Retirees should think for themselves and what alternatives they have regarding their retirement assets. These aren’t the same as they were when they were working.
Tag "inflation"
Right now, those nearing or in retirement must confront the twin troubles of inflation and falling markets. One of these events, however, is worse than the other.
Normally, interest rates rise with inflation. In turn, bond rates rise with interest rates. But that hasn’t happened. In fact, short rates remain at historic lows. This means folks sitting in money markets or “safe” government bonds (and bond funds) are seeing their retirement savings eroded away.
Economic concepts can lay dormant for extended periods of time, but they never truly disappear. This is why it pays to know people who are older than you and have actually lived through one (or more) economic cycles.
Each of these is dripping with overtones from the lessons of behavioral finance.
The politics of envy, fiduciary irony and “Investment choices? We don’t need no stink’ investment choices!”
If you’re a fiduciary worried about potential liability, be warned. Commodities trading remains speculative and may not be appropriate for unsophisticated investors – no matter what the TV tells them.
FiduciaryNews.com Trending Topics for ERISA Plan Sponsors: Week Ending 10/28/16
Public pension ugliness, the fiduciary fog, and a fee line in the sand.