Ep 46: Rebalancing Your Portfolio: Why, How & Complexities to Overcome

Ep 46: Rebalancing Your Portfolio: Why, How & Complexities to Overcome

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The Smart Take:

Control risk? Buy low and sell high? Higher returns? Who doesn’t all of these in their portfolio! And that’s what portfolio rebalancing can do.

While rebalancing sounds simple in theory it quickly gets complex in practice. Hear Kevin describe rebalancing from the simple to complex and the emotional hurdles to overcome as well. Be sure you or your advisor is taking advantage of the high-probability benefits rebalancing is expected to add to your net investment returns when done right.

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4:32 – What Is Rebalancing And Why Is It Important?

7:37 – Historical Data

9:47 – Problems With Rebalancing

16:43 – Examples Of Complications


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The Host:

Kevin Kroskey – AboutContact


Intro:                                     Welcome to Retire Smarter with Kevin Kroskey. Find answers to your toughest questions and get educated about the financial world. It’s time to Retire Smarter.

Walter Storholt:                Well, hello, and welcome to another edition of Retire Smarter with Kevin Kroskey. I’m Walter Storeholt. Kevin is the president and wealth advisor at True Wealth Design, serving you in Northeast Ohio with offices in Akron and Canfield. You can find us online by going to Truewealthdesign.com. Kevin, great to be with you once again this week. We are continuing to watch the markets. We’ve got a lot of good things to talk about on today’s show. How’s life in the Kroskey household at the moment?

Kevin Kroskey:                  Oh, we’re holding down. I may have shared this before, but I’ll do it again. But, my wife and I, since we go back and forth to Ohio and Florida, we always debated, if we did homeschooling, we would have a lot of flexibility and really wouldn’t have to be bound by the school year. And, we came to the conclusion that we’re just not the homeschooling type. It’s not for us. And my wife has certainly affirmed that belief that we had over the last couple of weeks. It’s just a lot. We’re good in general. We had, a neighbor gave away a little kitchenette set, a playset for kids and we didn’t have one. We were the happy recipients of that. My girls are playing the water store, and I asked my daughter, what is the water store? What does that mean? Water store? Yeah. I was like,

Walter Storholt:                She’s trading commodities already?

Kevin Kroskey:                  Apparently,  maybe we should have told her to pick up some oil here the other day. Right, Walter.

Walter Storholt:                That’s all right. Exactly. A little play tanker, you know?

Kevin Kroskey:                  Yes. As long as she has room for storage. The, water store is it’s surprising they do more than water. They actually do tea and coffee and, and Gatorade. But water is a common ingredient. And my daughter explained to me and then I threw a curveball, and I let her know that I said, well when you go number two that’s actually mostly water as well. She gave me a certain look, and my wife algave me a certain look, and it just really took a bad turn from there. But, my wife reminds me of my sarcasm is going to come back to bite me as my daughter gets older here in the not too distant future.

Walter Storholt:                That’s pretty funny, though. The water store, she’s a little entrepreneur already, and that’s great to hear. I think I could actually see that being a great name for a coffee shop or a place that does tea and drinks and that thing. The Water Store, It was like the watering hole or something.

Kevin Kroskey:                  I suppose that’s true. We’re holding up well. We certainly continue to be busy, but things have obviously calmed down. We’re recording this on April 21st. Things have calmed down in the investment markets. Certainly, we’re still in a serious situation, medically speaking and, we’re starting to get these plans for phased, reopening of the economies and what have you. all that is, is good. One of the things I, I realized in the last several episodes, I’ve been relistening to what I’ve been talking about and, being our own biggest critics, just seeing what I said and how I felt about it. Now, weeks later and, we’ll probably do a bit of a Redux, in a look back here in the not too distant future about some of these things.

