Is average return misleading

Is average return giving you the full picture of your retirement strategy? Many investors are encouraged to focus on average annual returns when evaluating their investments. While average return is a commonly discussed performance measure, it doesn't always reflect what retirees actually experience—especially when they begin taking income from their retirement savings. In this video, Steve Kent, CEO and Founder of Steve Kent Financial Services, explains why average return can sometimes be misleading and why retirement planning should focus on much more than a single performance number. When you're accumulating wealth during your working years, investment growth is certainly important. However, once you enter retirement, the conversation changes. You begin taking withdrawals, relying on your savings for income, and facing new challenges such as market volatility, inflation, taxes, healthcare costs, and longevity risk. Two investment portfolios may report the same average return over time, yet produce very different retirement outcomes. Why? Because the order in which returns occur—often referred to as sequence of returns risk—can significantly affect how long your retirement savings last. Large market declines early in retirement, combined with ongoing withdrawals, may reduce a portfolio's ability to recover, even if long-term average returns appear strong. In this video, we discuss important retirement planning concepts including: • Average return versus real retirement outcomes • Sequence of returns risk • Retirement income planning • Guaranteed income strategies • Social Security planning • Tax-efficient retirement income • Inflation protection • Wealth preservation • Investment risk management • Creating dependable retirement cash flow A successful retirement isn't built on chasing the highest average return. It's built on creating a strategy that balances growth, income, risk management, and flexibility while supporting the lifestyle you've worked so har