Ask Experts Questions for FREE Help !
Ask
    tableclocks's Avatar
    tableclocks Posts: 383, Reputation: 2
    Full Member
     
    #1

    Apr 4, 2014, 05:43 AM
    Where do retiires put money
    Well... I would like to make about 3% or more.. how do the bond funds work ? Or like the mutual fund bonds... if the market takes a dive like in 08 and 09.. what funds or bonds, type of bond funds is it good to be in?
    I have some follow up questions if you don't mind.. I use fidelity now... and don't know who to trust.. not even sure about the bonds... who is good or bad... or a 2 1/2 % cd for 5 to 10 yrs..

    Tkank you... richard
    smoothy's Avatar
    smoothy Posts: 25,495, Reputation: 2853
    Uber Member
     
    #2

    Apr 4, 2014, 05:55 AM
    Good luck finding a CD paying anywher near that much right now... I'm not retired but I'd be moving my money there if I found one. All I've found pay a fraction of a percent right now.

    I'd trust a financial advisor you can sit across from and talk in person with far more than I would the advice of any nameless face on the internet.
    ebaines's Avatar
    ebaines Posts: 12,130, Reputation: 1307
    Expert
     
    #3

    Apr 4, 2014, 08:02 AM
    I agree with Smoothy - talk to a financial adviser. Actually my dealings with Fidelity in this area have been quite good - my mother-in-law has her retirement investments there, and I meet with her advisor annually to review how it's going and make any changes. The advantage of Fidelity is thet have a very wide range of offerings, and very reasonable costs. Financial planning is way to complicated a topic to discuss here with any specificity, but I suspect that the adviser would suggest a mix of bond funds and stock funds. You need both - bond funds have less volatility but may not do any better thanb inflation. A large cap fund that focuses on dividend income will easily return 3% or more in dividend income, but at some risk to your principal. I am a believer in balance - assuming you are around 70 you need to have a plan that will provide income for the next 25 years or so and keep up with inflation, and to do that you need a good mix of bonds, large cap stock fund, small cap growth fund, and an international stock fund. If you have an IRA and/or 401(k) the adviser can also help develop a strategy for drawing down those funds over time in your retirement. You should also consider strategies for estate planning - even if your net asset value is modest, if you intend to leave any for your heirs there are strategies of how to draw down your retirement funds (IRA and 401k) as opposed to other investments that you should be aware of.

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

College Student Looking to Invest - Where to Put My Money? [ 9 Answers ]

Like the title says, I'm a 19 year old college student looking to invest what money I've saved over the last year or so. I've managed to save roughly $10,000 to put towards investing (planning to eventually use it for a down-payment on a home), but my question lies in where to put my money. I...

Should I put money in the mortgage or in the car credit [ 3 Answers ]

I have some money and want to know where is better to put it, in the mortgage or in the car debt? Thank you very much for your help.

How do I put money into my account [ 1 Answers ]

I just opened up a new bank account in natwest and nationwide and received my debit card in the post along with my pin. I was just wondering how do I put money into my account with my debit card, over the counter at a natwest or nationwide branch.

Money being put into my account that is not mine [ 3 Answers ]

Right, it's a complicated one but stay with me. I knew I had a dd coming out of my halifax single account and into my halifax joint account for 340 but I didn't have enough funds in it so I made a one off payment through the internet from my abbey bank account as I was in the process of changing...

Money being put into my account that is not mine [ 2 Answers ]

Right, it's a complicated one but stay with me. I knew I had a dd coming out of my halifax single account and into my halifax joint account for £340 but I didn't have enough funds in it so I made a one off payment through the internet from my abbey bank account as I was in the process of changing...


View more questions Search