Phil Cannella – Phillip Cannella News: Phil Cannella, as has been covered elsewhere, is a strong believer in retirees putting some of their assets into vehicles that afford protection from market crashes. This is the core principle behind his Crash Proof Retirement System™.
One of the guiding principles of Phil Cannella’s beliefs is contained in what he calls a “financial commandment” and it goes like this, “The most fundamental financial commandment in investing is ‘get in low; get out high.’ Yet, most advisors didn’t. In the months leading up to the crash, did you get a phone call from your advisor saying, ‘I’m concerned that the market is at an all-time high and I noticed some of the profits we’ve had are starting to dwindle. Let’s take some money off and put it into a temporary money market account where it will be safe.’ If you didn’t, it’s time to take a serious look at your financial general practitioner.”
Historically speaking, Phil Cannella explains, people don’t get off the market when it is high. They feel buoyed by the market performance, feel it is going to keep riding high and then poof, the markets crash, they lose all their gains and then some and then of course regret that they did not act earlier.
Phil Cannella insists that we do not let this type of mentality get in the way of our ability to clearly think and adjudicate.