Planning for Retirement with Ryan Krueger, CEO of Freedom Day Solutions

In this conversation, 7investing Lead Advisor Matthew Cochrane sits down with Ryan Krueger, the co-founder and CEO of Freedom Day Solutions, a family-owned and operated financial advisory firm located in Houston. Krueger believes that there are countless and confusing ways to plan for retirement. Even at their best, a withdrawal rate based on a projected return is a guess, sometimes based on just a little more than hopes and prayers.  

Krueger thinks there's a better way to plan for retirement, built around a portfolio of assets that pay income to the investor. Investors then realize their “Freedom Day” is when the cash flow coming in exceeds their costs (needs and wants) going out. To help investors reach this goal, Krueger has launched the Freedom Day Dividend ETF (NYSE:MBOX). The MBOX ticker is a tip of the hat to dividend checks that used to hit investors' mailboxes at regular intervals when invested in quality companies that paid dividends.  

The Freedom Day ETF is designed, as Krueger explains, to give investors growth of income, not growth or income. Krueger believes the ETF can accumulate a stable of quality companies that pay a rising dividend while avoiding many of the common pitfalls often associated with income investing, namely:   

1. Not investing in companies with the highest yields; 
2. Avoiding companies that nominally raise their dividends every year to please income investors; 
3. Not investing in companies with unsustainable payout ratios.  

Along the way, Cochrane and Krueger discuss several of MBOX's holdings, including EOG Resources (NYSE:EOG), Domino's Pizza (NYSE:DPZ), Broadcom (NASDAQ:AVGO), and Tractor Supply Co (NASDAQ:TSCO).  

Krueger can be found on Twitter @RyanKruegerROI and you can find more information on his advisory firm (and excellent blog) at freedomdaysolutions.com. For more information on the Freedom Day Dividend ETF, you can visit freedomdaydividend.com.