Navigating the Now Bucket in a Low-Interest Environment

The Bucket Plan® On-Demand Podcast

Navigating the Now Bucket in a Low-Interest Rate Environment

In This Episode

About the episode:

Explore the importance of the “Now” Bucket in The Bucket Plan® financial planning during a period of dropping interest rates. Join guest host, Stoyan Petev, CFA, CFP®, CLU, ChFc, Senior Vice President of Advanced Markets at C2P, and Greg Hammer, President and CEO of Hammer Financial Group, and Charlie Ehrenfried, CFP®, CLU, ChFC, RICP, CASL, Owner and Wealth Manager at Retirement Matters.

Discover strategies for managing client concerns and optimizing your clients’ “Now” Bucket in low-interest rate environments.

Key Points Discussed:

Client Concerns: Addressing questions and concerns from clients about the impact of dropping interest rates on their finances
The Bucket Plan® Philosophy: Reinforcing the importance of proper asset allocation across Now, Soon, and Later Buckets
Cash Flow Management: Understanding the role of cash flow as the “heartbeat of retirement”
Now Bucket Strategies: Exploring various options for the Now Bucket, including CDs, money markets, and short-duration bonds
Risk Management: Balancing liquidity needs with the temptation to chase yields in a low-interest environment
Client Education: Techniques for explaining the purpose of the Now Bucket and managing client expectations
Tax Considerations: Incorporating tax planning into Now Bucket strategies
Platform Options: Leveraging cash management options available on brokerage platforms to maintain control and prevent competition

Learn how to effectively manage your clients’ Now Bucket amid changing interest rates while maintaining the integrity of their overall financial plan.

Tune in to enhance your short-term planning strategies and client communication techniques.

Resources:

Financial planning process referenced: The Bucket Plan® philosophy

About the Host:

Stoyan Petev, CFA, CFP®, CLU, ChFc, serves as the Senior Vice President of Advanced Markets at C2P, where he spearheads the in-house life insurance division and assists advisors with his knowledge in investment sales and sophisticated planning. His role is pivotal within C2P’s planning-first RIA, Prosperity Capital Advisors, serving both on the Investment Committee and Leadership Team. Stoyan’s journey before C2P spans nearly three decades, during which he has honed his skills across various capacities such as an advisor, distributor, research and investment analyst, due diligence officer, and consultant.

His commitment to education and risk management extends beyond professional advisement, as evidenced by his multi-state insurance licensure and holding Series 7, 24, 53, 63, and 65 licenses. Stoyan is an advocate for financial literacy, particularly within immigrant communities, and has shared his knowledge as an adjunct instructor at Lindenwood University.

About the Guests:

Greg Hammer is an experienced financial advisor and entrepreneur with over two decades in the financial services industry. After graduating from Yale University with a Bachelor’s degree in Applied Mathematics, Hammer began his career in 1992. In 2004, he founded Hammer Financial Group, Inc., an independent financial advisory firm providing comprehensive wealth management, income planning, legacy planning, tax preparation, and Medicare planning services.

Hammer has built a successful holistic practice, serving over 2,200 tax clients and 800 financial advisory clients annually. He is recognized for his comprehensive advising approach, integrating financial, insurance, and tax planning under one roof. Hammer has received accolades such as being named a top five candidate for 2014 Advisor of the Year by Retirement Advisor magazine. He is an Ed Slott Master Elite IRA Advisor and has qualified for the Million Dollar Round Table’s Top of the Table. Beyond his professional endeavors, Hammer is actively involved in his local community, serving on boards and supporting charitable organizations.

Charlie Ehrenfried, CFP®, CLU, ChFC, RICP, CASL, serves as the owner and wealth manager at Retirement Matters, where he applies over fifteen years of experience in retirement planning, financial analysis, and wealth management. His career has included roles at Northwestern Mutual and Wealthquest, focusing on legacy planning and wealth management. Charlie’s expertise encompasses strategic planning and client relationship management, essential for navigating complex financial landscapes and enhancing client financial security.

Additionally, Charlie is involved in professional development and community service. He is the president of the Southwestern Ohio chapter of the American Financial Alliance (AFEA) and a Bucket Plan Certified Advisor, roles through which he contributes to ongoing education and standards within the financial planning industry.