Kevin Kroskey:                  And I look at the timeline, a little bit of crisis leadership perhaps. But one of the things I realized when I was listening to myself, was that I kept talking about rebalancing and we need to be doing that. And we’ve certainly done a lot of it, particularly in late March. But I really didn’t go into that in great detail, and it’s one of those things where it sounds simple in theory, but it quickly can get more complicated, and there’s alsome emotional hurdles. I figured we would really dive into that today and explore it and start at the high level but dig into some details as well. how’s that sound, Walter?

Walter Storholt:                It’s the new buzzword, right? Diversification has always been sort of the big buzz word in the financial realm. And I feel like rebalancing has supplanted it, at least for a little while here, while we’ve had the market, near a bottom and, fluctuating and going through some volatility. yeah, rebalancing feels like a good time to get some full definition and clarity on that word.

Kevin Kroskey:                  Alright, sounds good. I’ll dive in. The important thing to keep in mind is, Hey, what is it? And then why is it important? what is it? Simply put, if you assume that you have your money and say 50% of the money’s in stocks and 50% of it’s in bonds, and you just have two mutual funds, a stock mutual fund, and a bond mutual fund, the soup stocks went down by 20% and maybe bonds went up by about 10%, our 50/50 stock/bond starting portfolio now ends up to be a 42% stock and 58% bond. Rebalancing would go ahead and just bring it back into that 50/50 alignment. You’re going to sell the bonds and buy the stocks. It starts out to be simple, but again, it kinda quickly gets more complex.

Kevin Kroskey:                  we’ll dig into some of those details. But why is it important? First and foremost, it’s really a method to go ahead and control risk in your portfolio. Before we got into this early 2020, the market had generally been up for more than a decade. if you say, if you started out investing, say inherited a bunch of money in early 2009 and you bought the same simple 50/50 stock and bond portfolio, two mutual funds and you didn’t do any rebalancing, you just bought it, set it and forget it for ten years. I didn’t run the numbers before the podcast, but ultimately you would have drifted much, much higher in terms of your stock allocation. Maybe somewhere on the order of 70% or 75% purely speculating there.

Kevin Kroskey:                  But that is a, is that’s a very, very different portfolio than having a 50/50 stock and bond portfolio. rebalancing, again, it’s just, I’d say a first order of controlling risk. Again, everything that we talked about here on the Retire Smarter podcast is really built around the concept of retirement planning. A big portion of that is not only the retirement planning itself, but then the retirement income generation, the distribution planning, and we’ve always talked and preached about how the investments need to be married back to the financial plan we talked about over the last episodes, how none of our client’s money over the next few years is in stocks, it’s in bonds, and it’s in higher quality bonds if you think about it in a sort of time segmented approach. All those ideas are, they’re basically matching your assets back to, to meet your cash flows, your liabilities, and you have to make sure that they match up appropriately.

Kevin Kroskey:                  You know, if you’re trying to match, paying your mortgage, or you’re living your lifestyle next month with a stock investment, that’s a mismatch. And again, controlling risk is really the first-order priority here of why rebalancing makes the most sense. Secondly, what you actually find in the evidence, if you look back on a historical basis, is when you do this, it creates this forced process of buying low and selling high. The example that I started with the 50/50 stock and bond portfolio, you had stocks going down to 42% of the portfolio after having a 20% decline. And I said, okay, they’ve certainly just got cheaper, right? They caused me a lot of pain. It didn’t feel good, going down, but they’ve gotten cheaper than what they were.

Kevin Kroskey:                  A basic rule of investing is to buy low and sell high. The bonds went up in value. You want to sell the thing that had done well and buy the thing that I did poorly. And if you do that consistently in a disciplined fashion, what the evidence shows over time there tends to be what the academics call rebalancing bonus. Rather than just having a set and forget it portfolio where you don’t rebalance if you do this, forced rebalancing process, this discipline process where again, the first order is you’re controlling risks, but you’re forcing yourself into buying low and selling high. And I’ve seen studies that show that this rebalancing bonus could be around an order of like a half a percent per year. Now it’s not going to show up every single year. Oftentimes in years like we’re going through now in 2020, you’re probably going to see a very significant rebalancing bonus.

