Most Americans approaching retirement are making the same costly mistake: they are relying almost entirely on mutual funds and target-date funds that were designed for the average investor — not for maximizing returns.

The Problem with Average

The Dow Jones Industrial Average returned 12.97% in 2025. The Barclays Hedge Fund Index returned 12.49%. Wallace Investments returned 24.67% — and 48.43% when including our hedge program. The difference between average and exceptional, compounded over 10 to 20 years, is the difference between a comfortable retirement and a remarkable one.

The Three Pillars of Retirement Wealth

After 39 years advising clients, I have found that successful retirement planning rests on three pillars. First, consistent above-market returns that compound over time. Second, downside protection — keeping losses small in bad years is just as important as gains in good years. Third, tax efficiency — working with CPAs and accountants to minimize what goes to the IRS and maximize what stays in your portfolio.

It Is Never Too Early — or Too Late

Whether you are 35 and just starting to think seriously about retirement, or 60 and looking to accelerate, a disciplined investment strategy makes a meaningful difference. The key is starting with an honest assessment of where you are and what you need.

Wallace Investments offers a free consultation to review your current retirement strategy. There is no obligation — just a clear-eyed look at whether your money is working as hard as it should be.

Disclaimer: The information provided in this article is for educational and informational purposes only and does not constitute investment, financial, or legal advice. Past performance is not necessarily indicative of future results. Investing involves risk, including the possible loss of principal. Wallace Investments is an SEC-Registered Investment Advisor. Please consult with a qualified financial advisor before making any investment decisions. © 2026 Wallace Investments.