Do You Have a Portfolio or a Plan?

Financial Hour with Tom Dupree and Mike Johnson

Episode Highlights

Understanding Portfolios vs. Plans

  • A portfolio is simply a collection of investments (stocks, mutual funds, ETFs, bonds)
  • Having a portfolio doesn’t necessarily mean you have a financial plan
  • A single product (like an annuity or mutual fund) is not a portfolio

The Evolution of Retirement Planning

  • Modern retirement accounts (401ks, 403bs) have changed how people interact with investments
  • Many investors today are less hands-on compared to previous decades
  • Automatic deductions have made portfolio-building more passive

Key Components of Portfolio Construction

  • Each holding should serve a specific purpose
  • Portfolio construction is like a recipe – individual ingredients work together
  • Time itself shapes portfolios through market performance
  • Fund managers often handle construction for mutual funds and ETFs

Creating Your Financial Plan

Consider these key questions:

  • When will you need to spend the money?
  • What are your current spending habits?
  • What’s your savings rate?
  • When do you want to retire?
  • What’s your margin of safety?

Important Investment Insights

  • Don’t compare yourself to others – focus on your own goals
  • Market volatility impacts larger portfolios differently
  • Recent generous markets shouldn’t be assumed to continue
  • Short-term considerations can derail long-term plans

Dupree Financial Group’s Approach

  • Focus on dividend income portfolios
  • Balance between growth and income
  • Aim to reduce volatility while maintaining a steady income
  • Fiduciary responsibility to clients
  • Research driven by client needs

For more information or to schedule an appointment, call Dupree Financial Group at 859-233-0400 or visit dupreefinancial.com

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