__What if your children could be well on their way toward funding retirement before graduating from high school? A crazy thought? Impossible? Maybe not.__

Consider the following scenario: Your child (or grandchild) has $2,500 saved by age 16 and invests it aggressively. By age 72, they could realistically end up with over $500,000. *And that assumes they never add another penny to the account.*

While they should be encouraged to participate in their future employer’s workplace retirement plan as well, imagine all the benefits your kids would experience from having this huge head start on saving for retirement. They would be free at a young age to save for other goals, such as a car or a house. Perhaps they’d feel freer to pursue a career in full-time ministry, teaching, or something else that typically doesn’t come with a high salary. When they get married, there might be less pressure for both spouses to work, providing more flexibility in child-rearing.

### __Never easier__

Today, with the advent of no-commission and fractional-share trading of exchange-traded funds (ETFs), your child could put as little as one dollar into an S&P 500 index fund. Think of that. They could create a widely diversified investment portfolio with only $1. That’s incredible!

By age 16, let’s say they have $2,500 in their portfolio and stay with the S&P 500 fund. Assuming the index generates its historical +10% average annual return, by age 72, your child will have over $500,000 — more than most people have after working for an entire lifetime!

Your child could just as easily and inexpensively follow Just-the-Basics or Dynamic Asset Allocation. Both strategies use three ETFs, each one of which may be purchased for just $1. (See [this article](https://soundmindinvesting.com/articles/introducing-the-smi-3fourteen-full-cycle-trend-etf-fcte) for another ETF to consider.)

### __Show me the money__

In one of my favorite *Saturday Night Live* skits, Steve Martin and Amy Poehler play a husband and wife who are trying to figure out how to get out of debt. Suddenly, an infomercial announcer appears in their kitchen, promoting a new debt management program called, “Don’t Buy Stuff You Can’t Afford.” One of its recommendations is to buy things with savings. Looking very confused, Martin’s character says, “And where would you get this *saved money*?”

Where would your kids get $2,500 by age 16? If they’re very young, banking a healthy portion of what they receive from relatives each birthday or Christmas could get them part of the way there. If they receive an allowance, teach them to set aside a significant portion for saving and investing. By their teen years, earning opportunities expand dramatically as part-time jobs become available.

This is also a great opportunity for parents or grandparents to support their efforts. Matching the child’s contributions may add motivation while expanding their starting investment capital.

### __Where to start__

In the Bell household, our three kids have had custodial investment accounts since they were 9, 11, and 13. As soon as they began generating earned income (from babysitting, mowing lawns, taking care of neighbor’s pets), we opened custodial Roth IRAs for each one and began transferring the money from their taxable accounts to those IRAs. Unless Congress gets in the way, the money they accumulate in their accounts will be available to them tax-free in their later years.

We started with Schwab but eventually switched to Fidelity when fractional-share no-commission trading of ETFs became available. Plus, Fidelity provides excellent access to the funds needed to implement any SMI strategy.

### __Hands off!__

The success of this plan largely hinges on the child’s commitment to stay with it for the next 50+ years. As their account balance grows, the temptation to tap those funds will likely grow as well. While you might control the account initially, the money will become legally theirs when they reach the “age of majority,” which is 18 in most states. As a parent (or grandparent), this gives you a relatively short window to impress upon them the importance of leaving that money alone!

This is a great opportunity to ingrain right from the beginning the idea that these accounts are for retirement. To drive this point home, help them set up other savings/investment accounts for other goals, such as buying a car or paying for college.

### __Keep it real__

Another key to success is making sure your kids are investing mostly their own money. When our oldest was 14, I remember a time when he wanted to review his account online. There he saw many unfamiliar terms, such as “unrealized gains” and “cost basis.” He was sincerely interested in finding out what those terms meant. I doubt he would have been as interested if I had brought up those topics without him having his own money involved.

That same night, our then 10-year-old surprised me by handing over $100 and asking me to add it to her investment account. All of our kids are in the habit of giving the first portion of all they receive to Christian ministries, but beyond that, she had saved much of her entire summer’s worth of allowances and money she received for her birthday. We had been discussing investing quite a bit recently and apparently she got inspired!

Perhaps most beneficial of all, our kids have experienced firsthand the market’s ups and downs. It’s one thing to understand the fluctuating nature of the stock market on a theoretical level, but it’s something altogether different to see their own account balances change.

### __Keep it biblical__

As with all that we teach our children, it’s important that they learn the biblical principles behind these lessons.

The point of investing isn’t to build wealth for the sake of building wealth, but to provide for their future family’s long-term needs (“Anyone who does not provide for their relatives, and especially for their own household, has denied the faith and is worse than an unbeliever.”– [1 Timothy 5:8](https://ref.ly/1%20Tim%205.8;niv?t=biblia)). Using mutual funds instead of individual stocks provides diversification (“Invest in seven ventures, yes, in eight; you do not know what disaster may come upon the land.”– [Ecclesiastes 11:2](https://ref.ly/Eccles%2011.2;niv?t=biblia)). And it takes time for compounding to have its greatest impact. We want them to be long-term investors, not short-term traders (“Steady plodding brings prosperity; hasty speculation brings poverty.”– [Proverbs 21:5](https://ref.ly/Prov%2021.5;tlb?t=biblia), TLB). 

