Investments

With the many ups and downs in the financial markets, there’s a new paradigm facing retirees today. Traditional asset allocation continues to have a place in a retiree’s portfolio, but more sophisticated portfolio protection strategies must be incorporated to avoid major portfolio losses.

“Today, many people question the simple buy-and-hold stock and bond strategies that in the past were nearly universally accepted as the most sensible way to invest.”*

Your Retirement Advisor suggests that you base your investment plan on academic research from leading financial academics vs. market hype or rhetoric. Your plan should incorporate the following factors: management of acceptable risk; proper asset allocation; intelligent diversification; portfolio rebalancing; tax management; and the reduction of portfolio costs. An effective portfolio is designed based on the trade offs between safety, growth and income.

It’s imperative that you work with an advisor who has the experience and specialized knowledge to understand the myriad of investment strategies available. You’ll need an investment plan that increases your chances of creating a portfolio that can give you the growth necessary to outpace inflation with protection elements that attempt to preserve the portfolio from major losses.