Kevin Kroskey:                  And in fact, we already are in March, but it shows up over time. When I said 50% or half percent, but basically it’s a half a percent per year. If round numbers, if we have a million-dollar portfolio, half a percent is meaning that that rebalancing bonus is going to add about $5,000 per year to our portfolio. And of course with the way that the math works with investments is that compounds over time. That could be larger, again, very important, but the first order is we got to make sure that we control risks to go ahead and in the context of retirement planning, make our plan work, minimize any sort of risk of we’re not going to be able to meet our goals or have to cut back on our lifestyle, things along those lines. Those are the two predominant reasons why rebalancing is important.

Kevin Kroskey:                  And I, again, I gave that simple example, but some of the problems with it are that it sounds easy in theory that 50/50 example that I gave sounds easy. Okay, I’m going to sell this one fund and buy the other one when it went down in value. But it quickly gets complicated in real life, and it’s oftentimes difficult to emotionally do. Walter, I’m just curious, I’ll put you on the spot here if you don’t mind. When you look back in March, yourself, you’re a very forward-thinking, immature millennial, you’re in the wealth-building phase, but you yourself, did you do anything different to your portfolio through the month of March?

Walter Storholt:                Not really personally, just because I’ve got such a long time horizon to retirement. I just let my accounts continue to buy on the days that they normally do with automatic investing in everything. And I tried not to, but I was tempted more to buy more during that time. But, no, I didn’t really change my behavior at all, although I was sweating a little bit about it. I did stop checking the account values.

Kevin Kroskey:                  That’s not a bad thing. In your systematic investing, what I would say, probably a retirement plan, are you predominantly stocks? Are you entirely stocks, or are there some bonds in there as well?

Walter Storholt:                Definitely heavy stocks, very aggressive.

Kevin Kroskey:                  Okay. You basically had stocks whenever going through the uncertainty that we had in March, pretty much everything went down in a uniform fashion. And if you are all stocks, there’s probably not much of a rebalancing to do. If, however, you had some bonds in the portfolio and you certainly had some different behaviors between stocks and particularly high-quality bonds, then that, that’s that perfect example of what I gave in terms of, Hey, stocks went down a lot, high-quality bonds held up in value. We need to really execute this disciplined process of rebalancing. Maybe you are a bad example, but thank you for playing the game. Nonetheless. Walter.

Walter Storholt:                I did help my parents look at what was going on in their portfolio cause obviously they had a lot of worries about what was happening and them being much closer to retirement. And it was interesting to see they definitely have a much broader stock versus bond, relationship in their accounts. And it was interesting to see that the bonds had actually gone up in value. And I was like, see, and it’s not all bad news. You’ve actually had some things go up during, during this time. That was an eye-opener for them because I think the layperson here’s my portfolio was down X amount, and you don’t realize that within there are pieces of that account that may actually do pretty well. It was an interesting educational experience when this market is like melting down to actually see things that had a positive return over that short period of time.

Kevin Kroskey:                  No, that’s great. That’s very observant and wise of you to do that. When you have stocks go down, I’ll continue with the same example, but 20%, and if we, again, round numbers say we had a million dollars starting out, and half of that money is in stocks, we have 500,000 in stocks. Well if it goes down by 20%, that’s, that’s a hundred thousand dollar decrease in the stock value. Now again, bonds appreciated, but they didn’t go up nearly as much as stocks. While it sounds easy, like, Oh yeah, I want to buy low and sell high. If you just, what we’re basically saying though is, the thing that just caused you to lose a hundred thousand dollars, we want you to buy more of that and be happy about it because we’re buying low and selling high. It’s like one of those things.

Walter Storholt:                I can get there emotionally, even though I didn’t really have to make that choice, I can get there emotionally, and that would be a hard trigger to pull.