### __Earlier is better__

Hopefully this has motivated you to get your children started with investing as soon as possible. That way they can take full advantage of the invaluable asset they have in abundance — time. They have time to let compounding work its wonders, and they have time to build the emotional fortitude they’ll need to be successful long-term investors.

__[Image](https://soundmindinvesting.com/articles/raising-the-next-generation-of-investors)__ used with permission

Since 1990, do-it-yourself Christian investors have relied on SMI for proven strategies and trustworthy guidance.

Sound Mind Investing

Investing

What if your children could be well on their way toward funding retirement before graduating from high school?

Raising the Next Generation of Investors

__*“Test everything; hold fast what is good.”* - 1 Thessalonians 5:21.__

In that verse, the Apostle Paul teaches that we should practice discernment in all things and we submit that includes financial advice. What questions should you ask a potential financial advisor?

We occasionally get this question on the Faith and Finance radio program when folks are looking for a financial advisor: “How can I choose someone I can trust and who’s a good fit for my financial situation?”


Fortunately, our parent organization, Kingdom Advisors, has more than 1,600 Certified Kingdom Advisor professionals, and we always encourage you to [connect](https://www.faithfi.com/find) with one for whatever area of your finances you’d like help with.

Kingdom Advisors offers comprehensive [lists](https://kingdomadvisors.com/find-a-cka/choosing-your-cka) of questions for each financial discipline, whether you’re interviewing an investment professional, a financial planner, a CPA, an estate attorney, or an insurance professional. By the way, we always advise that you interview two or three.

You’ll also find an important list of questions that you should ask *any* financial professional you interview. Those general questions are neatly arranged in groups for your convenience.

__The first thing you might want to find out is how long your candidate advisor has been on the job. So you would ask:__

- How long have you been in practice?
- What professional certifications do you hold?
- Can you tell me about your practice?
- What are your areas of specialty?

__Next, you’ll want to determine what and how services will be given. It’s important to understand these things to form reasonable expectations. You should ask:__

- Will you or your associate work with me?
- How long will it take for you to do my work?
- What are your client response times and client communication methods?
- In how timely a manner is your work generally done?

__Referrals are extremely important, and they should be current or recent contacts. Ask your candidate advisor:__

- Do you have clients with situations similar to mine who might be willing to speak with me about your services?
- And do you have other professionals who might be willing to speak with me as well?

__This brings us to a set of questions that you may be uncomfortable with, but you need to ask them anyway:__

- Are you in good standing with your local professional associations?
- What organizations have regulative authority over you?
- Have you ever been cited by a professional governing body for disciplinary reasons?
- Have you ever had any complaints filed against you with any organizations that regulate you?
- Have you ever been publicly disciplined for any unlawful or unethical actions in your career?
- Have you ever filed for bankruptcy?

__All that’s left now is compensation. What and how does your candidate expect to be paid? So ask:__

- Are you compensated by fees, commissions, or both?
- Do you charge for initial consultations?
- How are your fees calculated?
- Are fee arrangements set in writing beforehand?
- (If they charge hourly) What are your hourly rates? What are the hourly rates of your associates?
- Do you charge for every phone conversation and/or meeting?
- What do you project my costs would be for your services?
- What can I do to keep your fees to a minimum?

We think that’s a fairly comprehensive listing of questions to ask any financial advisor you might be considering. Again, always interview two or three and choose one you feel comfortable with, who is skilled in their field, and just as important, one who shares your [Christian values](https://www.faithfi.com/find).

You can also __[listen](https://www.faithfi.com/search?q=What%20Questions%20Should%20I%20Ask%20A%20Potential%20Financial%20Advisor?&videos=true&articles=true&podcasts=true&posts=true&groups=true&events=true&support=true) __to a related podcast on this topic.

FaithFi

Articles

How can I choose someone I can trust and who’s a good fit for my financial situation?

Questions To Ask a Financial Advisor

__When I was growing up, one of the worst things that could be said about you was that you were a quitter. But being a quitter has gotten a bad rap. I’m here to speak up for quitters everywhere, letting you know that quitting can be a good thing.__

After all, it’s good to quit doing bad things, right? And it’s only bad when you quit doing good things. That seems clear. Where it gets murky is discerning which things are good and which are bad. This can also be a challenge in the area of investing. Fortunately, I’m here to save you from hopeless confusion. Here are a half dozen things that are definitely in the “bad” camp. If you haven’t already, you can immediately:

__Quit standing on the sidelines.__ Compound interest is a powerful engine of growth, and it runs on the fuel of time. You want all the time on your side you can possibly get. Of course, you also want good returns. Based on 100+ years of history, we know the best returns come from owning well-managed, growing businesses. For the average person who wants to grow his or her surplus capital at a rate that’s faster than inflation, stocks are their best option. Regardless of whether you think you don’t know enough about investing (that’s what we’re here for), it’s time to become a part-owner of corporate America.

__Quit waiting for a low-risk entry point.__ It’s doubtful you’re going to recognize a “low-risk” entry point when one arrives because *capital risk is low when emotional risk is high*. When the economic news is worrisome, stock prices are lower. And buying at lower prices reduces your capital risk. Actually, every day offers a low-risk entry if you’re committed to at least a five-year holding period — since World War II, a diversified stock-fund portfolio (50% large companies, 50% small companies) has lost money only 5% of the time. Over a 10-year period, it’s even more rare to post a loss. On the positive side, about one of every six of those five-year periods saw gains of 20%+ *per year*.

