Dear Friends and Clients,

The markets are volatile right now, which isn't surprising due to the extreme headlines. Many of you who have cash sitting on the sidelines may think this certainly is not a good time to invest. Is it?

There are ways to mitigate the risks of down markets. One is a strategy called dollar cost averaging. It is one way you can benefit from the volatility. By systematically adding to your account, either monthly, quarterly, or yearly, you are buying when stocks are high and low, giving your cost basis the benefit by buying more shares when the stock prices are down. As the market recovers, you have more shares going up.

It is simple but effective. That's one reason your 401k is so successful. It works well in these types of markets! If you are going into the market today, you could set it up to invest it in a few lump sums.This is one of those advantagous times. Something to think about.

Today's article offers a good way to think about your retirement planning.

To your Prosperity!

Aaron Wade, Kasey Claytor, Dawn Lopez, & Kelsey Bartholomew

What Could Go Wrong?

Avoiding Retirement Disaster by Using Inverted Thinking

We have a friend who, before making a major purchase, will google "problems with (name of item)." He's discovered that even the most highly rated products and services come with problems and trade-offs. Knowing what they are beforehand allows him to either plan for the problems or decide not to make the purchase at all.

While this kind of thinking seems a little pessimistic, it's a useful tool for avoiding future disaster.

It's a perspective known as inversion and it was famously used by Nobel physicist Richard Feynman to discover the cause of the 1986 Challenger space shuttle disaster. While other investigators were focused on what should have gone right with the launch systems, Feynman instead focused on what could have gone wrong. And then he tested it.

This approach helped Feynman identify the failure of the shuttle's O-rings, which lost their ability to seal in freezing temperatures.¹

The principle of inversion can be applied when planning any major event, from a family wedding to an extended trip to your retirement years.

As generally optimistic people, we naturally focus on the positive aspects of the thing we're eagerly anticipating. However, this positive mindset makes us prone to blind spots when it comes to potential problems. But when we can invert our thinking to identify the most likely problems, it makes them easier to avoid.

When thinking about retirement this means identifying the challenges you're almost certain to face and coming up with a plan well ahead of time to deal with them.

Here are a few we commonly see:

• Keeping consistent cash flow as your needs vary
• Getting hit with unexpected healthcare costs
• Leaving a tangled mess for your heirs



In each of these cases you can reasonably predict how a problem might affect someone in your situation and then prepare to avoid it (if possible) or deal with it without worrying. When you take this approach, you can turn potential disasters into situations you've planned for.

Your trusted advisor has helped many people through similar challenges and can use their expertise to help you prepare for your unique situation.

You should be looking forward to your retirement years. And planning ahead for challenges just means you'll be more likely to enjoy the kind of life you've been hoping for.

Sources:

1. https://www.kiplinger.com/retirement/retirement-planning/rule-of-retirement-inversion

Disclosure:

The views expressed herein are exclusively those of Efficient Advisors, LLC (‘EA’), and are not meant as investment advice and are subject to change. All charts and graphs are presented for informational and analytical purposes only. No chart or graph is intended to be used as a guide to investing. EA portfolios may contain specific securities that have been mentioned herein. EA makes no claim as to the suitability of these securities. Past performance is not a guarantee of future performance. Information contained herein is derived from sources we believe to be reliable, however, we do not represent that this information is complete or accurate and it should not be relied upon as such. All opinions expressed herein are subject to change without notice. This information is prepared for general information only. It does not have regard to the specific investment objectives, financial situation and the particular needs of any specific person who may receive this report. You should seek financial advice regarding the appropriateness of investing in any security or investment strategy discussed or recommended in this report and should understand that statements regarding future prospects may not be realized. You should note that security values may fluctuate and that each security’s price or value may rise or fall. Accordingly, investors may receive back less than originally invested. Investing in any security involves certain systematic risks including, but not limited to, market risk, interest-rate risk, inflation risk, and event risk. These risks are in addition to any unsystematic risks associated with particular investment styles or strategies.

Aaron M. Wade

President

Wealth Coach

Investment Advisor Representative

Kasey Claytor

Founder

Wealth Coach

Osprey Money Management LLC

An Investment Advisory Firm

321-383-4005

www.ospreywealthcoaching.com

Osprey Money Management LLC is a Registered Investment Advisory Firm registered within the State of Florida. We offer investment advice, portfolio management, and solutions.s.