Where did all the workers go? In what’s being called the “Great Resignation,” there’s nothing great about it, especially for investors who thought they had “enough” to retire on. It’s a terrible situation to be in, not knowing when to “get back” in or how to invest with safety in mind. That’s why you need a plan well before times like these, because a failure to plan is a plan to fail.
In my conversations with you, the first area we cover is risk. We talk about diversifying your portfolio with an eclectic mix of dividend payers and allocating for income/safety with bonds. We don’t use just any bond strategy, but a bond ladder where you own the bonds outright, much like you do a CD (there’s a set maturity date).
What’s hard about retirement is if you take a hit, it’s incredibly difficult to go back to work once you’ve retired. Make sure you’re in a good place before pulling the ripcord. Do you have a portfolio that will get you through the hard times? What’s your allocation? When will you take income, and will it be from your IRA before age 72 or not? These are questions that deserve an answer well before the storm.
Action Line: If you’re investing in markets, I want you to be paid in the form of dividends and interest. If you need help constructing a mix that’s right for you—and only you—let’s talk.
E.J. Smith - Your Survival Guy
Latest posts by E.J. Smith - Your Survival Guy (see all)
- If You’re a Highly Effective Person, We Should Talk - March 24, 2023
- What’s Happening to Charles Schwab? - March 24, 2023
- Prepare for the Predictable - March 24, 2023
- Is Vanguard Voting Against Your Political Beliefs? - March 23, 2023
- Call It the Difference between Normal and Crazy - March 23, 2023