retirement

7 retirement investing mistakes

Retirement » 7 Retirement Investing Mistakes

Retiring with no plan for income
Retiring with no plan for income

Retirement is a gradual process that involves some planning. Ideally, people begin to transition their portfolio into retirement mode years before they actually hang up their working hats.

"I think that households lose sight of what the end purpose of this entire exercise is. The end purpose is to generate income in retirement, not to accumulate wealth," says Webb.

Throughout their career, workers have lots of time to squirrel away money and wisely invest in a range of assets. As retirement nears, the mix of investments needs to change, moving away from growth in accumulation toward a distribution and preservation stage.

"They need to rebalance their portfolio to make sure their risk tolerance is reflective of their age and timeline to retirement," says Nancy Coutu, Certified Financial Planner professional and principal of Money Managers Financial Group in Oak Brook, Ill.

That usually means scaling back equity exposure and increasing the amount of bonds in the portfolio.

advertisement

Show Bankrate's community sharing policy
          Connect with us
MORTGAGE HOME EQUITY AUTO CDs CREDIT CARDS
Product Rate Change Last week
30 year fixed 4.14%  0.09 4.23%
15 year fixed 3.24%  0.02 3.26%
5/1 ARM 3.50%  0.20 3.70%
 
View Rates in your area Next
Product Rate Change Last week
30K FICO-based HELOC 4.29% --0.00 4.29%
50K FICO-based HELOC 4.04% --0.00 4.04%
100K FICO-based HELOC 3.89% --0.00 3.89%
 
View Rates in your area Next
Product Rate Change Last week
60 month used car loan 2.79% --0.00 2.79%
48 month used car loan 2.99% --0.00 2.99%
60 month new car loan 3.24% --0.00 3.24%
 
View Rates in your area Next
Product Rate Change Last week
1 Year CD 0.98%  0.01 0.97%
2 Year CD 1.17%  0.01 1.16%
5 Year CD 1.77%  0.06 1.71%
 
View Rates in your area Next
Product Rate Change Last week
Balance Transfer Cards 15.75% --0.00 15.75%
Cash Back Cards 16.45% --0.00 16.45%
Low Interest Cards 10.96% --0.00 10.96%
 
Next
advertisement
CD & INVESTING NEWSLETTER

Learn the latest trends that will help grow your portfolio, plus tips on investing strategies. Delivered weekly.

Blog

Jennie Phipps

Medicare: Pricey isn’t always better

On average, Medicare Advantage and Part D prescription drug plan prices aren't going up much this year. Make sure yours doesn't buck the trend.  ... Read more

advertisement
Partner Center
advertisement

Connect with us