New financial products available

Everyone knows  that interest  rates have been  extremely low for over 3-4 years.  It's part of  the the Federal Reserve Banks plan to "help the  economy". Even with the  slight  increase in interest rate in the past week or so it is still almost impossible to  earn a decent yet safe rate of  return on  our
money.

Did  you  know  that it is possible to obtain a 6% guaranteed interest rate on a 96 month financial product. There are minimum purchase amounts of $40,000 - 60,000 with a maximumum of approximately $250,000. These are not liquid but you do  receive monthly payments including but some return of principal and  interest. Payments are level  throughout the 8 year term. The interest rate is guaranteed at time of issue and payment of the contract. There is also a high  degree of  safety with this type of contract. This is what I would consider a Safe Money product with no stock market risk. They are compatible  with a ROTH or Traditional IRA or can be used with non qualified money as well.

I think it is good  to  know that a reasonable Bank alternative is available today.  Why would anyone  want  to put that amount of money in a bank anyway?

What Happens to Bonds When Interest Rates Rise?

This  weekend an interesting  article appeard in the  Columbus Dispatch in the business  section. It was  titled "Bond-Lovers still buying despite risk, stock highs." In a recent month investors put $32 Billion into Bond  Mutual Funds.  This becomes a potential issue when interest rates are at all time record lows.  Do  you  think that interest rates one, three  or five years from now will be lower  or higher than  they  are  today?  Can they  get much lower?  Can they get much higher?  Is there  upside interest rate risk?  What happens to  existing values when  rates are rising?  Simple economics answers that question.   Existing prices fall when interest rate rise. The article  further states "With Bond prices rising and interest yields at historic lows the risk has picked up significantly"  The article is  worth  reading!

When customers wish to minimize their risks  Safe Money products might be a logical part of a financial portfolio.  Asset diversification is always very important.

Did you know that there are products that can guarantee lifetime income without any market risk?

I'm not telling anyone  to  buy  something or  to  sell  anything.  I'm just sharing  a nice article worth  reading.

2009 Bank Closures now at 74

Two more banks have been closed down by the Federal regulators. This is a sign of continuing financial difficulties and the need for smart savers to implements Safer Money Financial Strategies. Colonial Bank is a medium size bank with about $25 B in assets. This represents the largest bank to be closed this year. The other institution was a small Savings and Loan in PA.
In addition to this bad banking news all of the major indexes ended the week with a loss. The S&P finished the week down by 0.85%, the Dow ended down by 0.82% and the NASDAQ ended the week down by 1.19%

Considering the continuation of bad financial news does it make sense to take some portion of your financial assets and position them so you are protected form all mark risk but still get some upside market potential. Contact us to find out how to accomplish both of these things without assuming any market risk.

Visit the website for more information at www.columbusfinancialplanningpros.com

or our e-mail at

polarisfinancialservices@gmail.com

Women on their own struggling financially

A recent study on women and finance from the Consumer Federation of America reported the following facts.
-Women heading households have only half the income of families headed by males or couples. $22K vs $43K. Not really a surprise since many couples have 2 incomes.
-Women headed households also have only 1/3 of the family assets compared to the overall average for all US households. Also not entirely surprising since lower income means less disposable income.
-What is somewhat disturbing is that 1/3 of women headed households are not saving for retirement. This is a critical mistake.
-Another finding is that almost 25% of all families have no retirement program or plan whatsoever.

Whatever the amount every family needs to be saving something for their future. There are some retirement plans that permit small starting contributions and allow small regular additional deposits.

We may be able to help! Contact us to find out how!
website www.columbusfinancialplanningpros.com
email polarisfinancialservices@live.com

Have we passed the worst of this drop in the markets.

Have we passed through the worst of the market doldrums?
Unfortunately no one knows for sure whether we hit bottom in November or if we are in a dead bear bounce rally. History shows us that you cannot time the exact bottom. What I will say is this. When the markets collapsed almost 40 percent the common investor took more of a beating than they needed to take. They had too much money at risk of market declines! There is an answer which can protect you from market risk and let you participate in market growth whenever that turnaround happens! That's what Safer Money Financial Advisors recommend. Everyone over age 35-45 should have some percentage of their assets allocated in this manner!

