Beware of the Words “Always” and “Never”

When it comes to finance, there are very few absolutes. If you’ve ever heard someone say that you should “never” buy a certain product — or, conversely, you should “always” have XYZ in your portfolio — it’s a good idea to look at that advice with a highly skeptical eye. Or going the other way, has someone ever told you that “XYZ financial product always works for everyone, no matter who you are!” Well, I’m here to tell you that there’s virtually no case where either of those words of advice are true.

Financial instruments — stocks, bonds, annuities, CDs, mutual funds, etc. — are really just tools, designed to perform one or more specific functions, with the goal of helping you achieve certain financial goals. When used in the right circumstances, they may work very well; when used incorrectly, they can be a real burden.

In this week’s edition of Lucia Capital Group Weekly, “Professor” Rick Plum provides some insight on what you may want to consider before buying (or getting rid of) any financial product, and why you may want to avoid the absolutes of “always” and “never.”

Important Information:

The information provided should not be considered specific tax, legal, or investment advice and is not specific to any individual’s personal circumstances. To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.

No client or prospective client should assume that the presentation (or any component thereof) serves as the receipt of, or a substitute for, personalized advice from LCG or from any other investment professional.

You should always seek counsel of the appropriate advisor prior to making any investment decision. All investments are subject to risk including the loss of principal. This material was gathered from sources believed to be reliable, however, its accuracy cannot be guaranteed.

These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable—we cannot assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice.

The information contained herein does not constitute an offer to sell or a solicitation of an offer to buy securities. Investment products described herein may not be offered for sale in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful or prohibited by the specific offering documentation.

Rick Plum is a registered representative with, and securities and advisory services offered through LPL Financial, a registered investment advisor and member FINRA/SIPC. The investment professionals are affiliated with LPL Financial and are conducting business using the name Lucia Capital Group, a separate entity from LPL Financial.

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