The principles outlined in our Compelling Wealth Management Conversations program can help guide you when conversing with your 403(b) clients about the advantages of their 403(b) retirement plan. Encourage them to take action by enrolling in their 403(b) and maximizing their contributions.
Consistency: A 403(b) retirement plan can be an effective vehicle for practicing the principles of sound investing. It encourages a discipline of long-term savings by offering the ability to contribute funds on a consistent basis over time. Talk to 403(b) participants about how the consistency of contributions and the power of compounding and dollar cost averaging may enhance returns. Use the 403(b) Basics Presentation to help you walk your clients through these concepts.
Courage: With greater investment understanding and a retirement strategy in place, 403(b) investors may be more likely to avoid emotional pitfalls in their decisions and stick to an investment plan.
Balance: Remind participants that constructing and periodically rebalancing their portfolios across asset classes and styles can help reduce risk.