The findings of a recent study suggest that “retirees tend to reduce spending once they realize they are unprepared for how quickly expenses add up.” However, the study also found that certain subsets of retirees – such as retirees with pensions – spend considerably more than average, which the author of today’s article points to as reflecting “the power of predictable income”. Where does that leave retirees without pensions? The author highlights one strategy they can use to harness this power. CLICK HERE.
It has been 10 years since the housing crash of 2008, the fallout from which decimated the retirement accounts of many – and now one financial security expert is warning that “the danger of another crisis lurks despite assurances to the contrary.” She cautions that “The massive regulatory response to the subprime crisis meant that banks were no longer allowed to behave badly. So they have chosen to behave differently – and that’s not a good thing.” For more on this potential crisis developing in the shadows, CLICK HERE.
The problem with investing and saving for retirement, according to the author of today’s article? “People are “psychologically ill-equipped” to invest in risk assets, even if they need to do so. They also don’t save very much for retirement, possibly because they don’t think they need to yet or because they can’t afford it.” This is where behavioral finance can make a difference. What is behavioral finance, how are behavioral finance concepts important to retirement planning, and what can behavioral finance teach us about how to better plan for retirement? CLICK HERE.
What’s the best investment choice right now for investors who are retired or nearing retirement (and thus are looking for reliable income)? The author of today’s article notes that, while income investors turned to investments such as high-yield bonds, master limited partnerships, high-yield dividend stocks and more in recent years, “Today’s best investment choice for investors in or near retirement just might be one they heavily favored before the financial crisis but ignored in recent years.” For more, CLICK HERE.
When it comes to utility stocks, the author of today’s article notes that “Retirees have been favoring these stocks for years…and they have been handsomely rewarded.” But is it time for retirees to adjust their stance on utility stocks and look elsewhere for income? That’s the recommendation of the man behind a top-ranking newsletter. Why? And, if not utilities, which stocks does he recommend instead for “yield-hungry retirees”? CLICK HERE.
Are you better off retiring in a bull market or a bear market? For those who have the option of retiring now while the good times are still here or waiting until things go south, this is an especially salient question. In today’s article, the author runs the numbers on retiring during a raging bull market versus retiring in a bear market, and shows why the latter may be better. For more – including some insights on retiring during times of uncertainty when there is neither a bull market nor a bear market – CLICK HERE.
Despite the volatility associated with the oil industry – and the fact that oil prices have once again crashed into a bear market – the author of today’s article points out that there are still solid picks in this area for conservative investors, including retirees. He proceeds to highlight three blue-chip oil stocks with “attributes that make them high-yield retiree dream stocks, capable of delivering generous, safe and rising income even when oil prices crash.” For an in-depth look at these three stocks – and which one the author believes is the best of the bunch – CLICK HERE.
How should you invest your retirement accounts? With IRAs holding about $9 trillion and 401(k)s holding about $5 trillion, that is the critical question that today’s article tackles. In seeking to answer it, the author highlights the importance of intrinsic stock value, reinvested dividends (and tax deferral), diversification – and Warren Buffett. For more on investing your retirement accounts, CLICK HERE.
What are the biggest sources of financial regret among Americans who have retired or are nearing retirement? A recent study examined just that – and today’s article outlines its findings. More specifically, the author highlights ten “retirement killers” the study identified “that might not be so obvious in advance.” For these ten retirement killers – “and the probability that each one will leave you with saving regret after age 60” – CLICK HERE.
As market volatility picked up in October, so did the daily trading activity in 401(k) plans – with one analysis finding that the daily trading activity in 401(k) plans was more than double the normal level during this period, as investors abandoned equities and fled to fixed income. But retirement investors may be increasing their risk of a “retirement fail” with this sort of “knee-jerk” trading activity. For more, CLICK HERE.