__Quit looking for a reason to sell.__ Ignore the gloom-and-doom scenarios from the pundits. Even in the best of times, there are always economic and market negatives. The biggest risk to your future financial security isn’t a bear market. It’s inflation that eats away the buying power of your dollar. And the way to beat inflation is to make a significant long-term commitment to common stocks. Since 1926, stock prices have gone up in seven years of every 10. When you pull money out of your stock funds in anticipation of a bear market, you’re going against a powerful long-term economic uptrend.

__Quit making things needlessly complicated.__ You don’t need to read economic forecasts, technical analysis, or annual reports. SMI Basic-level members have access to our Just-the-Basics strategy, designed for simplicity and ease of implementation. Our Upgrading strategy is only slightly more advanced. [Dynamic Asset Allocation](https://soundmindinvesting.com/strategies/dynamic-asset-allocation) (available to SMI Premium-level members) is also easy to understand and offers less market risk. Just pick one of these and follow theroad map we give you. There’s always more you can do, but you don’t *have* to do more to get inflation-beating long-term results.

__Quit obsessing over your short-term results.__ Frankly, you’re better off if you don’t even know what your short-term results are. Tracking your holdings on your computer or smartphone so you can get updates on your portfolio’s value is a *terrible* idea. It breeds impatience, leads to temporary emotional highs and lows, and stimulates a desire to trade more than you should. In short, it makes it much harder to stay with your long-term plan. Look at it this way. If you received constant feedback on your home — what it was worth, how its value changes monthly in relation to market trends, and detailed reports on how it compares to your neighbors’ homes — eventually you would become disenchanted with your home. The reason you don’t need to know these things is that you consider your home to be a long-term investment. You should view your portfolio with the same healthy perspective.
In short, then — stop procrastinating, get in the game, stay in the game, keep things simple, and think long-term. And here’s number six:

__Quit worrying.__ After all, “God has not given us a spirit of fear, but of power and of love and of a sound mind” ([2 Timothy 1:7 NKJV](https://ref.ly/2%20Tim%201.7;nkjv?t=biblia)). So, honor God, apply His principles, trust His sufficiency, give generously, and rest in His peace.

__[Image](https://soundmindinvesting.com/articles/go-ahead-be-a-quitter)__ used  with permission

Faith and Finance

I’m here to speak up for quitters everywhere, letting you know that quitting can be a good thing.

Go Ahead, Be a Quitter

__Investors increasingly desire to see their investments align with their values. They want to know that their investments are making a difference in the world by supporting the causes they care about.__

But as Christians, we hold a higher standard than just personal values. We are called to __stewardship.__

*So if you have not been faithful with worldly wealth, who will trust you with what is genuine?* Luke 16:11 (CSB)

We know that our financial resources are gifts from God, and how we use them in this life has eternal consequences. We don’t want to use our God-given wealth to build a secure financial future while compromising our integrity through investing in companies and organizations that don’t align with biblical values.

Our faith guides how we live, so it should also guide how we invest. That’s why more and more Christian investors are turning to __faith-based investing.__

When most Christians think about faith-based investing, the first thing that usually crosses their minds is Christian values screening or excluding investments in companies and organizations that don’t align with biblical principles.

But a robust faith-based investment strategy is about more than simply avoiding these companies. It’s also about making the Christian voice heard in the marketplace. That’s where proxy voting comes in.

__What is proxy voting?__

When you buy stock in a company, you’re buying a piece of ownership in that company, and owners get a say in how their company does business.

Corporations hold shareholder meetings, usually at least once a year, in which all of their “owners” can gather, receive an update on the company and vote on matters of corporate policy.

Shareholders can’t always attend these meetings in person. However, they can delegate their right to vote to another individual or a firm, known as a proxy, who votes on their behalf and according to their instructions.

__Proxy voting can make the Christian voice heard.__

No corporation is perfect. Even the quality companies that pass a Christian values screening process could have policies or business lines that may not align with every Christian’s personal convictions.

At GuideStone®, we engage with the companies we’re invested in to encourage more God-honoring business practices through proxy voting. This allows us to share our faith and make an impact for God’s Kingdom. We strive to use our voting rights as a Kingdom voice in the marketplace.

Before 2023, we had delegated proxy voting responsibilities to our mutual fund sub-advisers. However, we felt led to find a better way to make our voice heard.

In July of last year, we brought proxy voting in-house by __developing proprietary voting guidelines__ and __working with a leading proxy advisory firm.__ We now stand in a better position to exercise our shareholder voting power in accordance with our Christian values and the values of our investors.

For example, it’s no secret that in recent years, many companies have become heavily politicized, enabling ideological and religious discrimination to work their way into corporate cultures. Many employees (especially evangelical Christians) are reluctant to share their perspectives and ideas at work if they differ from their company’s predominant ideological bent out of fear of hurting their careers.

Thankfully, this proxy season saw many proposals on a wide range of companies’ ballots asking for reports on __viewpoint discrimination,__ which GuideStone enthusiastically supported. We stood up on behalf of other Christians by making our voice heard.

GuideStone has also demonstrated the Christian commitment to defending the __sanctity of life.__ Some companies collect a lot of personal data in the course of their business. Sometimes, law enforcement agencies need access to this information when investigating illegal activity.

