Talk to Us
Talk to Us

Consult an Agent


  • Why?
  • (please click only once)

  • * = required

     
Save Print

5 key planning principles to protect your family’s finances

No matter what the current economic situation is like, adhering to a few sound and well-practiced strategies will help you to prepare for the future; while your individual situation will always have its unique qualities, the following suggestions may prove useful as you review your family’s long-term plans.

Preserve your future assets

Whenever possible, you should try to preserve the assets and resources you’ve set aside for retirement; although you’re allowed to make withdrawals from these funds whenever you need to, early (i.e. before age 59½ for IRAs and similar plans) and frequent withdrawals will often bring costly taxes and penalties.

Since you can’t recoup the time you’ve invested , you’ll need to ensure that you can quickly replenish the lost funds; otherwise you may find yourself with fewer available assets when the market rebounds.

Maintain a diversified portfolio

The various types of financial products and asset classes — life insurance, savings accounts, CDs, annuities, bonds and stocks — serve different objectives and perform differently in different economic climates, so it’s essential to maintain a broad selection of these assets in your portfolio. By combining insurance protection, asset allocation and investment management you can help reduce the impact of market fluctuations on your savings. Of course, diversification alone does not assure a profit or protect against market loss.

Don’t chase the latest financial or investment fads

Although it’s often tempting to invest in the newest or fastest growing assets, it’s important to take the time to regularly review your strategies with your financial professional to help ensure that your needs and objectives canbe met by these products. Naturally, if your current assets are secure and healthy, then it’s best to let them be; remember, what’s novel today may not always be what you need in ten, twenty, or even forty years from now.

Manage your risk carefully

Taking on too much risk when the markets are soaring (and everything looks safe) can often leave your exposed and vulnerable to a resulting decline. To protect your portfolio and ensure that your long-term investment goals are being met, you should balance the risks inherent in investment products with other financial assets that offer guaranteed income upon retirement (such as fixed annuities). No matter where you invest, though, you should always check the financial strength rating of the company you are buying from (any guarantees issued by an insurance company are based on their ability to pay claims effectively). Keep in mind that investment products have no guarantees, as they’re subject to market fluctuation.

Keep a long-term perspective on your financial future

Generally speaking, markets are cyclical: so rather than react to each swing of the market, it’s usually more effective to build a portfolio with an emphasis on long-term strategy is usually appropriate to stick with a carefully considered long-term strategy, particularly when it comes to your retirement and other long-range needs.

When you are a New York Life customer, you are not alone when it comes to planning for, and protecting, your family’s financial future. Consulting with a qualified financial professional is a good first step; you’ll want someone who’s knowledgeable about a number of insurance and financial products that have withstood the test of time and help meet your needs.

The Company You Keep

At New York Life we’re always ready to assist you in any way we can; our certified agents are just a click or a phone call away. Remember, when you work with New York Life, you can be confident that you’re working with individuals who follow the highest standards of professionalism and integrity, and who pride themselves first on their ability to help you and your family feel safe and secure.