Rockport Wealth - Truth in Investing Show - February 2, 2026

Looking for insights into building your financial future? Listen to the Rockport Wealth Truth in Investing Show as Joe Kovach, Adam Stalnaker, and Jon Arnold share their perspectives on wealth management, financial planning, and today’s markets

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Episode Transcript

Speaker 1 (00:00):
Rockport Wealth LLC, doing business as Rockport Wealth Advisors and J.
Arnold Wealth Management, is an investment advisor registered with the
SEC and only transacts business in states where the firm
is properly registered. Registration as an investment advisor is not
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not mean that the advisor has attained.

Speaker 2 (00:16):
A particular skill or ability.

Speaker 1 (00:18):
Rockport Wealth compensates this radio station for airing the Rockport
Wealth Truth and Investing Show. Ron Verb is a paid
moderator of this program and not a client of the firm.
No guarantees of performance or success can be inferred from
this individual's endorsement on behalf of the advisor. Information presented
on this program is believed to be factual and up-to-date,
but we do not guarantee its accuracy, and it should
not be regarded as a complete analysis of.

Speaker 3 (00:37):
The subjects discussed.

Speaker 1 (00:39):
Discussions should not be construed as an offer to buy
or sell or a solicitation of an offer to buy
or sell the investments mentioned. information provided is not intended
as tax or legal advice and should not be relied
on as such a professional advisor should be consulted before
implementing any of the strategies discussed all investment strategies have
the potential for profit or loss investments involve varying degrees
of risk and there can be no assurance that any

(01:00):
specific investment or strategy will be suitable or profitable for
a client's portfolio historical performance returns for investment indexes or
strategies usually do not deduct transaction or custodial charges or
advisory fees which would reduce investors' returns. Today's radio show
is sponsored and paid for by Rockport Wealth LLC, an
investment advisor registered with the Securities and Exchange Commission. Rockport
Wealth Advisors is located in Fairview Park in Youngstown, Ohio.

(01:22):
Visit our website to review our disclosure documents or call 330-965-9890.
Andrew Smith, CPA, is a paid solicitor for Rockport Wealth
LLC and receives compensation from Rockport for investor referrals and
is compensated for tax preparation for certain Rockport clients.

Speaker 2 (01:36):
And from NewsRadio 570 WKBN and Sir Ron Verb, it's
time now. For the Rockport Wealth Truth in Investing program
here on NewsRadio 570 WKBN. And it's always nice to
have certified financial planners with us and fiduciaries. You heard
me right. Certified financial planners and fiduciaries that join us.

(01:57):
And they are Joe Kovach, who's with us, and Adam Stalnaker.
And they are with Rockport Wealth Advisors, which you'll find
right here at 7227 Glenwood Avenue in Boardman. 7227 Glenwood
Avenue in Boardman. I'll give you the phone number for
the office locally here.

Speaker 3 (02:14):
330-965-9890.

Speaker 2 (02:14):
330-965-9890 is our phone number. So call the office to
learn more about Joe and Adam's comprehensive approach and services
with the longest introduction I think I've done in a
while out of the way. Joe, hello.

Speaker 4 (02:33):
Hey, back and better never to be.

Speaker 3 (02:36):
Glad to be here. This is good. You need to
take a breath there. I don't know if you took
a breath there, Ron.

Speaker 2 (02:41):
I'm just glad.

Speaker 4 (02:42):
I think it's the heat wave we're having that caused
him to.

Speaker 2 (02:46):
Yeah, that's the heat wave. I'm just glad you guys
survived the snowstorm.

Speaker 3 (02:52):
We did. Well, we're a little bit more equipped. You
guys actually got more snow. You did, yeah. How did
you guys survive?

Speaker 2 (02:59):
Nothing but sheer manhood on my part. I just want
you to know that. It's not easy. Well, let's talk
about things that are going on that might be a
little more pleasant than all the snow and the cold
weather that we're having. Joe and Adam, let's talk a
little bit about the stock markets. Get the latest update
as we record here on Wednesday, January 28th. And some

(03:21):
thoughts about the markets.

Speaker 3 (03:24):
Yeah.

Speaker 4 (03:24):
So, you know, the beat rolls on here. Bring some
stats into play here. Through Friday the 23rd, you know,
we'll just kind of take it week by week. S &
P 500 up 1.5% for the year. Dow up a
little over 2%. NASDAQ up a little over 1%. The

(03:45):
big winner in the index category this year is the
Russell 2000, which is small caps, up 7%. And then
our old friends gold and silver that are really dominating
the headlines. Gold up about a little over 15%, silver
up over 40%.

Speaker 2 (04:04):
Well, let me pick your brain a little on all
of this. Now, first and foremost, when you say up
is good, so, you know, when you say S &
P up 1.53%, I mean, not an exciting number, but
certainly good that it's up, right? Is that a safe
conclusion on my part?

Speaker 3 (04:23):
Sure, sure.

Speaker 4 (04:24):
And I think we kind of said that maybe last
show even. It's like if I said to somebody, hey,
you're going to get 1.5% per month out of the
stock market, I think there.

Speaker 3 (04:34):
Would be a lot of happy people. It's a pretty
darn good year.

Speaker 4 (04:36):
I think there would be a lot of happy people.
I mean, and obviously we know that doesn't happen. It's
never a straight line.

Speaker 3 (04:41):
I wish it would be nice if it did.

Speaker 4 (04:43):
But, you know, amazingly, we've had a couple of questions like,
what's wrong with the market? And the answer is nothing.
It's doing what markets do, right?

Speaker 2 (04:55):
I didn't ask you that yet. But the thing that
always makes me– I guess I would say nervous is
when you see gold going up and I'm just curious,
both of your reactions to that, when it gets to
how expensive it is per ounce, because I always was
under the impression people go, there is somewhat of what

(05:15):
it's got the perception of a safe Harbor during troubling times.
It does.

Speaker 3 (05:20):
It does.

Speaker 4 (05:21):
And I think that plays a role in this whole thing.
And I think that I think momentum builds on itself.
It doesn't matter what the asset class is. If something
goes up, people want more of it. And if it
goes down, they want nothing.

Speaker 3 (05:35):
To do with it.

Speaker 4 (05:35):
I always go back to my favorite example. If you
walk into Walmart and toilet paper is 20% off, you
load up. If stocks go down 20%, nobody wants them.
Gold is up more than a double in the last
12 months.

Speaker 3 (05:51):
Hey, give me more of that.

Speaker 4 (05:53):
You know, it's got to keep on going. Silver is
even more believable. We had some people like, oh, is
it time to get into silver?

Speaker 3 (05:57):
Yeah. It's like, no. October of last year. Was last time. Exactly.
What was the word we learned last week, Ron? Parabolic. Remember?