Kevin Kroskey:                  Yeah. It’s one of those things where sometimes, there’s this knowing and doing gap, I know to be healthy, I need to go ahead and eat well and exercise, in practice, I try to be pretty healthy, and I think I’m generally happy with that. But, it’s not easy to always be disciplined and do those things. And I think that’s probably the example that almost everybody can relate to. Maybe, some of these people with just like this super fast metabolism that I envy much. But, very little repercussions from bad diet, or poor exercise. But I digress. Whenever you have this, and we know what to do, we know you want to buy low and sell high, but to do it, particularly at a time like the month of March where everything was doom and gloom, and it was the first time that we were really experiencing the lockdown that we experienced and here in the US anyway.

Kevin Kroskey:                  And it was scary. It was palpable. You could feel it, and to go ahead and do that, it was difficult. I’m sure for a lot of people, and I’m sure a lot of people didn’t do it. I can tell you in 2008, there’s a lot of people that not only didn’t rebalance, but they cashed out, and it took them years, maybe even a decade to get back in, into the stock market. The emotionality is, is very real. And that’s why frankly, it’s part of the reason why people hire us to, and there’s some objectivity there. And we can go ahead and just be more rigorous, be more disciplined, be more objective and go ahead and execute when we need to, particularly under times of duress as we’ve recently been. I think we all need to be aware and just because maybe I’m more informed than most when it comes to this.

Kevin Kroskey:                  It doesn’t mean that I’m not completely precluded from having that, emotional feelings as well. I think the education certainly can go ahead and help counterbalance this. Personally, I tend to be low on the emotional and empathy scale and pretty high on the reason and accountability scale. And I think that probably works well during times like this and particularly as it relates to rebalancing. But you can pull the trigger because you know that it’s the right thing to do. It’s going to work out again, particularly in the Coronavirus, at some point. The economy is going to be resumed a normal here, and we get a vaccine, and things are largely going to be back to normal. Certainly, the world’s going to be forever changed to and shift to varying degrees.

Kevin Kroskey:                  We’ll discover down the road. But it is sort of time-bound like I’ve said in prior episodes as well. When you think about that, for me anyway, that was very helpful in terms of making sure that I do stick to the plan and do execute the plan and do have that discipline process of buying low and selling high. But if you’re not a client or if you have an advisor or you’re doing this yourself, just think back. Did you do it? Did you go ahead and sell bonds and buy stocks in March of this year where you’re able to do it in 2008 we got 12-13 years apart here between these two episodes. We have some real-life examples here of whether or not you’re really able to execute.

Kevin Kroskey:                  And I think you have to have that healthy reflection on whether you’re not really able to go ahead and do it. Again, the problems, it sounds easy in theory, it can get difficult to do emotionally, just like the diet and exercise. And then it can quickly get complicated. And I’ll give a few examples of that. When we started out in this simple two fund portfolio, 50% stocks and 50% bonds, you one fund for each of those. Well, nobody has that portfolio by and large. When you look at our average client has about three or four accounts with us. They might have a Roth account, they might have a regular IRA account for them and their spouse. Maybe there’s a joint or a trust account, we have some clients probably have about eight accounts, but around three or four is about the average.

Kevin Kroskey:                  And not only do you have multiple accounts, but you have more than just two funds. You may have ten funds to comprise your beautifully diversified portfolio. That’s constructed with science-based principles. Now you have ten funds, not two, and now you have three different accounts. Say, well, are you going to buy all those same ten funds in each of those accounts? If you do it right, you’re probably not. There are different tax ramifications. We’ve talked about what we call asset location in the past where a first you figure out what you want to own, your asset allocation, but then you figure out where you want to own them, or your asset location. Typically speaking, you’re going to put very tax-efficient US equities in your joint account and your trust account.

