Make the Most of Your Time at Home

FREE, On-Demand Webinars on:

David J. Scranton is an Amazon Bestselling Author, money manager, and founder of: Sound Income Strategies, LLC, The Retirement Income Store®, Advisors’ Academy, and Scranton Financial Group. Dave is on a mission to reach 7 out of 10 Baby Boomers with the important message: When it comes to planning and saving for retirement, it’s all about investing for income. With more than 30 years of experience, Dave has specialized in income-generating investment strategies for the past 20 years. Prior to that, he followed a typical business model focused on stock market-based investments. However, in 1999, while many on Wall Street believed the sky was the limit for stock market investors, Dave’s knowledge of history led him to believe something different. It was at this time that Dave made the change to a business model focused primarily on non-stock market, income-generating investment options. As a result, Dave was able to help many of his clients avoid damaging losses during the two major market corrections we’ve experienced since the turn of the century. Invited to appear on CNBC, Bloomberg, and Fox Business, Dave is also the host of his own TV show, The Income Generation, broadcast to 70 million households each Sunday on NewsmaxTV at 10 am.

Click here to get started

Ready to Reopen, America?

By David J. Scranton, Founder of The Retirement Income Store®

I hope all of you are doing well and staying healthy during these difficult times. It seems like things are calming down a bit with some encouraging news coming out recently to suggest a possible light at the end of the tunnel.

Although we’ve reached one million coronavirus cases across the country, the good news is that we seem to be flattening the curve in terms of hospitalizations and new COVID-19 cases. As I write this, recent news suggesting that Dr. Fauci is hopeful about promising clinical trial results for the experimental drug Remdesivir gives us reason to be optimistic.

Amid the good news, I am a bit concerned with the apparent rush to reopen the country and the economy. President Trump seems to be speaking out of both sides of his mouth, first saying that we should keep up social distancing and precautions like wearing masks through mid-summer, then suddenly pushing certain governors to reopen their states and economies ASAP.

Many Americans have also started protesting, saying they want the country to reopen so they can get back to work, which is understandable.

My biggest concern, however, is preventing a second wave. I’m afraid that if we rush to reopen too soon, it could be similar to when someone gets cancer and it goes into remission. Then, that cancer returns. However, the second time it tends to come back with a vengeance.

I’ve frequently mentioned on my show The Income Generation that in many ways, your health is your wealth during retirement. Without your health, all the money in the world won’t matter much.

So, the most important thing I want to stress with each of you is to continue taking precautions to keep yourself safe and healthy. Just because a government official says it is time to reopen doesn’t mean you have to rush and take risks you are not comfortable with.

Right now, the reports on the news can be unnerving. It can be easy to get into a negative frame of mind. Others might feel depressed as a result of so much time alone in quarantine.

I believe that by getting plenty of rest, eating right, and finding time to do a little exercise—if allowed by your doctor—you can go a long way in maintaining your physical and mental health, so you can make it through this difficult time happy and healthy.

Why Par Matters


With all the uncertainty circulating about the coronavirus and its impact on the economy, the financial markets have experienced their fair share of volatility recently.

Huge stock market losses during March caused stock market investors plenty of heartache and stress. During this same time, many who have been Investing for Income experienced smaller losses—with most only being losses on paper, because of what is known as Par Value.

When you place your money in fixed income investments, or what we like to call Investing for Income, you get a par value. Here’s why that matters.

Since bonds are debt instruments, they have a fixed interest payment and a fixed amount that has to be repaid at maturity—known as the Par Value. So, if the market value of that bond happens to drop below the par value, bond holders still receive the par value at maturity, provided there are no defaults.

Preferred stock is a class of equities that also have a fixed dividend and a par value. That means that if the market value of those shares drops below the par value, investors will still receive the fixed dividend payment, provided there are no defaults.

If that company ever wants to redeem or call those shares, those shares get called back at par value.

Another way fixed income investors can take advantage of par values is to invest in Business Development Corporations, or BDCs. Although BDCs do not have a par value, they do have loans to businesses inside their portfolios, and those loans do have a par value.

In addition to helping investors limit their possible losses, history has shown that investors who’ve held these types of debt instruments and had them drop in value during major downturns, like the Financial Crisis of 2008, generally saw their asset values recover more rapidly than common stock prices.

These are just a few reasons why I believe Investing for Income is such a great option for anyone who is retired, or within 10 years of retirement.

Bonds vs. Bond Mutual Funds

During difficult times like we’ve been facing lately, a common realization for investors nearing retirement is that they might be taking on more stock market risk than they should. Naturally, most will ask their financial advisors about diversifying into fixed income investments.

Unfortunately, most advisors will just take the easy way out and offer you a bond mutual fund.

The thing is bond mutual funds include costs, risks, and tax implications that can be bad for your financial health. The ease and convenience that these mutual funds offer your advisor come at a cost to you. That’s why we say that mutual funds are the disease of ease that’s putting Americans’ retirement at risk.