Speaker 4 (06:05):
The parabolic chart, right? That goes straight up like a
rocket ship, right?

Speaker 2 (06:09):
Right.

Speaker 4 (06:11):
That's what we've been dealing with in precious metals.

Speaker 2 (06:15):
Joe, I kind of get it with gold, I would say,
because it's just something that's been around for a while.
Like I say, people would invest in it, they felt,
for numerous reasons. Silver, on the other hand, wasn't viewed
that way, and so it was relatively inexpensive. What is
the as we see silver going up like that, I mean,

(06:38):
what's the reasoning behind that? I mean, is it because
of the need for it when it comes to this
technology that we have? I mean, what's behind that, in
your opinion?

Speaker 3 (06:49):
I think that's one of the major pieces, right, is
we talk about AI, you know, and industrial demand and
electronic solar, you know, and, you know, I guess it's
a combination of a safe haven asset, too. So if
you add in the safe haven part of it, And
the uses of it now, I think you've got why

(07:10):
it's being drawn up. I mean, it's just, as we've
talked about AI stocks, AI stocks, AI stocks, and it's
all the other pieces around it too, right? We've talked
about energy that's gone up because of the use of it.
And then you've got to build these things, right? So
what are the components? And And I think that's where
silver has come into play a little bit more than

(07:32):
it has kind of in the past.

Speaker 4 (07:35):
It's one of my biggest concerns regarding all this, and
I'm not saying this is going to happen, but it
could tie back to stocks. It could tie back to
a lot of things. Whenever something goes, there's this word again, parabolic.

Speaker 2 (07:50):
Well, you love dropping those big words anymore, doesn't he, Adam?

Speaker 3 (07:53):
Well, I was hoping that he would come up with
a new one.

Speaker 2 (07:55):
I don't.

Speaker 3 (07:55):
I'm trying to improve my vocabulary.

Speaker 4 (07:57):
My story's broke. I was looking for one. But bottom line,
when you have a chart that goes straight up, the
biggest concern I always hear on that, and it doesn't
really matter necessarily what it is, but my concern becomes,
is an institution going to get caught on the wrong
side of that? In other words, somebody is out there
shorting silver. I'm not talking people like us. I'm talking

(08:19):
big institutions, right? And if this thing keeps going north
on them, keeps going up, they're going to get liquidated, right?
And you're starting to kind of get into territory where
this could become an issue. The issue becomes if they
get liquidated on a silver short that they've been shorting,
they may have to jump into the market and sell
stocks to cover their loss on the silver side or

(08:43):
something like that.

Speaker 3 (08:44):
So We've seen that. When was that?

Speaker 4 (08:46):
Uh, boy, it goes back to, um, it's happened several times.
It wasn't with gold and silver. I'm trying to remember
what it was.

Speaker 3 (08:51):
Uh, there was, I feel like there was a stock
out there and I can't remember. Maybe we'll, we'll remember
as the show goes on.

Speaker 4 (08:57):
Like a game stop, you know, when that was all
going on.

Speaker 3 (08:59):
Yeah.

Speaker 4 (09:00):
You know, so it's like, you know, there's always somebody
on the other side of the trade.

Speaker 3 (09:05):
Right.

Speaker 4 (09:05):
And it, precious metals are no different than anything else.
And if somebody is betting that this thing's going to
go down and they keep on betting and betting and
betting against it, and it keeps going the other direction,
they may get liquidated. They may have to sell other
assets to cover their losses in that. So I'm not
saying this is going to happen, but I'm saying this
is the type environment where that type situation can occur
because you've had something, an asset that's moved up a

(09:28):
tremendous amount in.

Speaker 3 (09:29):
A short period of time.

Speaker 4 (09:30):
So, you know, we'll take that for what it's worth
right now. Hopefully that doesn't come into play But if
you start to see extra volatility, maybe around stocks, right
now it's just not there. I mean, the stock market
is just not crazy volatile.

Speaker 3 (09:45):
It really isn't. We had the one down day.

Speaker 4 (09:49):
Pretty significant right after Martin Luther King Day, down a
little over 2%. But by and large, take gold and
silver out of it for a second, even stocks.

Speaker 3 (10:00):
Right?

Speaker 4 (10:00):
You know, energy stocks are up 11% this year. Materials
up 10. Surprisingly to me, consumer staples are up 7%.
That one kind of, you know, makes me wonder a
little bit, scratch my head. But industrials are up, you know, 6%
or so. Tech's up a few percent. You know, the
laggards Well, hang.

Speaker 2 (10:21):
On a second. Why does consumer staples being up make
you scratch your head?

Speaker 4 (10:26):
Well, because it's not the environment where you think they
would thrive, right? We're in a declining inflation, a higher growth,
an interest rate reduction or reducing environment. And that's typically
not an environment where staples do really well or utilities
or dividend payers.

Speaker 3 (10:45):
So..

Speaker 2 (10:46):
Because it's usually like.

Speaker 3 (10:47):
Growth down, inflation up.

Speaker 2 (10:50):
Watch this one, Adam. I think I'm going to make
an intelligent point for a change. Yes, get ready, Adam.
When you're talking about utilities, I had some callers on
the program that were telling me how natural gas prices
are soaring because of how cold a winter it is
and the demand that's out there.

Speaker 4 (11:11):
Yeah, and that, you know, That really, really, natural gas
really spiked in the last week.

Speaker 2 (11:17):
Right.

Speaker 4 (11:17):
Now, when something spikes, just remember, it can come down
real quick. A couple of sunny days, a little bit
of warmth and something like that can come. Yeah.

Speaker 2 (11:28):
But I just watch this, Adam. I just want to
make sure that these natural gas prices weren't parabolic.

Speaker 4 (11:34):
I did go parabolic in a short period of time.

Speaker 2 (11:38):
Yeah.

Speaker 4 (11:38):
I mean, Adam's going to look it up right now
on the pricing, but you're right. I mean, that's a good,
that's a good call, Ron. I mean, it really, um,
kind of like right when this cold spell started, maybe
even a little before that, they started to ramp up
and really got, you know, cause you watch the news
like we all do. It's, it's, this isn't just a
Youngstown Cleveland problem with the cold. This is, engulfing a

(11:58):
good half of the country, right? So we're looking at
a chart right now.

Speaker 3 (12:02):
I brought this chart up.

Speaker 4 (12:03):
Natural gas, it went from 5 to 30 in like
a day and a half or two days. I think
that is. We'll send you that chart, Ron, so.

Speaker 3 (12:13):
You can check that out. And then you'll know what
we're talking about.

Speaker 4 (12:15):
But point being, I mean, if it can go up
that quick, you better believe it can come down that quick.

Speaker 2 (12:20):
Could you let Adam just one time use the big word?
Did you have to rain on his parade?

