Historically, the stock market in the United States has returned around 8 percent. This was long the figure that most financial planners used in assessing the viability of any given long-term financial strategy, including retirement planning. But since the turn of the century, this figure has come in to a bit of controversy. Since the year 2000, the stock market in the United States has returned nowhere near that historic figure of 8 percent. What’s more, many economists view the prospects of that kind of growth going forward as being extremely unlikely.
So what does this all mean for today’s workers who may want to retire tomorrow? One of the implications is that today’s workers should not rely on projections that use inflated figures, such as the 8 percent figure cited above, as a basis for calculating the value of future retirement assets. But this does not just have implications for personal retirement account saving. Unfortunately, many of today’s pension funds also have relied on such optimistic figures as that used above. This means that many of today’s pensions, with trillions of dollars in unfunded liabilities, have a very high probability of experiencing severe shortfalls or even outright bankruptcy and insolvency prior to the workers becoming eligible to collect to which they owe those future payments. When we also consider the state of Social Security, which is completely unfunded in terms of future liabilities, the future indeed begins to look quite grim for today’s workers.
One of the chief ways in which today’s workers can combat this high level of future insecurity is through a sophisticated and viable plan that will allow them to have the assets they need when it comes time for them to retire. An integral part of any well thought-out retirement plan is the use of gold coins or other precious metals to achieve a high level of diversification and decoupling from stock market performance. The reason that this is such a crucial aspect of any well planned retirement account is that current economic conditions are such that the future performance of equities markets cannot be known with any certainty at all. In fact, there are a growing number of economists who believe that, like in the case of Japan, the United States is slowly entering a period of stagnation, where real economic growth will be almost impossible to achieve.
Buying coins through U.S. Money Reserve is one way to protect oneself from these coming catastrophes.