Making decisions about your
retirement account can seem overwhelming, especially if you feel unsure about
your knowledge of investments. However, the following basic rules can help you
make smarter choices regardless of whether you have some investing experience
or are just getting started.
Taking Taxes Into Account When Saving & Investing isn’t always top of mind, but it should be.
Investing with an eye toward promoting social, political, or environmental concerns (or at least not supporting activities you feel are harmful) doesn't mean you have to forgo pursuing a return on your money. Socially responsible investing may allow you to further both your own economic interests and a greater good, in whatever way you define that term.
As the market continues its upward rise, we believe the emphasis we place on our managers holding cash makes more sense than ever. With most Mutual Funds lagging the S&P 500 Index for 10 years, we feel it is important to go against the crowd. For example only 3% of the 7,500 U.S. equity funds tracked by S&P Capital IQ recently had cash positions of 10% or higher, while 97% were almost fully invested.
The 4% rule has received a lot of attention recently, as recent market woes of the past 18 years – from the tech crash of 2000 to the global financial crisis of 2008 – have pressured both market returns and increased volatility in the portfolios of retirees.