Broker Check

Reminders for us ages "50+ Club"

May 04, 2020

I hope this finds everyone well and that you, your family is safe.  Karen and I have been fielding many calls during this pandemic as we've stated in previous emails, however I wanted to post some reminders for us all....especially the folks that are either in or nearing retirement.  These reminders are for all of our clients, but please read as a pointed reminder to all in the "50+ Club."

Staying the Course

No question market volatility is upsetting for any investor but it is even more so those of us “50 somethings plus.” Watching our nest egg shrink in response to factors outside of our control makes the recommendations to “stay the course” seems crazy. However, recognize what’s important now, more than ever is sticking to our financial plan and focusing on what we can control our emotions whether we are retired or not.

Having Adequate Cash Reserves

Assets tied into the market by their nature fluctuate in response to good and bad news. Reinvesting our dividends and capital gains helps to grow our portfolios by acquiring more shares at a discount when the market declines.

In spite of this you may feel tempted to preserve the money you have by moving it into cash. Those in retirement with a financial plan should already have living expenses covered as part of their plan. 

Remember, allocating too much of  your portfolio to cash can increase the risk that the price of goods and services may increase faster than the value of fixed assets due to inflation and taxes. Those of us 50 somethings plus fear we don’t have much time left. Wrong, the average life expectancy of a 60-year-old is 25 to 30 years at least. This means, our assets must grow to outpace inflation and taxes. For this reason, you may want to consider keeping only the amount minimum cash that makes you feel comfortable.

Checking Your Asset Mix For Both Suitability and Risk

You’ve heard it before: base your asset mix on your goals, time frame, and risk tolerance. Your goals and time frame will probably remain static over time, but the amount of risk you can tolerate may change. So it’s best to reevaluate at least every 1 to 2 years with your financial planner even if nothing changes. To help with this, there are also investment questionnaires available through your planner.

Now is a great time to call your financial advising team to review and update your financial plan based on your current circumstances!


This is meant for educational purposes only.  It should not be considered investment advice, nor does it constitute a recommendation to take a particular course of action. Please consult with a financial professional regarding your personal situation prior to making any financial related decisions.  All investing involves risk, and there can be no assurance that any strategy will be successful.  (05/20)