We recently voted against a proposal that we believed encouraged certain companies to not comply with law enforcement if they were seeking data related to illegal abortion activities.

In Matthew 5:14-16, Jesus calls Christians the *“light of the world”* and tells us that we should let our light shine before others so that they can see our good works and give glory to the Father. Making the Christian voice heard through proxy voting is a vital part of a faith-based investing program and serves as a way of letting the Christian light shine and making a difference in the world.

__Our calling is to serve Christ in all we do.__

GuideStone has been helping Christian investors align their faith with their finances for over 50 years. We can put your dollars to work in a way that honors the Lord and helps you achieve your financial goals.

To learn more about our investing strategies, visit us at *[GuideStoneFunds.com*.](https://www.guidestonefunds.com/?utm_source=faithfi&utm_medium=article&utm_campaign=proxy_voting&utm_id=1358250) You can also __[listen](https://www.faithfi.com/search?q=Proxy%20Voting%20for%20the%20Kingdom%20with%20Brandon%20Pizzurro&videos=true&articles=true&podcasts=true&posts=true&groups=true&events=true&support=true)__ to a podcast related to this topic.

__Brandon Pizzurro__ leads the investment-related lines of business within GuideStone as Chief Investment Officer. In this capacity, he serves as president of GuideStone Capital Management, LLC, the investment adviser to GuideStone Funds and GuideStone Investment Services®, which provides investment advisory services to nonprofit institutions. He is also an Interested Director of the Board of Directors of GuideStone Funds.
Investing involves risk. Principal loss is possible. Funds invested in accordance with the faith-based investment restrictions of GuideStone Financial Resources may not be able to take advantage of certain investment opportunities due to these restrictions, which may adversely affect investment performance.
Past performance does not guarantee future results.
__*You should carefully consider the investment objectives, risks, charges and expenses of the GuideStone Funds® before investing. For a copy of the prospectus with this and other information about the Funds, please call 1-888-GS-FUNDS (1-888-473-8637) or visit [GuideStoneFunds.com/Funds](https://www.guidestonefunds.com/Funds) to view or download a prospectus. You should readthe prospectus carefully before investing.*__
GuideStone Funds® shares are distributed by Foreside Funds Distributors LLC, not an advisor affiliate. GuideStone Capital Management, LLC, an affiliate of GuideStone Financial Resources®, provides investment advisory services for the Funds.

Proxy voting can make the Christian voice heard

Making an Impact for the Kingdom Through Proxy Voting

## Episode Notes
*“Let each of you look not only to his own interests, but also to the interests of others.”* - Philippians 2:4
We tend to think of that verse as a prescription for giving to help the poor and needy and that’s good. But is there an application that involves investing? Stella Tai joins us today to talk about how your investing can have a positive impact in the world.

Stella Tai is Manager of Stewardship Investing Impact and Analysis for [Praxis Mutual Funds®](https://www.praxismutualfunds.com/?utm_campaign=praxis-all-moneywise&utm_source=moneywise&utm_medium=partner-site-link&utm_content=logo-), an underwriter of [Faith & Finance](https://www.faithfi.com/show).
### Why Should People of Faith Focus on Impact Investing?
Impact investing is an investment approach that goes beyond the traditional goal of making a profit. It’s a way to use investment dollars to promote social and environmental good in the world through carefully selected investment portfolios.
Impact investing holds particular significance for people of faith because it aligns with the scriptural mandate to use our gifts, talents, and possessions for good. Faith provides a moral compass, guiding investors to avoid investments that harm society while promoting strategies that address pressing global issues, such as healthcare, education, and environmental stewardship.
People of faith have a rich history of pioneering this type of investing, drawing inspiration from groups like the Quakers and Catholic orders that have been practicing values-aligned investing for decades.
### Integrating Faith-Based Impact into Investment Portfolios
For individuals or institutions looking to incorporate faith-based impact into their investment portfolios, here is some practical advice to get started:
1. __Articulate Values:__ Clearly define the values that will guide your investments.
2. __Align Current Portfolios:__ Assess existing portfolios to ensure they align with these values.
3. __Utilize Available Tools:__ Explore funds and financial advisors experienced in impact investing.
These steps help investors begin the journey of integrating impact into their investments, whether in traditional markets or philanthropy.
If you’d like to learn more information about Praxis Mutual Funds, you can visit[ praxismutualfunds.com](https://www.praxismutualfunds.com/).
### On Today’s Program, Rob Answers Listener Questions:
- I have a rental property with a $50,000 mortgage at 5.5-5.6% interest. I have the ability to pay off the mortgage, but I'm unsure if I should let the renter continue paying it off while I invest the money elsewhere or if I should pay it off myself. What would be the better financial decision?
- I have a 5-acre property that includes my current home. I want to do a lot split to build a smaller retirement home on part of the land. What are the best financing options for building the new home while I continue living in my current home? Should I sell my current home first and rent it back, or try to stay in it during construction? And what tax or capital gains implications do I need to consider with the lot split and home sale?
- I made about four times what my wife made on average during our working careers. Our plan was for my wife to start taking her Social Security at age 62, and then when I started taking mine at age 67, she would switch over to spousal Social Security. However, we recently attended a seminar where the presenter said that even if my wife switches to my spousal benefit at 67, she will still suffer a 25% penalty. Is that true? I want to ensure I understand the implications before deciding when to start our Social Security benefits.
- I'm 63, and my wife is 60. We both still work. We have $200,000 in savings, earning only 1.5%, and my wife has $200,000 in her 401(k). I declined a 401(k) at my job since they didn't match. Should I invest the $200,000 in savings instead of leaving it in the low-yield account? I plan to keep working as long as I'm able.
### Resources Mentioned:
- [Praxis Mutual Funds](https://www.praxismutualfunds.com/?utm_campaign=praxis-all-moneywise&utm_source=moneywise&utm_medium=partner-site-link&utm_content=logo-)
- [Bankrate.com](http://bankrate.com/)
- [Rich Toward God: A Study on the Parable of the Rich Fool](https://www.faithfi.com/rtg)
- [Find a Certified Kingdom Advisor (CKA) or Certified Christian Financial Counselor (CertCFC)](https://www.faithfi.com/find)
- [FaithFi App](https://www.faithfi.com/manage)
Remember, you can call in to ask your questions most days at (800) 525-7000. Faith & Finance is also available on the [Moody Radio Network ](https://www.moodyradio.org/programs/faith-and-finance/)and [American Family Radio](https://afr.net/podcasts/faith-finance/). Visit our website at [FaithFi.com ](https://www.faithfi.com/)where you can join the FaithFi Community [and give ](https://www.faithfi.com/give)as we expand our outreach.

