Here’s crucial advice on safeguarding retirement assets against unpredictable occurrences from expert at ACCESS WEALTH Management
(Essex County, NJ, MARCH 13, 2025) — You’re retired (or close to retirement) and feel you have enough money to last the rest of your life – unless things get “crazy.”
So how do you protect against crazy?
“Retirement security isn’t just about having ‘enough’ — it’s about protecting that security when life gets unpredictable,” says Leo Chubinishvili, CFP, a financial advisor with the wealth management firm Access Wealth in East Hanover, NJ. “‘Crazy’ can mean anything: market crashes and economic downturns, inflation spikes, health events, family emergencies, global shocks, etc. Planning is required to build resilience in your financial well-being.”
He works with clients to “stress test” their retirement plan by running worst-case scenarios and adjusting strategies accordingly. This will help when it comes to:
- Maintaining Cash Reserves. The plan and stress test will uncover how much exactly to have in reserve, he says. For some it could be two years, and other three months of living expenses. The rule of thumb is about six months for someone that is retired.
- Diversification. It is necessary to reduce the risk of being exposed to one “crazy” event by balancing equities, bonds, cash and alternative investments.
- Tax efficiency and efficient withdrawal strategies. This becomes increasingly important when the unpredictable occur.
- Developing a long-term care plan. This is necessary as it constitutes a major cost for the retirees.
- Having a clear estate plan. Such a plan, he says, needs to be prepared well ahead of time.
“Having a fiduciary advisor for guidance is particularly critical at times like this,” he says. “The worst thing you can do is react emotionally and make decisions that you may come to regret. You want a professional in your corner.”
