Wolk Financial Management
Evan Wolk, Managing Director of Wolk Financial Management, Inc. has over 27 years’ experience in the financial services industry. Prior to founding WFM, Evan worked for Smith Barney in Boca Raton where he provided his clients a broad range of financial services including the development of investment strategies and the implementation of comprehensive financial plans. His experience includes equities, 529s, fixed income, managed funds, insurance and retirement planning. As a financial advisor and independent contractor with KMS Financial Services, Inc., Evan is not tied to a specific company's products or required to use proprietary funds; he has the freedom to align his clients’ needs with the most appropriate products. Additionally, he holds the Chartered Retirement Planning Counselor designation.
Throughout his years of service, Evan has identified two primary needs facing his clients today, retirement planning and education planning. Quite often, these issues are intertwined. Evan is able to see “the big picture” and understands that decisions involving both areas cannot be made in a vacuum. He is known for his ability to ask the right questions and assist his clients in developing a plan to achieve their goals.
Prior to moving to South Florida in 2002, Evan was a Vice President in the Securities LendingDepartment of J.P. Morgan (formally chase Manhattan/Chemical Bank) where he was responsible for the sales and trading of a $100 billion highly successful diversified securities lending program. He also spent four years with Yasuda Bank and Trust Company (U.S.A) where he served as the investment manager of the securities lending department.
While attending The George Washington University in Washington, D.C., (where he earned a B.A. in International Affairs with a concentration in International Economics) Evan worked for the United States Department of State where he served as an Intelligence Operations Specialist responsible for preparing the daily classified morning summary of intelligence reports for the Secretary of State.
Since relocating to South Florida, Evan has become an active member of the community consulting the City of Parkland on their Police Officer Defined Benefit Plan. He currently serves as the Chairman of the Parkland Chamber of Commerce where he has been an active member for over twelve years.
BA, International Affairs, The George Washington University
Assets Under Management:
Securities and advisory services offered by Evan Wolk through KMS Financial Services, Inc., Member FINRA, SIPC. Evan is currently licensed in the following states: CA, CO, CT, FL, MA, NJ, NY, VA and WI.
Evan Wolk Investopedia
Target date funds can be a relatively simple way to accomplish the goal maintaining a well balanced portfolio that both re-balances periodically and adjusts (decreases) risk as you age and grow closer to retirement. There are a few potential issues, however, with these types of funds. There are no strict rules or guidelines that govern what allocation is appropriate at each age (length to retirement) and many different funds that have similar target dates have different allocations. You can either determine on your own or discuss with a professional what a correct current allocation is comfortable to you and adjust to the target fund that matches that mix. Alternatively, many fund families offer different fixed allocations, (conservative, balanced, agressive, etc.) you can use one of those. Either way you should stay updated and make periodic adjustments depending on your ongoing situation and as you age. One potential pitfall of target date funds, and a reason I tend to avoid recomending them for things like college planning (529s) is that the timing of market declines (which are inevitable) may be compounded as a fund can allocate away from riskier (potentially higher returning) assets during a pullback making recovery more difficult.
First, I would like to congratulate you on starting to plan for your future at such a young age. The power of compounding returns over years using even small periodic contributions will reward you later in life. As it relates to insurance, I am of the mind that (at least for most people) it is better to invest to invest and to insure to insure. Everyone's situation is different, but I try to direct my clients to first ascertain what their insurance needs and for how long in the event of an unforseen event, then secure insurance using the most cost effective means. My preference to keep investments seperate from insurance. You should research your workplace suported insurance, it is likely very reasonable, then suplement to achieve your desired coverage.
Instead of focusing on an everage nest egg you should be concerned with your personal situation and how you can best prepare yourself and your family for a succesful retirement. Considerations should include your (and your spouse if you are married) ages, income expected dates of retirment, health and the type of retirement income you will need to support the lifetsyle you desire There are no simple or easy answers to these questions as they can be (and are) very personal to your specific situation. I feel it is very important that people face these questions head on as the earlier you put a workable plan in place the greater the chance for a succesful outcome.
You need to consider many factors before making such a dramatic move such as liquidating all investments and being in nearly all cash (money market). If you are 8 years until retirement I can assume you are somewhere in your upper 50's or early 60's. If you (and your spouse if you are married) are reasonably healthy it is safe to assume at least one (or both, hopefully) will live another 30 or perhaps 40 years. You need to consider if you have enough assets (including pensions, investments, properties, and expected Social Security) to fund a lifestyle that you desire for your retirement, including a reserve for unexpected expenses (potential health related issues being of particular concern). Short term market timing is virtually impossible, and it is my experience once wholesale liquidations on a "fear move" are done it is very difficult to re-enter the market. My advice to is speak to a professional or look at various available risk analyzers and devise an overall asset allocation that fits your time horizon, risk tolerance, and provides you and your family the best opportunity for future success.
Before I offer my thoughts on municpal bond ETFs and precious metal funds I would like to caution you based on your question. It is my opinion that it is nearly impossible to predict short term (and I define 6 months as short term) activity so if you are concerned about that time frame or may need the funds you are looking to invest within 6 months I suggest you keep to extremely conservative and liquid vehicles.
The above notwithstanding, there have been many recent upheaveals in the municipal bond market, Puerto Rico and Illinios bonds the most recent and newsworthy though there are many municpalities experiencing various degrees issues. Understand that a bond ETF (or just about any ETF) is designed to track a predetermined index and owns securities within in an attempt to mimic the return of the designated index. Though historically municpal bonds (especially highly credit rated) have a low incidence of default they can and do happen and additional downgrades may negatively affect prices. Additionally, as these types of ETFs generally do not have a stated maturity, a rise in interest rates may cause the price to fall. Also, you should calculate the tax equivalency of the interest earned to determine if municipal or taxable debt is a better fit for your individual situation.
As for precious metal funds, I believe that (assuming your risk tolerance and time horizon permit) many portfolios are benefited by the addition of a small percentage of precious metal. It can act as an uncorrelated asset class that may protect a portfolio from geopolitical risks or inflation.
Please allow me to summarize, it is impossible given the information offerred in your question to opine definitively on municipal bond ETFs or precious metal funds, but a well designed and diversified portfolio (taken in to account risk tolerances and time horizons) can certainly be aided by the addition of those two asset classes.