Kevin Kroskey:                  You’re going to put the really tax-inefficient slower growth stuff in your IRA that’s going to come out and be fully taxed. At some point, you’re going to put your, your high growth, but tax less tax efficient things in your Roth account you can try to maximize that tax-free growth.  In simple form, that’s really the asset location and where the rebalancing bonus found that you can add about a half percent per year and increased the annualized return, that asset location depending on your tax bracket and your time horizon can offer similar benefits. Studies have found that it could be another half percent net returns. Those are two big things that we have a lot of control over. One rebalancing, two asset location. We can’t predict what the market’s going to do next month.

Kevin Kroskey:                  Certainly couldn’t predict the Coronavirus was going to happen or that there was going to be indiscriminate selling in the middle of March or some of the things that have happened since then that these are things that we have a lot of control over. They’re high probability, things that we can control, and things that have definitely shown out a lot of value. Certainly makes sense for people like us, Certified Financial Planners, our clients to focus on this and even deal with the complexity. But just make it be simple as possible so clients can understand what we’re doing and why and how it benefits them. If I go back to this increasing complexity. Now we have, we have three accounts. We have the Roth we have in our IRA, and we have a trust account, and we’ve, we have ten different funds, but ultimately because of some of those differences, and it just doesn’t line up nice and neat.

Kevin Kroskey:                  We may have like 15 or 16 different holdings in those three accounts. Now, stocks go down, and some go down more than others maybe are, are you a small company stock fund went down and as it did, a lot more than the large US companies. And you start having all these different ranges of outcomes there. And now, let me layer on one other piece of complexity here. This is for anybody that does have one of these trust accounts or joint accounts where you get a 1099, and you have to pick up on your tax return every year. If you have an account like that, about 80% of our clients do, after stocks went down, a lot of those holdings were in a loss position. Walter, I’m sure you’ve heard of a concept called tax-loss harvesting before.

Walter Storholt:                Yes, definitely, I’m not gonna try and explain it, but I’ve heard of it.

Kevin Kroskey:                  Alright, I’ll jump back in here, Walter. Thanks, buddy. In short, you want to go ahead and sell something after it’s gone down you can book the tax loss, but you can’t buy it back within 30 days. You can buy it, but it has to be somewhat different. Now you have this other decision where you have to consider where if you just a U S large S&P 500 index fund, pretty easy to sell one index fund and then buy something that’s a little bit different. But it will pass the muster for being able to deduct the tax loss and going ahead and buying it.

Kevin Kroskey:                  But for other parts of the portfolio, it might not be as easy. Now we want to go ahead and book this tax loss. We can write-off up to $3,000 off our income come tax time. Plus, these funds, they’re going to kick off a fair amount of income in the form 1099 that you’re gonna receive next year. And part of the reason is, even though the losses are down, there’s certainly some turnover that’s happened. We’ll see how this is really going to play out. But the last several years has been a good amount of capital gains that have been distributed. There’s going to be some of that this year, a lot of these funds are going to have losses, but after your account goes down, you certainly don’t want to pay taxes on a loss.

Kevin Kroskey:                  And if you’re not doing some of this tax-loss selling, that is going to happen. Now I have to sell something in the joint account. I booked the loss there, but I can’t go ahead and buy back the same thing. Now I have to figure out what sort of substitute security do I want to buy. And sometimes you don’t have a good substitute, you have to figure out is it really worth it or not to go ahead and make that sale. Let me take a breath for a moment and do a brief recap. But we started out with a very simple example of like basically two funds, one a stock fund and a bond fund. And it was very easy to illustrate how Hey one goes down, you sell the other one, you buy low, sell high, and you know you do that over time.

Kevin Kroskey:                  It makes sense, and it works out. You control risk, and then you tend to get this rebalancing bonus. But now, when you look at it in practice, you say, okay, our average client is three or four accounts with us. We have say ten funds in our, in our preferred portfolio. But because there are these different account types and the different tax aspects of the accounts, we may end up with say like 16 different funds, and now each of them is moving a little bit differently. If we want to sell something for a loss, then we can’t buy back the same thing. And do we or do we not have a good substitute for going ahead and making the trade. Very quickly, it gets quite complex. And one final wrinkle that I’ll add in here is if you are rebalancing, how are you going to do it?

