Own Bonds or Stocks

Most investors are aware that using a tax-advantaged retirement savings plan, like a 401k, 403b, or IRA, is one of the best ways to save and plan for retirement. Within that plan, retirement savers will build a bond or stock portfolio, or purchase income-oriented mutual funds.

Creating a simple portfolio is never that easy but there are options that can help you automate the process at a low cost. In case you take a self-managed route, pay attention to how much of your money is invested in bond funds. Many retirees will live longer than they assume and will need bonds and stocks to effectively overcome inflation effects. Your specific retirement plan holder may have research tools available.

Opt for low expense ratio mutual funds with good track records when possible. Each retirement plan will have specific choices, and it can get confusing. If you need support or have questions, it may be time to engage a professional to help you sort through the options.

Build a Portfolio and Make Sure to Manage it Properly

If you are open to the idea of building a portfolio on your own for your retirement investments, consider establishing a diversified combination of about 6 to 8 types of investments.

Rebalancing your long-term portfolio is beneficial to minimizing risks. You can also create powerful, highly effective portfolios utilizing online software and other helpful tools to make sure your goals are on track.

These are just a few of some of the best retirement investment strategies that are highly important to most retirees.

Income producing retirement investments

A diversified portfolio may reduce risk and could generate income streams. Saving for retirement using stocks and bonds is a great way to get started, but you may want to consider income-producing investments as well.

Income retirement investments can include mutual funds that pay dividends, which may be reinvested to grow further or can be distributed to you as income. Other options can include real estate, business investments, or even more modern and volatile investments such as cryptocurrency and Non-Fungible Tokens (NFTs).

Regardless of your choices, securities are not insured and may lose value, some of these carry a great deal of risk. Do your research and consult with a professional advisor before diving into any investment. There are lots of “experts” who may make these seem easy, or a no-brainer. Don’t risk your entire nest egg without getting a second opinion.

Company Stock & Pension Plans As Only Savings

Company stock options and pension plans are a great benefit but planning on them as your sole source of retirement income could be a huge mistake. If the pension plan is mismanaged, the money may not be there when, or in the amount, you expected or need it to be.

Diversify your retirement plan by using other retirement planning options. Worst case scenario is you have more than you need rather than having to make difficult decisions because your retirement is underfunded.

Here is a little insight into how we select the best retirement investments for you.

We manage portfolios with three main criteria in mind:

1. Markets are unpredictable – so diversify.
2. Choose investments that minimize fees and taxes.
3. Markets change – so should your portfolio.

We are diligent about keeping our client portfolios in balance and suitable for the current environment, positioned for long-term opportunities, and aligned with their goals, objectives, and unique circumstances. In addition to frequently monitoring your account for opportunities, we also design our portfolios to adjust as market and economic conditions change. Your investments stay diversified and on track for your goals. This is how we choose the right retirement investments; understand your goals, find the right options within the above criteria, and by developing a plan for you.

Examples of current strategies in use:

• Active bond managers
• Factor tilting/rotation (dynamic portfolio exposure to value, size, quality, low volatility, momentum)
• Thematic investing (based on consumer trends, disruptive and innovative technologies, etc.)