How Retirees Can Lose as the Gamification of Monte Carlo Analysis Proliferates

Who wouldn’t want a statistic indicating whether your accumulated wealth will support you throughout retirement across a randomized series of investment returns?  I certainly would!   And, in fact, I have a tool to provide this very indicator.  On the surface, this article seems to suggest that these statistics encourage retirees to chase a perfect score and thereby leave valuable money on the table to be distributed through their estates.  This money, the author argues, could be better spent on retirement experiences, for example, if optimizing your retirement is your primary goal.  But upon further reflection, this article supports one of my main philosophies: that clients should have access to information which can alert them to concerns or provide reassurance but that these tools are no substitute for proper financial planning.  Do-it-yourself investing and financial planning very-often leads to the kind of tunnel-vision that would result in the kind of perfection-seeking behaviours that the author warns against and would subsequently rob you of a fulfilling retirement.  It is only with regular, impartial reviews, that a professional like myself can remind you of the values you wish to pursue and provide additional context so that you can live up to your financial potential.

Let’s see how UPotential’s planning services can help you reach your potential.