Kevin Kroskey:                  Is it enough if it goes down by 20%, or should it go only by 10%, or should you just do maybe on a calendar basis, say like quarterly or annually or something like that? Well, there was another study, by, this was a guy in 2007. He’s since passed, but he was a Ph.D., did a study on rebalancing and optimal rebalancing. Gobind Daryanani was his name. What found was that if you can just not do it on a calendar basis, but take a look every single day that the market’s open, that this daily market volatility really does present a good opportunity to enhance returns. And this is where he found that half percent rebalancing bonus per year. He said, if you do it daily and checking for daily, even if no rebalancing opportunity exists that basically you’re gonna have about another half percent increase in terms of the rebalancing bonus.

Kevin Kroskey:                  Again, much more complicated to do it on a daily basis, much more work. One, that’s what we’re here for as a financial planning wealth management firm. But you’re taking a look at it, and when you go through March, and you just saw some of the daily volatility, if we would have waited to say till the end of March to go ahead and rebalance, the last seven to 10 days or in March. It was pretty much straight up, in terms of returns, the market sold off quite a good bit in early March at the tail end of March. It really bounced up pretty strongly. And if we would’ve waited to the end of the month, we would have just missed a big portion of that. By buying, say, 5% more in a stock allocation and then having those stocks then rebound over the course of about a week or by about 15%.

Kevin Kroskey:                  It’s a 0.75% return to a client portfolio. If it’s a million-dollar portfolio, it’s 7,500 bucks. It sounds simple. It is a simple concept. But when you get into the actual application for a real-world client that has multiple accounts, multiple holdings, has some tax considerations and maybe a tax loss harvesting opportunity. And Oh, by the way, we need to pay attention to daily market volatility and not just do it on a, on a monthly or quarterly or annual basis to really get the biggest bang for our buck. It quickly gets quite complicated. If you have somebody that you’re paying as an advisor to go ahead and give you advice, and again, these are things that you have a lot of control over. These are process-oriented things where you look at the rebalancing bonus, you can go ahead, and I personally spend a lot of time programming our trading software, which we spend more than $50,000 a year on, to go ahead and do what we want to do.

Kevin Kroskey:                  And then we have to get in here, and then we have to implement it. And it’s not like you just click a button, and you do it. There’s a lot of tax considerations that we have to review. There’s a lot of judgments that we have to make in terms of well Hey is it really makes sense to go ahead and make this trade or not. The technology certainly has helped us, but there’s still a lot of manual work that really needs to be done to really get the most bang for our buck for our client.

Walter Storholt:                I’m really glad that you covered the frequency question because that was going to be my main comment was going to be. We have this possibility of doing it. I’ve always heard, make sure you rebalance once a year. That’s sort of the throw-away line. Make sure we were rebalancing once a year, and you’ll be good to go. But you’re saying that there’s much more opportunity out there that’s really not a very effective way to go about it and it really does that daily attention, and that’s a lot of value in somebody who’s keeping tabs on when those opportunities arise. Even though this one obviously with how big the market crash was a big flaming, red flag warning sign of, Hey, good rebalancing time. There are other more subtle things that happen throughout the year that you guys are keeping an eye out for.

Kevin Kroskey:                  Even if I go back to 2018, the market went down in the fourth quarter of 2018, about 20%, and then it quickly recovered. And I think the bottom day was like Christmas Eve. We had a client literally that year sold a business. And I had a few million dollars from it and had done quite well. Well, we invested the money in stocks. All those stocks were in the trust account. All the tax-inefficient stuff was in the IRA. But basically, we were able to save that client because the stocks had sold off much. We literally, and again we got lucky with the timing, but preparation is when luck meets opportunity and or wait, luck is when preparation, I screwed that up. Strike that reverse it.