Speaker 3 (12:26):
I'm going to come up with my own for the
next episode, and I'm going to use it like 35,
40 times.

Speaker 4 (12:30):
I've only used it.

Speaker 3 (12:32):
Three times today. Yeah, so far. People are going to
make this show into a drinking game around parabolic.

Speaker 2 (12:39):
But when I look at when you talk about consumer staples,
I said it to you on previous shows, it's something
we all need. We've got to buy this stuff. And
when you look at some of the prices that are
going up for electricity and And natural gas, it's going
to be a high priority. We're going to probably sacrifice
somewhere else if we have to for the sake of

(13:01):
the things that are necessities in our household.

Speaker 3 (13:04):
Yeah.

Speaker 4 (13:05):
And I think there's where you separate the stocks from
the reality, right? I mean, what you're saying is 100% true.
But when you look at the stock market environment we're in,
which we call the Quad One, okay? A Quad One
is what? Inflation declining and growth going up. historically, that's
just not been the right environment for staple stocks, for

(13:27):
utility stocks, for dividend-paying stocks. It doesn't mean they go
down necessarily. It just means they maybe lag everything else.
So when I was getting it, when I said that
I'm surprised that one's up 7% this year, yeah, I mean,
it just doesn't really fit the environment we're in. But
anything can happen. We know that. We've seen this before. So,
you know, as you're building your portfolio, we've talked about
it a million times, right, diversification, right? You know, it's

(13:50):
okay to own some staples. It just wouldn't be something
you want to necessarily, you know, overweight or something like that.
And I think the concern we have right now is
it seems like everybody's just asking about wanting to overweight
gold and silver. Adam, I'm getting that.

Speaker 3 (14:06):
I mean, we're getting calls and emails. Yeah, I'm at it.

Speaker 4 (14:12):
That makes things, you know, stay diversified. You know, a
lot of our models have gold in it.

Speaker 3 (14:19):
Okay, great.

Speaker 4 (14:21):
It's a piece. It's not the whole thing.

Speaker 2 (14:24):
And you mentioned stayed diversified, which is a great comment
on that. But what was that old cliche that I've
always heard all my life? It was, let's see, sell
high and buy low. So I'm just thinking, Adam, sell high,
buy low. That's the old cliche. And when you're talking

(14:46):
about people asking about gold and silver, it would seem
that that would be the opposite of that old cliche.

Speaker 3 (14:53):
Well, they're hoping to buy high and sell higher. Yeah. Right.

Speaker 2 (14:56):
Oh, you created a new one. I did.

Speaker 3 (14:59):
I did. That's a tough one though.

Speaker 1 (15:01):
It is.

Speaker 4 (15:01):
Right. Cause then you start chasing and you're nine times
out of 10, you're going to get burned.

Speaker 3 (15:07):
Chasing's not allowed.

Speaker 2 (15:09):
Exactly.

Speaker 4 (15:09):
I mean, but that's what, unfortunately that's what the media
kind of, kind of pushes everybody towards when you watch
the news programs and, You.

Speaker 3 (15:17):
Know, if you've got to get your portfolio in gold,
you've got to get in silver. Okay, have a piece
of it. That's fine. But don't put half your money
into it.

Speaker 4 (15:24):
I mean, we had a day, I believe it was
Monday of this week, where silver, SLV is the symbol,
if you're trying to track the price of silver.

Speaker 3 (15:36):
It opened at $ 99.

Speaker 4 (15:37):
It hit a high of $ 106 and then closed at $ 98.
I mean, that doesn't sound like a big deal. That's
like almost a.

Speaker 3 (15:46):
Swing intraday.

Speaker 4 (15:49):
These are becoming volatile asset classes here.

Speaker 3 (15:52):
They really are.

Speaker 4 (15:52):
I mean, these things are starting to move in ways
that get a little bit concerning to me. And again,
they may keep going higher.

Speaker 3 (15:58):
I don't know. We'll see.

Speaker 4 (15:59):
I mean, when you get a mania going and the
media climbs onto these things, they can keep on going
for a lot longer than anybody might imagine.

Speaker 3 (16:08):
But I can tell you this.

Speaker 4 (16:11):
When they decide to come down, because everything always does
at some point in time, it could be really painful,
especially if you got in late.

Speaker 2 (16:18):
It reminds me of like when we're talking about, when
you say buy high, sell higher, reminds me, when we're
talking about gold and silver, it reminds me of NVIDIA
as well, when the stock was soaring and it got
a lot of attention. And same philosophy, people would be
buying high and hoping to sell higher. Same thing with Fedstock.

Speaker 3 (16:43):
Go ahead. No, I was just going to say you
brought up GameStop earlier, too. I'm not going to say
that this is the same thing, but I think what
people need to worry about is if they buy it
at a certain price, like people were buying GameStop as
it was going up, and it went up a little
bit more, but then it crashed back down. And if
this goes back down to where silver's kind of at

(17:06):
a normal level, Could be pretty far down. You could, yeah.
And we're not saying that that's going to happen, but
it's just something people need to be careful of as
they look to add these precious metals to their portfolios.

Speaker 2 (17:22):
Here's a term that I must say I've never heard,
and it's a term called melt-up. Melt-up. Tell me what
that term means, and then if we're in a melt-up.
I've never heard that used before. Yeah, yeah.

Speaker 4 (17:39):
I mean, I think a lot of people are familiar
with meltdown, right?

Speaker 3 (17:43):
Makes sense, right?

Speaker 2 (17:47):
In my case, I'm more used to a nervous breakdown, not.

Speaker 3 (17:50):
Necessarily a meltdown. We all have those.

Speaker 4 (17:54):
But no, I think it kind of goes back to
a little bit what we've talked about in the past, Ron, about,
and you make the comment all the time, volatility can
be up or down, right?

Speaker 3 (18:02):
Right.

Speaker 4 (18:03):
And I think a lot of people just associate volatility
with the downside. Well, sometimes momentum just kind of carries
through on itself. And again, it's happening right now with
gold and silver. There's no question. That doesn't mean it's
going to end tomorrow. It could go for months. Who
knows these things when they get when they get momentum
and there's positive energy there. That's what a melt up is.

Speaker 3 (18:24):
Right.

Speaker 4 (18:24):
It's like, just get me into it at any cost.

Speaker 3 (18:27):
I don't care.

Speaker 2 (18:28):
Right.

Speaker 4 (18:28):
I got to get in on this. NVIDIA had a,
you know, its own little melt up period for a
long period of time. It's last three months. It's kind
of gone almost nowhere.

Speaker 3 (18:35):
Right.

Speaker 4 (18:36):
But but that's all melt up is it's kind of
a it's a psychological thing somewhat, you know, a fear
of missing out thing. You know, the word you hear
out bannered about is FOMO. You know, it's like, oh,
I got to have some of that. I mean, when
we start getting. And this does happen, you know, 80
year old, maybe widows calling us saying I got to
have NVIDIA. I got to have that in my portfolio.