Our recently updated financial report, Bonds vs Bond Mutual Funds, explains the hidden dangers that lurk in bond mutual funds—and how an actively managed portfolio of individual bonds can help you avoid them.

Don’t let your financial advisor’s shortcuts rob you of the retirement you deserve.

Click to download

Now Is Not the Time to Be a Creature of Habit


I’d like to share a story that I also told in my most recent book, The Retirement Income Stor-E, about a little girl who sees her mother cut off the ends of the roast before she puts it in the oven. Curious, the girl asks her mom why she does that. The mother explains, “That’s the way we’ve always done it. It’s the way your grandma did it.”

“But why?” the daughter asks. The mother replies, “To tell you the truth, I don’t know why Grandma does it, but we’re going to grandma’s house this weekend. When we get there, you can ask her.”

That weekend, they go to grandma’s house and the little girl does just that. Grandma laughs and says, “Oh honey, I haven’t done that in years. I used to do that when your mom was little because our roasting pan was so small we had to cut off the ends to make it fit.”

It turned out there was no particular benefit to cutting off the ends of the roast. It was just something this girl’s mother got accustomed to seeing her mom do during her childhood and continued to do once she grew up.

Humans are creatures of habit, and I find this to be a great metaphor that illustrates the fact that we tend to repeat our behavior, whether it really makes sense or not.

As I’ve mentioned before, many Baby Boomers first got serious about investing in the ‘80s and ‘90s, in what was the greatest bull market in U.S. history. As a result, many became accustomed, and even addicted, to the double-digit gains that became the norm. Boomers also got accustomed to rationalizing things, like ultra-high P/E ratios, since it seemed we couldn’t lose during that time.

Many rationalized it until it blew up in their faces — not once, but twice. Even after the two major crashes that started in 2000 and 2007, many Baby Boomers remain overexposed to stock market risk—whether it makes sense or not.

Although the stock market has managed to recover a good chunk of the losses it experienced in March, I believe things could get worse before they get better. For anyone who is retired or within 10 years of retirement, the market’s recent run provides a great opportunity to recalibrate and take some risk off of the table.

If you would like to learn more about the best ways to reduce your exposure to stock market risk, visit to find an Income Specialist in your area who would be happy to help you out.

If you liked the story I just shared, make sure to check out The Retirement Income Stor-E which is available on


RIS Media Center

Typically, we recommend one educational resource to our readers. This month, since many of us might have extra time on our hands to read, we’re recommending three books that have made Amazon’s List of Hot New Releases in Retirement Planning.

It’s Now or Never: How to Enjoy Your Life and Not Let Your Investments Own You

By Dee Carter, Founder and President, Carter Financial Group, and an Income Specialist with The Retirement Income Store®.

Chock-full of wisdom and financial tips, It’s Now or Never presents a fun way to learn important lessons about planning and saving for retirement. Using captivating stories, Dee Carter shares time-tested insights that can help readers avoid costly mistakes so many people make when planning for retirement.


Common-Sense Income Strategies

By Michael Eastham, CPA, PFS, Founder & President,

Fellowship Financial Group

Wall Street has long preached that over the long run, stocks offer a return of 8 to 10%. Although there have been periods where this is true, there have also been periods where stocks crashed, and it took up to 16 years to get back to where they started. What’s worse is that the crawl back to break even, after more than a decade, is never certain and entails its own rocky path.


The Common-Sense Bull: The Keys to the Good Life Before and During Retirement

By Eddie Ghabour, Co-Owner and Managing Partner, Key Advisors Group, LLC

In his book, Eddie Ghabour, seasoned financial advisor and regular HOT NEW guest on nationally syndicated financial TV shows like Varney & Co., provides readers with the frame of mind and strategies required to not RELEASES only survive, but thrive, in today’s markets. Available on



CALL 888.888.4176

To claim your FREE Retirement Income Kit.This kit can help to ensure your retirement plan is built to thrive in the new corona economy.I’ve been saying I wouldn’t be surprised if the Fed starts buying stocks. Recently, Mohamed El-Erian echoed that concern, when he said the Fed buying stocks could lead to a ‘Zombie’ market. It seems market participants are assuming the Fed will buy stocks. But what if it doesn’t? Investors better be ready, or a lot of wealth could be destroyed.

— David J. Scranton

Download PDF

© 2020 The Retirement Income Store®/ Sound Income Strategies

All written content on this document is for information purposes only. Opinions expressed herein are solely those of the Retirement Income Store and our editorial staff. Material presented is believed to be from reliable sources; however, we make no representations as to its accuracy or completeness. All information and ideas should be discussed in detail with your individual advisor prior to implementation. Fee-based financial planning and Investment Advisory Services are offered by Sound Income Strategies, LLC, an SEC Registered Investment Advisory firm. This document shall in no way be construed or interpreted as a solicitation to sell or offer to sell Investment Advisory Services to any residents of states where otherwise legally permitted to conduct business.