Faith & Finance is a daily radio ministry hosted by Rob West. The program offers a practical, biblical and good-natured approach to managing your time, talents and resources.

Faith & Finance with Rob West

“Let each of you look not only to his own interests, but also to the interests of others.” - Philippians 2:4  We tend...

Why Impact Investing? with Stella Tai

For more than a quarter century, financial advisors have used the 4% rule for retirement withdrawals. So why change it now? Some advisors are now saying 4% may be too high, while the man who wrote the rule says it’s too low. In today's Faith and Finance Rob West weighs into the debate. This is Faith and Finance -  biblical wisdom for your financial decisions.
- We’ll start by consulting God’s Word about saving and spending, which lays down a basic principle. Proverbs 21:20 tells us, *“Precious treasure and oil are in a wise man's dwelling, but a foolish man devours it.”*
- We certainly don’t want to be foolish, so choosing the right percentage that we can withdraw from our holdings each year in retirement is important, to say the least. Too little and you may not be able to meet your expenses. Too much, and you run the risk of running out of funds during retirement.
- You might be curious about where the 4% rule came from in the first place. Way back in 1994, investment advisor Bill Bengen published an article that detailed how and why he was recommending to his clients that they only withdraw 4% a year from their assets in retirement.
- Bengen said he created his 4% rule based on a hypothetical investor who retired in October, 1968, and was promptly hit with an extended bear market and high inflation. In other words, a “worst case scenario.”
- And even though you might be tempted to think history is repeating itself now, Bengen believes that by tweaking asset allocation, a retiree would actually be safe withdrawing up to 4.7% annually, as he is doing now. To be fair, he’s suggesting that 4.5% would be safer, until we see what inflation will do in the near future.
- So how did Bengen arrive at the new, 4.7% figure? He says it’s due to the greater gains he’s seen by adding small and microcap asset classes to his portfolio. He says that increased volatility, but also gains, which made his 4.7% calculation possible.
- Besides the benefit of increasing the rate of withdrawal in retirement, the new rule also allows the retiree to reduce allocation in stocks over bonds. The old 4% rule was based on a 50 to 70% stock allocation, which could make many retirees jittery.
- The new higher withdrawal rate of 4.7% over the long haul is based on an ideal stock allocation of only 55 to 60%.
- Bengen says having less than that in equities will lower your return enough enough to make 4.7% unworkable, but having more than that will create enough volatility to also threaten your safe withdrawal rate.
- But not all investing experts are as optimistic as Bengen. In fact, Morningstar is now suggesting that the old 4% rule is too high a withdrawal rate for the times. They’re recommending that figure be reduced to just 3.3%.
- Remember that the goal is to have enough built up to last for a 30-year retirement, say from age 65 to 95. Market returns and inflation will no doubt fluctuate a great deal over that time, but in the end, they should balance out.
- And whether you use 3.3, 4, or 4.7% as your safe withdrawal rate in retirement, they all assume that percentage of your portfolio will be enough to live on when Social Security is added to the mix.
- Anyone contemplating an earlier retirement will need a great deal more in assets or a lower withdrawal rate, or both. That certainly won’t be easy.
- Some investment advisors suggest that maximum diversification is one way to overcome the uncertainties of bear markets and inflation. That means not just having a broad spectrum of stocks and bonds, but also having several different “buckets” of retirement holdings.
- Some might be in a 401k or traditional IRA with their tax-deferred benefit. Some could also be in a Roth IRA, that’s funded with after tax money but allows for tax-free withdrawals. Some equity holdings could be income-producing, some dividend-paying.
- Some fixed income securities could be I bonds, which are taxable; others could be municipal bonds which aren’t subject to federal tax. Some “munis” even escape state taxes, as long as you live in the state that issued the bonds.
- This can all get pretty confusing. There's a case for having an experienced financial advisor help you with your retirement investing, whether you’re already retired or you're still working. We believe strongly in the Certified Kingdom Advisor designation. With a CKA, you’ll not only have an experienced advisor, but one who shares your Christian values. You can find a local CKA professional, by going to faithfi.com and click the [Find a CKA](https://www.faithfi.com/find) at the top of the page.
Next, Rob answers these questions at __800-525-7000__ or via email at [askrob@FaithFi.com](mailto:askrob@faithfi.com?subject=Faith%20and%20Finance%20Listener%20Question&%20Finance%20Listener%20Question)
- How can you give up a timeshare that you purchased last year if the sellers are telling you that it can't be sold back to them? (Rob referred the caller to the [Timeshare Users Group](https://tug2.com/Home)).
- What's your best recourse to pay off about $7000 in credit card debt and buy now pay later loans if you are 64, living on a fixed income, and don't want to get further in debt? (Rob referred the caller to [Christian Credit Counselors](https://www.christiancreditcounselors.org/)).
- Would it hurt your credit rating to close a Mastercard you opened last year when you were trying to get out of a timeshare, but never activated the card? (Rob referred the caller to [annualcreditreport.com](https://www.annualcreditreport.com/index.action)).
- What is the purpose of opening a Roth IRA now if you were told by an advisor you should have one waiting to be funded for when you retire in five years?
- How do you report interest paid to you by a home buyer who was initially renting from you?
Remember, you can call in to ask your questions most days at (800) 525-7000. Also, visit our website at [FaithFi.com](https://www.faithfi.com/) where you can join the FaithFi Community, and even download the free FaithFi app.