(18:59):
They don't even really know what it is necessarily. Most
likely they may, but they just know they got to
have it because everybody else has it. And it's been
going up and everybody tells you how much money they're
making and so forth. So a melt up, are we
in one? I would say stock market wise, no. As
a whole, is there asset classes that could be? Clearly

(19:20):
the metals concern me in that category a little bit,
but again, they can go a lot longer than you
might imagine in these things. So it's, you know, there's
a lot of optimism around gold and silver. You're hearing
a lot of comments like that's the place to be.
They're not going to go down again. Here's why, because
the world, you know, blah, blah, blah.

Speaker 3 (19:37):
It's, you know, I.

Speaker 4 (19:41):
Think those are the ones I would watch out for. Standard,
you know, stocks, the ones we talk about, the sectors
and so forth. I think the stock market has been
incredibly resilient. Think about just in the last maybe 10
days since we kind of had that down day right
after Martin.

Speaker 3 (19:59):
Luther King Day.

Speaker 4 (20:00):
And all of a sudden the world was coming to
an end because, oh, we had Greenland and we had
what's going on in Minnesota. And then Powell was going
to be indicted, right? We had all these three things
kind of converging on that same day, all those headlines.
And then poof, it was one day and we kind
of went right back on our horse. And lo and behold,
as of yesterday, we're at new highs in the S &
P as of Tuesday the 27th. So, you know, the

(20:22):
market is powered through a lot.

Speaker 3 (20:24):
Of events here.

Speaker 4 (20:26):
But I think the good news is it's not, like
I said, when we give the number, it's 1.5% as
of last week for the S & P. I don't
call that a melt-up. I think that's kind of more
normal growth. You've had some up days, some down days.
They've washed out. We're not having a 7%, 8%, 10%
month here, right? And I think that's something to keep
in mind. So I think stocks in general, yeah, they're expensive, okay?

(20:50):
There's no question about that. I mean, we have elevated
valuations right now. But elevated valuations do not in themselves
cause stocks to go down. It usually takes a triggering
event of some type. So look at a couple of
the big indicators, right? The Buffett indicator, which is total
market cap of all stocks to GDP gross domestic product,

(21:11):
it's at an all-time high, to 225, 2.25. The highest
reading prior to that was really back in right before
late 21.

Speaker 3 (21:25):
Right?

Speaker 4 (21:26):
And we all know what happened in 22. And I'm
not saying that's going to happen again, but when valuations
get stretched, stocks tend to come back to the mean, right?
Shiller PE ratio, price to earnings ratio, right? 41. That's
the only time it's ever been higher was real early
in 2000. Not saying that's coming again. I'm just saying

(21:46):
that the market is not cheap right now. So that
means maybe gains slow down. you know, it kind of
feels like the market's going nowhere to a lot of
people right now, even though it might be up one
and a half percent on the S & P. But,
you know, I think that's kind of more normal behavior
if you want to call it a slowdown. And what's
happened is that the MAG7 stocks, right, the ones that

(22:07):
we all talk about all the time, Apple, NVIDIA, Microsoft, Alphabet, Amazon, Meta,
you name it, they've really, really slowed down in the
last several months for sure. So I think that As
we go through, you know, and by the way, them
slowing down is a byproduct of their net income slowing down.

(22:28):
So when you look at the aggregate net income of
those magnificent seven names, you know, it was.

Speaker 3 (22:36):
Or so back in 2023.

Speaker 4 (22:38):
It's now as of December of 25, only about 20%
net income.

Speaker 3 (22:41):
So what?

Speaker 4 (22:41):
They're making less money. Could be more expenses are involved, right?
Inflation affects everything. Could be any number of things. But
the bottom line is they're not making as much money
as they were a couple years ago. So that just
by nature means the stocks will probably slow down somewhat.

(23:03):
Doesn't mean they're crashing. Doesn't mean they're going to go negative,
all that. But they're not going to be the layups
that they were as you look back two or three
years ago. So a lot of things are at play here,
and I think a lot of it speaks to– being
active with your strategies. And we've talked about this so

(23:25):
many times, right? If you're an indexer right now, you're
up one and a half percent on the S & P, right?
And we've talked about how much those magnificent seven stocks
represent in that index. It's 37, 38% of that index.
So you're basically just buying those names. But you need
a firm that can help you maneuver your money in

(23:48):
a way to where the growth areas are, right?

Speaker 3 (23:52):
What have we talked about in the past?

Speaker 4 (23:53):
What have we added? Mexico, right? There's one that not
a lot of people were looking at. It's done very
well since we've got into it a few months ago.
It's certainly- But you got to look creative.

Speaker 3 (24:06):
You do. You have to think outside the box a
little bit. Because I think a lot of people look
at the same things. And if you are just an
S & P 500 investor, you've done well, right? Ultimately.
But Yeah, I think what Joe says is when it
comes down to the MAG-7 that's propped you up, it's
not a bad thing to still own those. Oh, you

(24:28):
need them. You can't expect to get the same return
that you did in the past. So what else is
out there? Right, right.

Speaker 4 (24:35):
And that's where you start to look at other high
growth areas we've looked at, right?

Speaker 3 (24:38):
Space is one of them. We've started to put that
into the portfolios a little bit. other countries. Yeah. Right.

Speaker 4 (24:44):
These are all areas that you need to look at.
And yeah, we've got the mag seven in there. You know,
we've got the triple Q's and all the things that
everybody owns because you got to have some of those.

Speaker 3 (24:54):
You do. There's still good companies. Yeah.

Speaker 4 (24:56):
Good, profitable companies. Right. This isn't the year 2000 with Pets.com.

Speaker 3 (25:01):
It wasn't even real.

Speaker 4 (25:02):
Right.

Speaker 3 (25:02):
There's there's money. Right. There's a lot of money involved. Not,
you know, guy just created a. com and all of
a sudden.

Speaker 4 (25:10):
Quadrupled his money or 10-bagger in one day. These are
real companies. They're just slowing down. They're maturing, I think
is a good word for it. Yeah, I agree. Again,
if you're a home gamer out there, you've got to
look outside the box a little bit. Don't just go
back to the same old strategies that have worked in
the last five to 10 years. Don't go to penny stocks.

(25:32):
Don't look for that. Small stock price that you think
can go up, you're gambling. It's small for a reason.

Speaker 3 (25:40):
Yeah, you're gambling. Yeah. So don't do that. Yeah.

Speaker 4 (25:42):
Got that, Ron?