Kevin Kroskey:                  I’m not immune to making a little faux pas here, but literally, we saved this client more than $200,000 on his tax bill and a real-life example, certainly it is atypical, but we’re doing this for everybody and the savings are real for everybody. These studies that I referenced about the rebalancing bonus and about a half percent per year or the asset location, the asset location doesn’t apply to everybody. And again, the higher tax bracket and the longer your time horizon, the more that that is going to apply, which a lot of our clients do fall into likely accruing significant benefits there. But literally just those two areas. That’s about 1% per year. If you’re paying your advisor 1% and they’re just doing those, just those two things and you’re likely to accrue benefits from those two things over time, and they should pay for themselves right there.

Kevin Kroskey:                  And frankly, they should be doing a lot more. Again, you can’t predict things, but these are the things that we have a lot of control over. This stuff does get complicated. Most firms don’t do this. Quite frankly, I talked to a lot of them. There’s a lot of complexity that’s in here. Most firms do just trade an account by account basis. They put a portfolio and all of those three accounts rather than, following these asset location qualities that I talked about because of the complexity that’s involved. It does get complex. One of the reasons why I’m doing this today is just trying to explain to clients some of the things that we’re doing. Give them a view, behind the scenes, starting out, Hey, why is this important? Again, we want to control risk. We do want to have this forced buy, low sell, high process. That’s the executive summary. But then we have a lot of engineers, that like some details as well. And when we peel back the onion a little bit, what seems very simple, as with a lot of things in life tends to be quickly, increasingly, complex and it’s required a lot of our time, but these are the things that I don’t know if people pay us to do, but they pay us to worry about their money and make sure that their goals are going to be met and these are two of those things that we have a lot of control over and are likely to pay high dividends to our clients over time.

Walter Storholt:                Always underscores for me the fact that yes, rebalancing on its face sounds like a very simple concept, as you explained in sort of the first five minutes of today’s show. But then we see that as with anything, there’s more complexities and layers to it as we go on. And we can’t make any of these decisions in a vacuum. You can’t just say, okay, let’s rebalance, boom, it’s done. There are other things to consider, like the tax-loss harvesting, how it impacts the entire financial and retirement plans and future goals.

Walter Storholt:                And all those things come into account and into the equation and always love seeing how those things intertwine and how you get deeper and deeper into the situation. Kevin, a very interesting episode is always I feel a little bit smarter about retirement and about today’s show. If you’ve got questions like some of the ones that I had on today’s show or ones that we did not address when it comes to rebalancing and some of the other things that we discussed, never hesitate to reach out. You can do by calling (855) TWD-PLAN that’s (855) 893-7526 or go online to Truewealthdesign.com click on the are we right for you button and schedule your 15-minute call with an experienced financial advisor on the true wealth team. That’s Truewealthdesign.com, and we’ll put links and the contact info in the show notes of today’s show it’s easy to find and get in touch with.

Walter Storholt:                Kevin enjoyed the conversation this week. We’ll check in with you again next week for another update on where this crazy world is taking us and how to react to it. But thanks again for the fun. Lots of great info today.

Kevin Kroskey:                  All right, I’ll see if I can bring you something from a water store next week, Walter.

Walter Storholt:                Live from the water store. We will see if there’ll be launching any new products between now and then we’ll be interested in finding out that’s Kevin Kroskey, I’m Walter Storeholt. Much more coming up on the next edition of Retire Smarter. I hope you’ll join us. Thanks for listening.

Disclaimer:                          Information provided is for informational purposes only and does not constitute investment, tax or legal advice. Information is obtained from sources that are deemed to be reliable, but their accurateness and completeness cannot be guaranteed. All performance reference is historical and not an indication of future results. Benchmark indices are hypothetical and do not include any investment fees.