Markets that can drop 40 % in a matter of weeks are not safe places for the bulk of your financial assets. The recent 25 % upturn is a good thing but it does not guarantee you will not see another 25 % or greater downturn in the near future. Furthermore all of the bragging about the 25 % upturn ignores the fact that even if we add another 25% upside bump that you probably are still not even with where you were in September 2008. Do the math a 100 start point drop 40% leaves you with just 60 getting you back to 100 (your start point takes a 68% jump from the bottom.

Instead take some portion of your assets and allocate them so you are truly protected from both market risk and inflation risk. The result is that when the markets go south you do not loose and when the markets start going up you will realize some of but not all of the market gains. For most individuals this is a superior financial strategy for asset diversification and it is something we would be glad to help you implement with a portion of your fiscal assets.

These products may not be right for everyone. A suitability review will be conducted when we get to talk about your specific situation. However consider the alternatives. You are left to the whims of the market and its downturns or you use treasuries, or Bank CD's which protects principal but leaves you with inflation risk. Our alternative on the other hand beats bank CD rates, typically will beat inflation rates, and will give you the upside potential while protecting you from market risk.

The Columbus Dispatch: How Low Can Stocks Go? Article

Thursday October 9th Lead article in the Columbus dispatch was an article titled "How Low Can They Go?" The bad news is that they could go a lot lower before they correct and start to recover. Recoveries usually take longer than market collapses. The average Bear Market has lasted 16 months and an average decline of 31%. The great depression recovery took over ten years and the tech bubble / Sept 11 drop recovery took over 4 years to recover. We are now back close to that level again.

The good news is if you are interested we can eliminate your downside market risk! We can do it while protecting you principal and giving you upside market potential whenever the market recovers! Depending on your state of residence, your age and financial situation we can guarantee no loss due to market risk or as much as 7.2% per year increase in Income Account Value.

How do you win? One great way is to protect yourself from the downside risk. Make sure you participate in the upside market recovery. WE CAN HELP YOU DO THAT!!! We CAN DO IT SAFELY!! We specialize in No Market Risk Financial strategies! Still accepting some new clients.

How can we help you meet your goals?

www.columbusfinancialplanningpros.com
polarisfinacialservices@gmail.com

Safe Money and Safe Money Places

We were reading industry finance information and found a really interesting web Site. We decided to share it with you our readers. It is http://www.safemoneyplaces.com/default.asp
It talks about the concept of Safe Money defining it as money you cannot afford to loose and the places where you should consider holding your safe money assets. It basically identifies three major categories and the advantages and disadvantages of each. The three broad types of safe money products identified are, Insured Deposits in FDIC Insured Banks or S&L Associations, Treasury Securities, and Fixed or Fixed Indexed Annuities. It talks about the levels of protection each entails including FDIC Insurance, Taxing power of the US Government and the State Insurance Guaranty funds. All three are identified as very secure places for your funds.

Of the three the one which probably can deliver the greatest rate of growth is the top Fixed Indexed Annuity products. None of our clients have ever lost even one dollar of their money to market risk while those funds were under our care.

We can help you to meet your twin goals of safety of principal and optimum growth rates.

How can we help you Grow your assets?

www.columbusfinancialplanningpros.com
polarisfinancialservices@gmail.com

Indexes hit 5 year lows.

All three major indexes reached 5 years lows. S&P 500 index and the Dow Jones Industrials have fallen too the level not seen since October of 2003. The S&P 500 sunk to 984 and the Dow fell to 9258. The Nasdaq has fallen to 1740 this is the level it was at in September of 2003. This is almost the level of the days following 9-11.

Are you tired of the Roller Coaster? How can we help you ??

polarisfinancialservices@gmail.com
www.columbusfinancialplanningpros.com