For more than a quarter century, financial advisors have used the 4% rule for retirement withdrawals. So why change it n

4%: A Rule To Be Broken?

There are also no secrets to successful investing. In the long run, several key factors will determine your results. Mark Biller lays those out for us today on Faith and Finance.
Mark Biller is the executive editor at <a href="https://soundmindinvesting.com/">Sound Mind Investing</a>.
<ul><li>Today we want to look at <a href="https://soundmindinvesting.com/articles">an article</a> you have up at SoundMindInvesting.org titled, “Eight Key Factors That Determine Your Long-Term Investing Results.” We’ll dive into those in a moment. But first, let’s talk about the big-picture message we hope you’ll take away today.</li><li>In a nutshell, it’s to focus on what you can control rather than worry about what you can’t. That’s good advice for all aspects of life, including money management. </li><li>For investors, it’s a timely reminder as well, given the ever-present uncertainty about the stock market’s future direction. But regardless of which way the market moves this year, there are still several factors you have direct control over. So those are the things to focus our attention on.</li><li>KEY FACTORS</li><li>1. The rate of return you earn: This is what investors focus most of their attention on, which causes them to spend their time trying to pick winning stocks, the best funds, or the most astute market guru to follow. </li><li>And it’s not that your rate of return doesn’t matter. It obviously does. It’s just that, unfortunately, this is the one factor we’ll discuss today that’s largely out of your control, unless you’re willing to settle for guaranteed CD-like returns. No matter how hard you study or how much you know, you can’t predetermine exactly what your rate of return will be. So instead, it makes sense to turn your attention to the factors where you do have a lot of control.</li><li>2. Building on a strong foundation: This is the first factor that you DO have control over. You don’t have as much to fear from economic storms and bear markets if you’re debt-free, have an emergency reserve, and use a cash flow plan that produces a monthly surplus. </li><li>Your ability to put such a foundation in place is affected by how big a house you buy, how new a car you drive, how responsibly you handle credit, and a host of other decisions—most of which are under your direct control.</li><li>3. How much you save and invest: Invest $200 a month for 20 years at 10.0% and it will grow to $152,000. You could improve that to $198,000 by either (1) increasing your annual rate of return from 10% to 12%, or (2) by increasing your deposit by $60 per month. </li><li>A lot of investors will try to move heaven and earth to boost that return, while boosting the monthly deposit is much more certain and under their direct control.</li><li>3. How much you lose to taxes: The example I just gave assumes you’re investing in a tax-deferred retirement account. If you made your $200 monthly investments into a regular taxable account, you’d need to earn 12.6% per year rather than 10%, just to reach even the lower $152,000 target. (That’s assuming a 29% combined federal/state rate.) </li><li>So you want to make full use of tax-advantaged accounts like IRAs and 401(k)s.</li><li>4. How long you save: Examples of compound interest and investment growth show us that amazing things happen when you leave money invested for long periods of time. That means you should start contributing to your investment accounts as early as possible and plan to leave the money working tax-deferred for as long as possible.</li><li>5. Whether you’re playing the short game or the long game: With the long-term investing game, you win by plotting your strategy very carefully at the outset, and then letting that strategy play out over time. Short-term news, current market fads, and so-called expert opinions are largely irrelevant to long-term investors.</li><li>So turn off the financial shows on TV and stop looking at your daily returns.</li><li>6. Whose advice you listen to: Is your strategy in sync with biblically based financial principles, or more reflective of the conventional thinking offered by the secular investing world? It’s your choice.</li><li>And there we can recommend two sources for biblical financial advice: Obviously at Sound Mind Investing. Also, you can connect with a Certified Kingdom Advisor. You can do that at <a href="https://www.faithfi.com/">FaithFi.com</a>.</li></ul>On this program, Rob also answers listener questions: 
<ul><li>What is the best approach to saving for and purchasing a car? </li><li>How can you get the best possible return on your money with minimal risk? </li></ul>Remember, you can call in to ask your questions most days at (800) 525-7000. Also, visit our website at <a href="https://www.faithfi.com/">FaithFi.com </a>where you can join the FaithFi Community, and even download the free FaithFi app.

