Best Retirement Investments

It is understandable that most retirees are concerned mainly with two things: income and making it last.

The best retirement investments help you achieve both these goals.

But what are the best retirement strategies and options?

Most people will live longer in their retirement years than they may expect, so it is important to make wise choices with your investments. When planning for retirement, you are going to ask what are the best retirement investments? Stocks? Mutual Funds? Bitcoin? Under the mattress? What are the best retirement strategies?

The best retirement investments are those that work for you and your long-term goals. There are certain retirement investment choices that work well for many people and those that do not.

Instead of thinking of the best investment options, you’ll want to think about the RIGHT investment options for you. The right options are those that achieve your long-term goals and lifestyle you want to have in retirement. The following options are some popular choices, as well as some options that aren’t as popular or outdated for the best retirement planning.

Best Retirement Investments – Updated 2022

Own Bonds or Stocks

Most investors are aware that using a tax-advantaged retirement savings plan, like a 401k, 403b, or IRA, is one of the best ways to save and plan for retirement. Within that plan, retirement savers will build a bond or stock portfolio, or purchase income-oriented mutual funds.

Creating a simple portfolio is never that easy but there are options that can help you automate the process at a low cost. In case you take a self-managed route, pay attention to how much of your money is invested in bond funds. Many retirees will live longer than they assume and will need bonds and stocks to effectively overcome inflation effects. Your specific retirement plan holder may have research tools available.

Opt for low expense ratio mutual funds with good track records when possible. Each retirement plan will have specific choices, and it can get confusing. If you need support or have questions, it may be time to engage a professional to help you sort through the options.

Personal vs Private Wealth Management
Build a Portfolio

Build a Portfolio and Make Sure to Manage it Properly

If you are open to the idea of building a portfolio on your own for your retirement investments, consider establishing a diversified combination of about 6 to 8 types of investments.

Rebalancing your long-term portfolio is beneficial to minimizing risks. You can also create powerful, highly effective portfolios utilizing online software and other helpful tools to make sure your goals are on track.

These are just a few of some of the best retirement investment strategies that are highly important to most retirees.

Build a Portfolio and Make Sure to Manage it Properly

If you are open to the idea of building a portfolio on your own for your retirement investments, consider establishing a diversified combination of about 6 to 8 types of investments.

Rebalancing your long-term portfolio is beneficial to minimizing risks. You can also create powerful, highly effective portfolios utilizing online software and other helpful tools to make sure your goals are on track.

These are just a few of some of the best retirement investment strategies that are highly important to most retirees.

Build a Portfolio

Income producing retirement investments

A diversified portfolio may reduce risk and could generate income streams. Saving for retirement using stocks and bonds is a great way to get started, but you may want to consider income-producing investments as well.
Income retirement investments can include mutual funds that pay dividends, which may be reinvested to grow further or can be distributed to you as income. Other options can include real estate, business investments, or even more modern and volatile investments such as cryptocurrency and Non-Fungible Tokens (NFTs).

Regardless of your choices, securities are not insured and may lose value, some of these carry a great deal of risk. Do your research and consult with a professional advisor before diving into any investment. There are lots of “experts” who may make these seem easy, or a no-brainer. Don’t risk your entire nest egg without getting a second opinion.

Income Producing Retirement Investments

Less Recommended Retirement Investment Options – Updated 2022

Retirement Planning Client Experience

Annuities

Annuities can be viewed as “after the fact” pension plans. You can purchase annuities from a reliable and reputable insurance company where the insurer takes the risks of your personal longevity along with market losses. Many individuals like the possibility of a guaranteed and no-fuss income.

Annuities can be tricky and complicated, which is why many retirement planners may not recommend them. These used to be recommended fairly often, however with more choices available at a lower cost to investors, these options may not be the best retirement investment for many people now. There may be some annuity options that are right for you, but it could be a time-consuming exercise to read through all of the fine print.

Company Stock & Pension Plans As Only Savings

Company stock options and pension plans are a great benefit but planning on them as your sole source of retirement income could be a huge mistake. If the pension plan is mismanaged, the money may not be there when, or in the amount, you expected or need it to be.

Diversify your retirement plan by using other retirement planning options. Worst case scenario is you have more than you need rather than having to make difficult decisions because your retirement is underfunded.

Old 401K

How to select the best retirement investments

Here is a little insight into how we select the best retirement investments for you.

We manage portfolios with three main criteria in mind:

  1. Markets are unpredictable – so diversify.
  2. Choose investments that minimize fees and taxes.
  3. Markets change – so should your portfolio.

 

We are diligent about keeping our client portfolios in balance and suitable for the current environment, positioned for long-term opportunities, and aligned with their goals, objectives, and unique circumstances. In addition to frequently monitoring your account for opportunities, we also design our portfolios to adjust as market and economic conditions change. Your investments stay diversified and on track for your goals. This is how we choose the right retirement investments; understand your goals, find the right options within the above criteria, and by developing a plan for you.

 

Examples of current strategies in use:

  • Active bond managers
  • Factor tilting/rotation (dynamic portfolio exposure to value, size, quality, low volatility, momentum)
  • Thematic investing (based on consumer trends, disruptive and innovative technologies, etc.)

1. Diversify

2. Minimize fees and taxes

3. Change is good

In the end, having a solid plan, being diversified, and staying up to date on the latest economic data can create the best retirement plan. It is important to work with a knowledgeable advisor that can guide you through your retirement planning and investing to help to make your retirement goals a reality.

Investing in securities and other investments can be risky. Without the proper education and information to manage your account correctly, things could take a wrong turn very quickly. With all of the options available to investors, it could benefit you to work alongside a professional to help you achieve your retirement goals.

No matter your age or situation, if you are ready to start investing and planning for your retirement contact The Retirement Planning Group today! We are able to help you every step along the way: from wealth management to tax advice, all the way to estate planning we look forward to helping you build the retirement plan of your dreams.

Retirement Income Planning

Retirement Income Planning

Focusing on investments, pensions, social security, tax and estate planning.

Investment Advisory

Investment Advisory

From active portfolios to mutual funds, IRA’s 401k’s, and more.

Income Tax Preparation

Income Tax Preparation

Come tax season, these advisors are your best friend, navigating the tax code with ease for the best return.

Financial Planning

Financial Planning

Your long-term partner, helping you through every stage of your finances from the moment you meet all the way through your retirement.