Speaker 2 (25:43):
I got it all. I think as you were talking,
I was thinking about consumer confidence, and there seemed to
be mixed signals on it. And I don't know how
much that affects things, but there's people who are optimistic
about the golden age in 2026. and people that are
pessimistic because inflation is still very much there on a
lot of the necessities that they need, whether that's car

(26:06):
insurance or home insurance or still in groceries and those
kind of areas. It's just mixed signals, I suspect, based
on where you are economically when it comes to consumer confidence.
Do you get that, Reid? Right.

Speaker 4 (26:18):
Yeah, probably not a bad thing either, right? I mean,
you want to have– I always get nervous. It doesn't
matter what the statistic is when everybody's on one side
of the house.

Speaker 3 (26:27):
Right. That's where I get nervous.

Speaker 4 (26:29):
If you've got split processes, split thought processes out there,
you know, some are real confident in what's going on
and some aren't. That's probably a good thing.

Speaker 3 (26:39):
It's balance. Right.

Speaker 4 (26:40):
I mean, I get concerned with, oh, gosh, this is good.
It's going to be the biggest stock market year ever.

Speaker 3 (26:45):
We've got the 85-year-old grandma calling up and saying, I
need some high-growth stock.

Speaker 4 (26:50):
Yeah, yeah.

Speaker 2 (26:50):
Hang on a second, Joe and Adam. I want you
to keep that thought in mind. I want to pick
up with that thought. I find it interesting. And if
you're looking for trusted financial guidance, contact Joe and Adam
at Rockport Wealth Advisors by calling the office at 330-965-9890.
Rockport Wealth Truth and Investing Program. Back in a minute.
From NewsRadio 570 WKBN, this is the Rockport Wealth Truth

(27:12):
and Investing Program. And it features Joe Kovach, certified financial
planner and fiduciary, and Adam Stalnaker, also certified financial planner
and fiduciary. They are Rockport Wealth Advisors, and their office
is located in Boardman at 7227 Glenwood Avenue. The phone
number for the office is 330-965-9890, 330-965-9890. And Joe and

(27:40):
Adam help clients build personalized financial plans. So call the
office to learn more. Personalized Financial Plans at 330-965-9890 is
the number for Joe and Adam and Rockport Wealth right
there on Glenwood Avenue in Boardman. So keep that in mind.
That's how you can connect with Joe and Adam directly

(28:01):
by calling the office and talk about your unique situation.
All right, so with Joe Kovach and Adam Stalnaker, we
are talking a little bit here on this segment whether
or not it's a stock picker's market or still index only.
We were having a conversation about that, and I'd like
you to pick it up there, Joe.

Speaker 4 (28:20):
Yeah, Adam was just talking about, you know, I think
the last comment you had just made was about the
calls we get saying, you know, I need to be
in gold.

Speaker 3 (28:30):
I need to be in NVIDIA.

Speaker 4 (28:31):
You know, you get these people who may be It
doesn't fit their plan.

Speaker 3 (28:35):
Right. Right.

Speaker 4 (28:36):
And they're they're they're saying, hey, I've got to I've
got to get this because my friends have it. And,
you know, I need to be a part of this.

Speaker 3 (28:43):
Yeah, I do. Right. Even though they may not know
what it is.

Speaker 4 (28:45):
But, you know, we kind of revisit the part we
talked about previously was looking outside the box. Right. Don't
you know, it's OK to have somebody running an index fund.

Speaker 2 (28:58):
Right.

Speaker 3 (28:58):
A lot of people have where they have it mostly
in 401ks.

Speaker 4 (29:01):
Right.

Speaker 3 (29:01):
You put money in all the time. It's probably the
best thing for them in that. Like we we we
have a lot of people say, hey, can you look
at my 401k options and help me put together with
the options that are there these days? It's the target
date fund or an index that probably be best. Yeah.
you're not going to build something anymore. Like back in
the day, you used to have all these options. Back

(29:22):
in the day, yeah.

Speaker 4 (29:23):
But I think too many companies got sued because somebody
was chasing. Well, they had sector funds in there.

Speaker 3 (29:29):
I think they were chasing international. They were.

Speaker 1 (29:31):
Right.

Speaker 3 (29:31):
And then just got ripped apart. Yeah. So they took
away the options.

Speaker 4 (29:34):
So it depends on what, you know, so when you're
looking at your own personal situation, you know, you look
at it and say, OK, I'm in a 401k plan.

Speaker 3 (29:40):
I'm working.

Speaker 4 (29:40):
I'm putting in five, 10 percent of pay.

Speaker 3 (29:42):
They're matching. Perfect.

Speaker 4 (29:44):
Perfectly fine to have index funds in there. And, you know,
you kind of set it and forget it.

Speaker 3 (29:51):
Right.

Speaker 4 (29:51):
Because you're always adding to it. Now you leave a
job and your 401k becomes what? Becomes an IRA rollover.
And you're like, okay, so where do I go? That's
where we can make a difference. You're not going to
hold the same things with us that you're going to
hold maybe in a standard index fund.

Speaker 3 (30:13):
You're going to have a diversified portfolio.

Speaker 2 (30:15):
I would butt in for just a second and say
in agreement with that, but I would also say one
of the things you said that I think is important
for people is when you're looking at your 401k choices,
get a second opinion. You mentioned how many people say,
what do you guys think of these choices? And here's
what I'm in. It's always good to get a second
opinion on those kinds of things because those choices can

(30:38):
be so limiting in a 401k. And maybe you're not
thinking about your age or some of the things that
you need to think about that a certified financial planner
would consider.

Speaker 4 (30:49):
Right, and I think Adam alluded to this a little bit, too.
The landscape in 401ks has changed dramatically in the last
10 years, right? It used to be you had 50, 60, 70,
80 choices, different funds to pick from, international, small cap. Well,
I mean, we used to go, back.

Speaker 3 (31:04):
In the day, we used to do a lot of
401ks for companies, and we would do some education, and
we'd talk through some ways to diversify, and now, like,
I can't imagine there's that many education meetings.

Speaker 4 (31:19):
It's just picking and picking target date one and go
on your way.

Speaker 2 (31:23):
Yeah.

Speaker 4 (31:23):
When's your retirement date?

Speaker 3 (31:24):
And this is this. But yeah, no, absolutely. If people
need a second opinion, have some questions on what they
should be invested in, you know, especially we do a
lot with. with TSP plans as well. The government, yep.
I think people get confused on what those options are.
And they have all, what, six choices?

Speaker 4 (31:42):
Well, they started targeting funds now, too. Okay, so they've
got target dates plus the stock index plus the bond index.

Speaker 3 (31:48):
A little bit more. But yeah, I think a lot
of people don't know where to be and where to go.
You know, if worse comes to worse, you know, always
do something age-based. It's what I do at our 401k.

Speaker 4 (32:02):
I just use the age-based moderate and put my money
in and just keep on going on my way.

