Some of the best investment opportunities will come through someone who knows where to find them. If you have someone helping you invest your money, you can usually count on them to present you with good investment opportunities and use the retirement calculator for best result. Before accepting anything, however, it is important to really think about the size of the risk, and the offer. Does it sound reasonable? Investing in hair spray for cats might not be very smart, but investing in real estate on sought after land might just be a great idea. Not only should you think about the idea, you should also think about the state of the economy and current trends in buying.
The reason things pan out so badly, is that, the investment in the stock market (or even most mutual fund committees) is mostly dealt on by either an amateur investor or a short-sighted professional whose formulae know no better; and there is hardly anything scientific about the way the amateur investment process goes about its business. People can use the retirement calculator if they like to buy stocks like they buy cars – if it looks good, and a couple of your friends have it, how bad can it be? They probably haven’t heard of investment advice from the conscientious investors, that recommends investment strategies like asset allocation.