Walter wants to retire within the next few years.
He's been working at the same company for over fifteen years as an accountant.
During that time he's been saving his money and paying off his debts.
However, even with his savings and investments, he isn't sure that he'll have enough money for retirement.
If he doesn't, he'll have to keep on working, which depends on the company.
For now, the company is okay, but it's no longer growing as fast as it used to.
Whether or not he can keep on working will also depend on his health.
Fortunately, he's in good health, but he knows that that could change at any time.
If he fell down or had a stroke, it could force him to stop working.
If that happened he would have to rely on his savings and other assets to survive.
Sooner or later, he knows his health will decline and he'll have to stop working.
So he needs to prepare.
Most of his wealth is in the form of company stock and the value of his home.
Both of these are at risk.
The company stock may go down, and the value of his home may also fall.
The company he works for is a pharmaceutical company.
It develops new drugs, which is a risky business, and sells them worldwide.
It's expensive to develop new drugs, and it can take a very long time to get a new drug approved.
Without government approval, it can't be sold, which can result in a huge loss.
Another threat to the company comes from foreign competition, which is getting stronger.
The company has also started to move some of its research and production facilities overseas.
Salary levels are lower there, and the quality of foreign workers is getting better.
As a result, the company has reduced its local hiring and is no longer giving large bonuses.
One thing he is considering is to sell his shares in the company.
He could begin to sell a little at a time and reinvest the money somewhere else.
But where would he invest?
He doesn't know much about investing, and several of his friends have lost a lot by making bad investments.
Investing in real estate or the stock market could be very risky.
In the best case he would make a lot of money.
If that happened he could finally retire and enjoy a comfortable life.
On the other hand, in the worst case, his investments could result in a huge loss.
If that happened, he wouldn't be able to enjoy his retirement.
He wouldn't be able to travel or do any of the things he has dreamed about doing.
So, now he has to decide what he should do.
Should he begin to sell his stock in the company, or should he wait until he actually needs the money.
If he sold now, he would have to decide what to do with the money.
His investments could turn out well, or they could turn out to be a disaster.
On the other hand, if he decides to wait, everything will depend on the company.
The one advantage he has with this option is his being on the inside of the company.
With his insider information, he can predict the company's short-term future.
This is especially true because, as an accountant, he has access to the company's financial data.
If things start to go badly, he can begin to sell his stock and avoid a big loss.
Otherwise, it's probably safer to keep his stock and hope that the company does well, even if its growth rate declines.
So for now, that's probably what he should do.
If you were he, what would you do?
(In his role as an accountant, he has special access to the company's financial data.)
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