Speaker 3 (32:10):
Honestly, I've got to admit, I don't even look at it.
I looked at it. Hardly ever. At the end of
the year. Did you look today? Good for you. Adam's
staying on top, I think. See you there, Ron.

Speaker 2 (32:19):
See, that's what it's all about. We're talking with Joe
and Adam on the Rockport Wealth Truth Investing Program here
on NewsRadio 570 WKBN. I want to shift gears and
ask you whether investors should take profits or let the
winners ride. I think that's one of the key questions
people always contemplate.

Speaker 3 (32:37):
Yeah, yeah.

Speaker 4 (32:39):
I think the way I would look at this is,
you know, historically, winners breed more winners, right? And losers
tend to, you know, it's like the old law of physics, right?
An object in motion tends to stay in motion until deflected.

Speaker 3 (32:56):
By another object.

Speaker 4 (32:57):
Another outside object, right? Well, you know, I think one
of the, the winning side is one thing. I think
the area I would focus on, and we do this
in our portfolios when we manage them is if something
isn't working, we get it out pretty quick.

Speaker 2 (33:12):
Okay.

Speaker 4 (33:13):
If it's, if you can't afford to have one of
your positions fall 15, 20, 25, 30%, it's going to
happen on occasion.

Speaker 3 (33:23):
You're not going to be perfect. You're not going to
be perfect.

Speaker 4 (33:26):
But those are the killers of an overall portfolio's performance. So, yeah,
it's important to let the winners go because they tend
to keep on going. Now, it's also important to keep
that position in check and trim it, right, a little bit.

Speaker 3 (33:42):
So, you know, if you have, you.

Speaker 4 (33:44):
Know, let's just use an example with our friend Gold
or Silver. Let's say you've got gold in your portfolio
and it was 5% of your portfolio. Well, it doubles
and it goes to 10% of your portfolio. okay, well,
you still like gold, don't get rid of it. But
maybe take it back down to 5% or 6%, right?
And then take that 5% or 6% and move it

(34:04):
into something else. There's the active management run right there.
So you got to pay attention to these things. I
hate to say daily. In our position, we have to
do it daily, right? We encourage clients to not look
at it daily because you know, it'll.

Speaker 3 (34:21):
Drive them nuts.

Speaker 4 (34:23):
It drives us nuts less than the insane movements. But
I think that, you know, that defines active management right there.

Speaker 3 (34:32):
It's maybe getting rid of an entire position. Maybe it isn't.

Speaker 4 (34:35):
Maybe it went up a lot and you're just going
to sell some of it off to go get into
something else.

Speaker 3 (34:39):
Yeah.

Speaker 4 (34:39):
And that is a perfect definition.

Speaker 3 (34:41):
Well, and then you got to bring in that if
it's a non-qualified account, Taxes. Taxes, yeah. So we have
some things that are coming in the long-term capital gains.

Speaker 4 (34:50):
Finally, yep.

Speaker 3 (34:51):
So we're going to take a look to see if
it's the best choice at this point to pare some
of that off. Trim it off. Repossession it. Yep. Because
we can get a favorable tax rate to do that.

Speaker 2 (35:03):
Right.

Speaker 4 (35:03):
And what Adam's getting at there is anything you hold
less than 12 months in a taxable account, so take
IRAs out of this. This is not a part of
the conversation, but anything you hold in a taxable account,
you've got to pay attention to how long you've held
it because there's a significant tax difference. Anything longer than
12 months that you've held is going to go to

(35:24):
a long-term capital gain, which could be, what, 0%, 15%,
or 20% depending on your income. Believe it or not,
it can be a 0% long-term capital gains rate. Anything
less than 12 months will automatically be taxed at ordinary
income rate. And those are different rates, and you've got
to pay attention to that. That goes into after-tax return,
as we call it. in portfolio management. So it's something

(35:47):
we're cognizant of. I think every investor should be cognizant
of it. And it does make a difference big time.
You may not, you know, your portfolio may go from
a hundred to 200,000 either way, but your tax bill
may be significantly different in getting there if you're in
a taxable account.

Speaker 3 (36:04):
Well, and I think that's, what's important about having, when
we work with clients trying to work with their accountant
as well and saying, Hey, how much room do we
have here? Do we have the opportunity to very low
capital gains rate. Yeah. Just another thing to think about
as you're thinking about pairing off some of those gains.
But I think it's never a bad thing to take

(36:28):
game because that's a guaranteed win. Have you ever.

Speaker 4 (36:30):
Lost taking a game? That's a tough math question.

Speaker 3 (36:35):
Is that a riddle? Wait a minute.

Speaker 2 (36:38):
Adam, I think it's a trick question, so be careful.

Speaker 3 (36:43):
He's just trying to..

Speaker 4 (36:47):
Go ahead, Brian. I really think it's important if you
still like the position, it's okay to trim it and
just keep it in your portfolio. We've had gold in
there for I don't know, five years probably. And for
three of those years, it didn't do much of anything, right?
Or maybe went down even. And then all of a
sudden it catches this hot spell.

Speaker 3 (37:08):
It helps keep balance though, right? I think ultimately. Yeah,
it does.

Speaker 4 (37:12):
It did real well in like 22, you know, in
periods of time like that. So, you know, just be active.
You don't have to be crazy active. You don't do
things daily or anything like that. But boy, if something
looks like it was a certain weighting and now the
weighting is much higher, It's not a bad idea. We
call that rebalancing. That's putting it back into line with

(37:33):
where you want it. And I think that's a very
key point to make here. It's a very simple way
to manage your risk, right? Because ultimately, as these things
go up and they're a little bit higher growth, you're
adding more risk to your portfolio.

Speaker 2 (37:45):
Yeah, you are.

Speaker 3 (37:47):
So, you know, taking that risk back down to where
you were comfortable before isn't a bad thing.

Speaker 4 (37:52):
What if you're a moderate investor, right? And you're 65,
35 portfolio, 35% bonds. 65% stocks, the stocks go up
a lot. Now all of a sudden you're 75, 25
or 80, 20. Is that where you wanted to be?

Speaker 3 (38:05):
No, probably not.

Speaker 4 (38:06):
Time to bring that back down. And rebalancing is by definition, what?
Selling your winners and buying your losers. So that's exactly
what rebalancing is.

Speaker 3 (38:17):
Yep. Absolutely.

Speaker 2 (38:18):
Spoken like a certified financial planner. And he is, that's
Joe Kovach and he's a fiduciary as well. And Adam, Stalnaker,
they are with Rockport Wealth Advisors on News Radio 570 WKBN.
Joe and Adam are all about helping clients make informed
financial decisions. Learn more by giving them a call today
at 330-965-9890, 330-965-9890. And the office is located at 7227
Glenwood Avenue in Boardman, 7227 Glenwood Avenue in Boardman, 330-965-9890.