The late Colin Powell said, “There are no secrets to success. It is the result of preparation, hard work, and learning from failure.”  ﻿There are also no secrets to successful investing. In the long run, several key factors will determine your results.

Factors for Successful Investing With Mark Biller

The late Colin Powell once said, “There are no secrets to success. It is the result of preparation, hard work, and learning from failure.” There are also no secrets to successful investing. In the long run, several key factors will determine your results. Mark Biller lays those out for us.
Then it’s your calls at 800-525-7000.

Listen to MoneyWise Live each weekday at 4pm EST on Moody Radio.

MoneyWise Live

There's a difference between a house and a home as a good investment. What's the difference between the two? Ron Blue shares his insight and experience on this topic.

The Ron Blue Institute seeks to be a thought leader with great influence committed to changing the way Christians think, act, and communicate about financial stewardship, empowering the church, and changing the world.

Ron Blue Institute

Videos

There's a difference between a house and a home as a good investment. What's the difference between the two?

Is a House a Good Investment?

Values-based investors are in a unique position to redeem capital and wealth.

Eventide’s Co-Chief Investment Officer, Dolores Bamford, CFA, is proving that investors do not have to decide between what is profitable and what is right. Instead, she has been an integral part of Eventide, building a model to deliver superior returns while also making a positive impact on the world.

Listen to Dolores’s personal story as she guides listeners through her journey of developing a passion for finance.

__Transcript:__

I was interested in finance because it reminded me of family dinners and my parents talking about finance and business at the dinner table. My father is my mentor, so he really brought the human aspect of business and management to light. He really lived this service orientation about business, that business’s role is to serve others.

As I continued to gain more experience as an analyst and a portfolio manager, I became more sensitive to how negative business practices and ethics were having a negative effect on shareholder value because it was having a negative effect on certain stakeholders that the two were connected. I would become more sensitive to this and eventually start a US responsible and global responsible equity practice at Goldman Sachs and develop portfolios that are focused on companies that have strong ethics and strong values. Going back to seminary really enabled me to really dive deeper into specific topics where I really wanted to advance my investment philosophy. It really was very confirming to what I had already learned and what I had already experienced, which was that a company that is running a human-centered or an employee-honoring culture is adding value to society and is creating value for their shareholders.

I believe that Eventide is the culmination of my career and my life journey, pursuing virtuous investing and the culmination of my 25-year experience in investment management and as an analyst analyzing companies and recognizing the importance of values and ethics and evaluating companies and in my education as well, my business school education, as well as my theological education. It’s just the absolute perfect fit. As I grew to love finance and to learn about companies, I felt like I was at the dinner table again, talking to my dad and that love for business continues to shine through. Like I’m still talking to my dad 20, 30 years ago.

__Disclosure:__ This communication is provided for informational purposes only and expresses views of Eventide Asset Management, LLC (“Eventide”), an investment adviser. There is no guarantee that any investment strategy will achieve its objectives, generate profits, or avoid losses. Eventide’s values-based approach to investing may not produce desired results and could result in underperformance compared with other investments. Any reference to Eventide’s Business 360® approach is provided for illustrative purposes only and indicates a general framework of guiding principles that inform Eventide’s overall research process. Investing involves risk including the possible loss of principal. Past performance does not guarantee future results.

Eventide

Insights

Values-based investors are in a unique position to redeem capital and wealth.

Investing with Purpose

__How do you decide if a stock will be a good investment?__

Investors' answers to this question usually fall into one of three categories:

1. Indexing – No one can answer this question
2. Quantitative Data Crunching – Looking at objective metrics and tangible assets
3. Fundamental Qualitative Investing – Looking at both objective metrics AND intangible qualities

__Director of Education @ShaunMorgan walks through how Eventide seeks to identify early indicators of a company’s long-term success.__

