My wife and I cashed out the ROTH, 401 and 403. We bought five rentals and GROSS 12% on the investment. We have over 75% of the debt paid off. My wife quit her jor two years ago and I work part-time. We do are our repairs. Too easy..not sure we more folks don’t do this. Not to mention the great tax advantages and we don’t have to pay into Social secuity!
Are investments ALL just a scam?”
Although it may feel that way, all investments are not a scam. Think about it, you are in 5 investments right now that you really like! Yes, they are in real estate, but they are investments.
The best way to go is to adhere to a philosophy of diversification. Don’t put too many of your eggs in one basket. The reason for this is that if anything negative happens to the sector or industry in which you have invested, you’ll be insulated from the impact somewhat.
If you don’t diversify, you run the risk of having everything crumble.
My advice: now that you’ve built up a nice rental portfolio (nice job, by the way), you should consider diversifying into other types of investments. And yes, there are many legitimate investments out there.
Mr. Bennett is a Certified Financial Planner™ professional (CFP®), Chartered Financial Consultant (ChFC®), Accredited Investment Fiduciary™ (AIF®) and Managing Partner of c5 Wealth Management, LLC. He holds a Master of Science in Finance (MSF) with Honors from Indiana University – Kelley School of Business and a BA from the University of Florida. He is currently pursuing his PhD in Economics from SMC University. Mr. Bennett has completed the Advest Institute’s advanced program on portfolio analytics and behavioral finance at Harvard University.
He was recently recognized by Washingtonian Magazine as a Top Financial Advisor and Kiplinger’s Personal Finance Magazine, the Journal of Accountancy and the American Bar Association Journal as Who’s Who of Virginia Certified Financial Planner™ professionals. In addition, he has also been recently selected by the Consumers’ Research Council of America as one of “America’s Best Financial Planners”. He is a current contributor to the Rydex Advisor Benchmarking Index. He is quoted often in the press, has been featured on CNNRadio.com and has contributed to various publications such as U.S. News and World Report, Boomerater.com, Advisor Today, Dow Jones News, Financial Advisor Magazine, Financial Planning Magazine, Investment News, The Washington Business Journal and The Washington Times.
If you have a questions about investing, financial planning, retirement, entrepreneurship, executive benefits and insurance (life, disability, long-term care, etc.) you’d like for Paul to answer, just use the online form. The help is free.
Source: Are All Investments Just a Scam?