Broker Check

Our Philosophy

WHAT DO WE TELL OUR CHILDREN?

by Art Fredericks

Years ago, a customer requested I write a summary of what I do and the thinking that motivates what I do. So I wrote "What Do We Tell Our Children?" Since then, the world has changed; however, my basic philosophy has not changed. I would be pleased to talk with you and learn your viewpoint about any or all of the following.

It has always been the same. They look to us for the right answers. Somehow, we always try to find a way to calm them, to soothe their pain and frustrations. Even when the questions seem too tough, we can invariably draw on a body of knowledge that remains permanent. Sources that stand the test of time, ideas that made sense 2,000 years ago and still work, feelings of love, your commitment to better lives, to help them and protect them. You know... constants... that we parents experience deep in our soul. You know the feeling of goodness when their eyes sparkle in recognition of our love and support. When they show us without saying a word that we have removed the cause of their sorrow with our love and wisdom.

The economy has been very volatile since 2000. Such things as the terrorist attacks of September 11, 2001, the housing market crisis of 2008 and now the most recent event of COVID-19. All of these events have had drastic impacts on the market, our jobs and our retirement savings.

It seems that the world, as we have known it since the 1980's, has spun out of control. All the solid foundations of our lives have been cracked, broken, or moved. The Soviet Union and the Communist experiment have dissolved into dust. The biggest of American automakers, GM, is significantly smaller than it was years ago. A job at a corporation has all the stability of the fizz in an open can of soda pop. Terrorism and the health of our families are in our daily thoughts. The savings and loan system are slowly reviving from scandal. It's been left to us, the taxpayers, to pay back the hundreds of billions of dollars to cover the scandals. A partisan Congress only seems concerned with getting re-elected and treats us like we are fools. Most worthwhile legislation, except for some recent tax benefited legislation, is gridlocked. Our Creator has created us, as His children, to have dominion and stewardship over the world and all that's in it. Shall we be careful stewards of our lives and thusly our children's lives?

Can you ever remember a time when all the financial rules have changed so fast? It's like watching a baseball game that starts off normally, and before the seventh inning stretch, it has turned into a soccer match! You know that your children may not end up better off than you. This is the first generation in America that has little chance of improving its "Lot in Life." Your retirement planning has changed overnight. If your local bank is paying you 1% percent on CDs, why are prices still so high along with inflation? The answer is very simple: No one in the world has a clue! That's right! No one really knows! No one.

How do we help our children take care of themselves and their children? What constants do we share with them for their futures? Wait a minute! What about you as well? Every day you read the papers, watch the news, talk to your friends, and then a very uncomfortable feeling begins to gnaw in the pit of your stomach. A sentiment that leaves you tired and confused. You are the same. You know that without a doubt! BUT THE FINANCIAL WORLD IS NOT! NO DOUBT ABOUT THAT, IS THERE? The market customer is no longer looking for the long-term return but is investing and quickly selling as soon as a gain is seen. Thusly, the market does not grow because the investor has lost confidence in the market's long-term results.

Since opening our doors in 1971, Fredericks & Associates has stayed away from market products because we personally could not tolerate the volatility and risk for our customer. Since 1997, we have been pleased to provide Fixed index annuities that are linked to the markets that help reduce volatility and risk and provide the opportunity to earn interest, with no losses, based on the market growth. All of this is without charges. Additionally, the annuity has the benefit of tax deferral instead of annually taxed earnings. Now is the time to take a firm grip on the handle of your financial security. Let’s work to help eliminate market risk and volatility and protect your assets and be good stewards of what God has blessed us with. Let’s talk.