You can also find the whole story here ⇒

Apple Podcasts: [https://podcasts.apple.com/us/podcast...](https://www.youtube.com/redirect?event=video_description&redir_token=QUFFLUhqbmVqeGtZWFJYOEs3aWhtR2Q4ZGVRTXk5LVQ5QXxBQ3Jtc0tscWVNZzBGaEhvekx0d1I4UVpiRE9CdDFjN25RdGFkclZ2RzJXMEpETVZBLUVBbnVBUThITlhpQUwzMW9qbTJwTHdxV09JMk1mM3gwUUdyUzFmeVlUT1l1cnpZbDdQVlZYRnRtQTZLenNIT0dpQlNwMA&q=https%3A%2F%2Fpodcasts.apple.com%2Fus%2Fpodcast%2Fthe-company-behind-the-stock-price-ft-dolores-bamford%2Fid1691896688%3Fi%3D1000618463660&v=dTqEu32GAFo)
Spotify: [https://open.spotify.com/episode/7ldX...](https://www.youtube.com/redirect?event=video_description&redir_token=QUFFLUhqa1NCVXl0UEVuMXVOQ1VvR3NWY1BrOGtLS09XZ3xBQ3Jtc0tuSTVzX3NoQUlzQ29MZmxVM0dSMnZLUUVsQVJqZTNwckoxOUNCUFd3djdzblY3UXlTNUxxWm50MnBxaTY1UnZQM0Z6NWJVZG16ZVU3OS1nNW9EUlU1ZkVsNUdra0NYV25JQ0VqQ0p3WG9RN1JaSzN6OA&q=https%3A%2F%2Fopen.spotify.com%2Fepisode%2F7ldXyo99v9WalDvie8g6Sb%3Fsi%3D42f3260f7ccb42a2&v=dTqEu32GAFo)
Youtube:   [The Company Behind the Stock Price ft...  ](https://www.youtube.com/watch?v=8slQxSY-qX8&t=0s)
Google: [https://podcasts.google.com/feed/aHR0...](https://www.youtube.com/redirect?event=video_description&redir_token=QUFFLUhqbE1VSENRc1R5TGx0R2pLeGNLOWtUNVFQOE44QXxBQ3Jtc0tuNnBGQWJWU2tGVHZkSHFPY0dxS1otN2RGcDJDM3lKNnhpSk5EVERqazdTNnByYVpNM0MtWUtyUEl5UE1Pa3RlRnoycENXQmNnd2JMTjZzQjdheXREVjk5Y1VTbEw2QnFzTFJaaXJPamxORU1BRl9rRQ&q=https%3A%2F%2Fpodcasts.google.com%2Ffeed%2FaHR0cHM6Ly9mZWVkcy5idXp6c3Byb3V0LmNvbS8yMTcyNTgwLnJzcw%2Fepisode%2FQnV6enNwcm91dC0xMzA5Njk5MA%3Fsa%3DX%26ved%3D0CAUQkfYCahcKEwjg08LI2YSAAxUAAAAAHQAAAAAQBA&v=dTqEu32GAFo)

*This communication is provided for informational purposes only and expresses views of Eventide Asset Management, LLC (“Eventide”), an investment adviser. There is no guarantee that any investment strategy will achieve its objectives, generate profits, or avoid losses. Eventide’s values-based approach to investing may not produce desired results and could result in underperformance compared with other investments. Any reference to Eventide’s Business 360® approach is provided for illustrative purposes only and indicates a general framework of guiding principles that inform Eventide’s overall research process. Investing involves risk including the possible loss of principal. Past performance does not guarantee future results.*

*Eventide’s ethical values screening criteria could cause it to underperform similar investments that do not have such screening criteria. This could be due to ethically acceptable companies falling out of favor with investors or failing to perform as well as companies that do not meet Eventide’s ethical screening guidelines. The Adviser’s judgment about the quality of a particular company may prove to be incorrect.*

*Eventide uses its trademark (“Investing that makes the world rejoice®”) in a figurative manner to help explain its focus on serving investors by helping them improve the world.*

How do you decide if a stock will be a good investment?

Three Ways Investors Evaluate Stocks

In a recent interview on the Invest by Design podcast, Eventide CEO Robin John shares his view that investors are inevitably rooting for a company’s success when investing. This should ultimately shape how we approach investing.

Hear the full episode on [Apple](https://podcasts.apple.com/us/podcast/invest-by-design/id1691896688), [Spotify](https://open.spotify.com/show/5oX2cLjSqqOWe55D92E7WF), [YouTube](https://youtube.com/playlist?list=PLl7ow5b65N2HgPLmmgf1PwkeWxZ5ILMGr), or [Google](https://podcasts.google.com/feed/aHR0cHM6Ly9mZWVkcy5idXp6c3Byb3V0LmNvbS8yMTcyNTgwLnJzcw/episode/QnV6enNwcm91dC0xMzAwNjI5Mg?sa=X&ved=0CAUQkfYCahcKEwjAqcSrzMD_AhUAAAAAHQAAAAAQAQ).

__Transcript:__

*So what were the problems that you saw with investing and how did you think they needed to be fixed?*

*Shaun, when I was starting Eventide with Finny one of the biggest issues I saw in the investment world is that people didn’t even understand what investing is. I think that the number is that 150 million investment accounts exist in this country but I don’t think most of those people have really thought through the purpose of business or of investing. I was actually recently speaking to a professional money manager and that person couldn’t explain to me what the purpose of investing is, but a couple of weeks ago I was at…speaking to a class of undergraduate students and I asked them “what is the purpose of investing?” and they said “to allocate capital” and I said to them “where would you want to allocate capital?” And they started giving me examples of the types of things that they would…where they would want to allocate capital, and so one of the things I often remind people is that we also root for the success of the companies we’re investing in. So it’s not just about avoiding ill-gotten gain, but really like what do you want to see in the world? Those are the areas we should be putting our capital? So if you if you are investing in tobacco, an investor is happiest if everybody in the world smoked tobacco, you want more and more people to be customers in tobacco companies. Vice versa, if you are investing in a cancer drug, you want everybody with cancer to have access to that drug, right? So what are we rooting for in the world? Most investors haven’t really thought through the purpose of investing or the power of investing to change the world.*

__This communication is provided for informational purposes only and expresses views of Eventide Asset Management, LLC (“Eventide”), an investment adviser. There is no guarantee that any investment strategy will achieve its objectives, generate profits, or avoid losses. Eventide’s values-based approach to investing may not produce desired results and could result in underperformance compared with other investments. Any reference to Eventide’s Business 360® approach is provided for illustrative purposes only and indicates a general framework of guiding principles that inform Eventide’s overall research process. Investing involves risk including the possible loss of principal. Past performance does not guarantee future results.__

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