(38:51):
I want to shift gears and talk a little bit,
you know, as we end January and start February, we're
getting closer to that magical date. You know what that
magical date is, don't you guys, by chance?

Speaker 3 (39:04):
Oh, yeah.

Speaker 4 (39:04):
Tax day.

Speaker 2 (39:07):
That's it.

Speaker 3 (39:07):
I used to be more enthused.

Speaker 2 (39:09):
Yeah.

Speaker 3 (39:10):
Yeah.

Speaker 2 (39:11):
It's tax day. And, yeah, we're all enthused about that.
Let's talk a little bit about taxes and cash flow
during retirement because that's– That's where all of us are
going to be at some point if we're not already there, Adam.

Speaker 3 (39:26):
Yeah. Well, let's talk first. So we've got. a client-only
webinar that we do quarterly, and we did it yesterday.
And part of what we really emphasized was 1099 times,
when 1099s come out. Because I think people all get
hot to try to get those taxes done. Accountants are like,

(39:47):
where's your 1099s at? They're not out yet. Like my
man or girl. It's the same every single year. Right.
Like ultimately. So it was the reminder. OK. And we'll
remind all the listeners, too. So in your certified financial
planners or your accountants can thank us later because we're

(40:07):
reminding you what this is. and you'll now be educated.
So 1099s, if you've taken money out of your IRAs,
or if you've taken 401k distributions, you're going to get
a 1099. If you have an IRA though, and you
didn't take any money out, you are not going to
get a 1099. All right. So if you've got dividends

(40:28):
and interest in a non-qualified account, you will be getting
a 1099. If you took money, if you had sales
in a non-qualified account and you have gains, or losses,
you will get a 1099.

Speaker 4 (40:41):
What if I had gains or losses or dividends in
my IRA?

Speaker 3 (40:44):
Ooh, doesn't matter. I know. You didn't take any money out.
That's right. That's a trick question. Trick question.

Speaker 4 (40:50):
Somebody was thinking that, so I had to get it
out there.

Speaker 3 (40:52):
Absolutely. So if you have an IRA, the only time
you will get a 1099 is if you took money out.
If you have dividends and interest sales, which caused you
to have gains or losses, you will get a 1099.
The 1099s for your IRAs, probably should be out soon
in the next couple of weeks. Yeah. Very soon.

Speaker 2 (41:14):
Yeah.

Speaker 3 (41:14):
They're not there yet. The other ones for the non-qualified accounts, well,
those take a little longer. Those are probably looking March-ish. Mm-hmm.
Late February? Yeah, typically. And those are not your certified
financial planner's fault. We have no control over that.

Speaker 4 (41:32):
Or your account.

Speaker 3 (41:33):
There is no control over that. These are from the carriers,
and then their carriers, which are Charles Schwab, I guess
the clearing firm. Fidelity, you name it, right? They're waiting
on some of the fund companies as well to come through.
So it's a whole chain of people to yell at,
but not us.

Speaker 2 (41:51):
Yeah, but I mean, you're talking... By the time you're
at the end of February, everyone's starting to think, listen,
I got to get this information to my accountant because
if February's in the rearview mirror, then you got March
and April 15th, unless you file an extension. I mean,
these guys, these guys got to get these things, this

(42:11):
information out, out sooner.

Speaker 3 (42:14):
And it's, and we wish we could, and we wish
they would. But ultimately, if you get, sometimes if you
rush it, they have, updates to them.

Speaker 2 (42:25):
Amended, right?

Speaker 3 (42:25):
Amended. And then if you've already filed your taxes, if
it's significant, you're going to have to refile your tax return.
Amended 1099. Yeah. So you just got to be careful
and hopefully your, uh, CPA will be understanding.

Speaker 2 (42:47):
As you give them a nervous breakdown. Yeah, because you're saying,
here's all my information, and you've got six weeks. Good luck.
And everybody else.

Speaker 3 (42:59):
Maybe they work in 20-some hours a week in that
six-week period.

Speaker 2 (43:02):
It's brutal.

Speaker 3 (43:03):
It is. It's brutal. And I'm not saying to suck
it up.

Speaker 4 (43:07):
No. Kind of our friend, our friend, Andrew looks so
much older when he ages, but.

Speaker 3 (43:16):
He's working a lot. Those are great reminders. But yeah, no,
I mean, I think everybody needs to remember that those
the way that those are and we do not have
any control over that.

Speaker 2 (43:26):
So, so blame someone else.

Speaker 3 (43:28):
Thank you. Ron, that is the theme that I was
trying to get to. I appreciate you coming right on.
I was trying to beat around the book. Right.

Speaker 4 (43:39):
It's true.

Speaker 2 (43:41):
Adam, you're saying it's out of our control. Please.

Speaker 3 (43:46):
Exactly.

Speaker 2 (43:48):
So basically, if you're into some of those investments, in general,
you probably don't want to file your taxes until you
get through the month of February, right? For the most part.

Speaker 3 (43:58):
At a minimum. At a minimum. At a minimum. Yeah,
I would agree. I would agree with that.

Speaker 2 (44:02):
All right, so don't do it until you get through February,
maybe even a tad into March, because there's always those
investments or things that you've done that you forgot about,
and then all of a sudden it comes in. And
you say, what is this? What is this?

Speaker 4 (44:18):
11 months is a long time. You do something in January.
You know, you go on through the summer. You have
a good time. You do whatever.

Speaker 3 (44:24):
You get to the end of the year. Oh, I
forgot about that. It happens all the time. So that
was our PSA at the start.

Speaker 2 (44:30):
All right. Thank you, gentlemen. Let's talk about our sequence
of returns risk. And explain to our listeners what we're
talking about, guys.

Speaker 3 (44:41):
Yeah. You know, Adam, I'll take this and you can
jump in.

Speaker 4 (44:44):
Sure. This is an important concept because what it really
affects is the person who's just walking into retirement now.
And this is where active manage goes back to the
thing we talked about with active management and reducing risk.

Speaker 3 (44:59):
At times and whatever it might be.

Speaker 4 (45:00):
But sequence of return risk is nothing more than I've
got this pot of money for retirement and I'm going
to retire. I invested too aggressively or maybe in the
wrong things, whatever it might be. And right out of
the chute, I'm down 20 or 25% or something like that, right?
My sequence of returns are very punishing in that case

(45:21):
because I had a million bucks, now I got 800, right?
And maybe it's in the first year of retirement. You
have to be, and we talked last show about the
bucket theory. The bucket theory helps what's the right word?
Negate that, Adam, I guess is the right way to
look at it because you already know where that first
two or three years is coming from.

Speaker 3 (45:42):
Right. And you can adjust. Right. And you've got, yeah,
you've got time to.

