves when the markets drop, often pulling the money out automatically, or investing in something more stable, or, in some cases, even earning money while the markets drop! Their primary objective is to protect your money from massive declines, while generally outperforming the overall markets.

Up until the advent of the internet, only large institutional investors and the ultrawealthy would qualify to have their money managed this way. Everyone else had to put up with retail investments such as stocks, bonds, and mutual funds. Now those who don't have the previously-required multimillion-dollar account size are able to have their accounts managed like the big boys!