The Rob Berger Show RBS 186: A Simple Way to Leave Your Financial Advisor to Invest On Your Own Without Fear (FQF)
Jan 20, 2025
Discover a straightforward strategy to move away from costly financial advisors! Learn how to compare TIPS ladders and BND funds for retirement spending. Explore the simplicity of bond ETFs versus the guaranteed values of ladders. Get insights on target date funds as a convenient investment option and how to tailor them to your risk tolerance. Plus, find out if you really need multiple investment accounts and how to use retirement software without the hassle of constant rebalancing. Financial freedom made simple!
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Transition Gradually Before Firing Your Advisor
- Hire a low-cost advisor to guide your transition before firing your expensive advisor.
- Use them to set up accounts, a simple portfolio, and a withdrawal plan so you can go it alone without panic.
BND vs TIPS: Different Protections And Trade-Offs
- Vanguard's BND holds government, agency, and investment-grade corporate bonds but contains no TIPS exposure.
- A TIPS ladder protects purchasing power but is more work; ETFs are simpler and often sufficient for many investors.
Use A Ladder For Predictable, Inflation‑Protected Cash
- Build a rolling bond or TIPS ladder if you want guaranteed maturities and inflation protection for planned spending.
- Use ladders for funds you intend to spend at maturity and ETFs for simpler, broadly diversified bond exposure.