Speaker 4 (45:46):
Let that pot of money that maybe got hit, unfortunately,
through no fault of anybody's, it went down and now
it's got time to recover. So, you know, I think
everybody's got to be aware of this and it It
does happen. I've seen it happen. You know, it's like
our plan, we're planners by nature. So, you know, Adam

(46:10):
meets with XYZ client, the plan looks great, be ready
to punch out in June, right?

Speaker 3 (46:15):
Great.

Speaker 4 (46:17):
May comes along, June comes along, July, all of a
sudden the market's down 25% for whatever reason.

Speaker 3 (46:24):
Does the plan still work?

Speaker 4 (46:26):
That's where this becomes tricky, right? So you've got to
make some adjustments in your 401k before you leave, potentially, right?
Maybe bring the risk down a little bit. Then after
you retire, you've got to get monies in a position

(46:48):
where they're not going to get hit too hard, potentially,
right out of the chute. Now, at different points of time,
you've got different headwinds, right? Right now, the headwind was what?
The market is expensive. There's no question about that. We've
gone over the stats in segment one. Is that a
market where you want to go willy-nilly and dump everything
in the stocks and let it rock and roll? Despite

(47:11):
the fact that we think we're in a pretty good environment,
that's really not the best strategy, right? So what do
you do then? Adam, you bucket theory it out.

Speaker 3 (47:20):
Bucket it out. And you can actually, for some people
that still want high growth, in retirement, uh, we'll look
at just setting aside six months to a year's worth
of income beforehand in a low cost, right. A low volatility,
you know, short-term bond fund, money market, whatever. Right. Yeah. Um,
so that will be available to them so they can

(47:42):
still take the ups and downs of the market, but
it's not going to affect their paycheck, which I think
is the most important part. Right. Right. Um, it's those
people that, as you talked about it, Markets down. They're
in a growth portfolio. They have to now sell into
that market. To get the money they need to live on.
To get the money they need to live on. And
then it just compounds, right? Markets down. Think of those

(48:04):
people in 2009 that retired, that had their money in
the market, that had to sell to live off of
that year. I mean, their loss was... they're probably not
even close to being back even at this point.

Speaker 4 (48:19):
If you were pulling money out, let's say, so if
you go back to that market, that particular market decline
started in November of 07. Okay, that's where the market
topped out. And it kind of was down a fair,
it was down a little, you know, noticeable amount, not
crazy up until that September of 08 timeframe. That's where
things really went haywire, right? You retire any time in

(48:40):
that period of time, which was a good, I mean,
the whole period of time was like 19 months.

Speaker 3 (48:44):
Right.

Speaker 4 (48:44):
A lot of people retired in that 19 months.

Speaker 3 (48:47):
Mm-hmm.

Speaker 4 (48:49):
So now they put their money into an investment. A
lot of people lost jobs.

Speaker 2 (48:52):
They did.

Speaker 3 (48:52):
And they forced retirement. Exactly.

Speaker 4 (48:55):
But all of a sudden, they're like, oh, my gosh,
my money went down, and I took money out. So now,
even though my portfolio might have been down 30% or.

Speaker 3 (49:02):
I took out money, and I'm down 45% from where
I was. Mm-hmm. Honestly, good luck in recovering on that one.
It's tough. Mathematically, that is a challenge.

Speaker 4 (49:12):
And ultimately, one of many, many, many reasons to plan
ahead and do planning is those sort of things.

Speaker 3 (49:20):
That come into play. Because those are the things, as
we're looking at the plan, as you get closer to retirement,
we're looking at how, if these types of things happen,
how we're going to step, step, sidestep it, get around it,
make sure that you're still in a great position going forward.
And it's not truly going to affect what happens.

Speaker 4 (49:40):
And the software runs Monte Carlo simulation. That's what Monte
Carlo simulation is, right? The good, the bad, and the ugly, right?
So if your plan works under the good, the bad,
and the ugly, you're in pretty good shape. If it
only works in the good, maybe it's a little tight, right?
But again, that's planning. That defines planning right there, Ron.

Speaker 2 (49:58):
Absolutely. And I want to touch on real quick. I
just got a short period of time changing investment strategies
over time from your working years to maximize growth, your
retirement years. I mean, quick, quick comments on that, guys,
when we're talking about this.

Speaker 3 (50:13):
Yeah, I think it's, you know, I just talked to
a client today and, you know, based on what their
goals were, they're very risk adverse. So income, we have
an income model that produces dividends and interest that creates
basically a paycheck for him. And so this is a
real shift from the accumulation phase of whether it's those

(50:35):
index or those age-based models. And it's now allowing them
to basically cut coupons, have a reliable paycheck on a
monthly basis. And his wife's a little bit more risk-averse.
So she's in the income to get her income, but
she's also got part of her portfolio in growth so

(50:57):
that you can keep up with inflation and make sure that...
So blended.

Speaker 2 (51:01):
Yeah.

Speaker 3 (51:01):
Blended together. So I think what you can do is
you can cut it up many different ways. But the 100%
in stocks is probably not as we just talked about, right?
In the sequence of returns and kind of the risk
that's involved there, you've got to have yourself in position
to be able to that could happen to you and

(51:25):
plan ahead.

Speaker 4 (51:25):
Don't put yourself in an unrecoverable situation. That's the lesson
to be learned because we've seen it happen. And people
come to us after the damage has been done and
we're like, what can you do?

Speaker 3 (51:37):
And it's like, it's not a lot we can do.
You can adjust your spending.

Speaker 4 (51:40):
Yeah, adjust your spending at that point. And that's the
last thing anybody wants is to have a reduction in lifestyle.

Speaker 3 (51:45):
That's the hardest conversation that we have with people.

Speaker 4 (51:47):
Very difficult.

Speaker 3 (51:48):
All right.

Speaker 2 (51:48):
That's Joe Kovach, Certified Financial Planner, along with Adam Stalnaker,
Certified Financial Planner. Both fiduciaries. They're with Rockport Wealth Advisors.
They're located at 7227 Glenwood Avenue in Boardman. 7227 Glenwood
Avenue in Boardman. And I say for more insights like these,
reach out to the team at Rockport Wealth Advisors. And

(52:09):
if you like what you're hearing, Joe and Adam, this
is the kind of perspective they continually bring to their clients.
And their phone number is 330-965-9890.

Speaker 3 (52:25):
330-965-9890. 330-965-9890.

Speaker 2 (52:26):
Yes, quickly, Joe?

Speaker 4 (52:28):
And don't forget about the email, too, radioshow at rockportwealth.com.
If you have questions or topics, we're happy to field
them on air.

Speaker 2 (52:34):
All right. Thank you, Adam. Thank you, Joe. Appreciate it.
Rockport Wealth, Truth in Investing Program on NewsRadio 570 WKVN.