Retirement Investing Personalities
What kind of investor are you? Some people want to read all the literature and make their own choices. Others want to leave the decision making to the professionals.
No matter your style, when planning for retirement, it’s important to know that if you invest, you will face market risk. It’s always there and, because of it, it’s possible to lose what you invest. But there are ways to reduce the possible impact of market risk.
That’s why you may want to understand the concepts of asset allocation and diversification, and then decide how to apply these strategies when investing for retirement. And, remember this: We can help. Just let us know how much involvement you’d like to have in your investment decisions.
Help me do it
If you want to be involved but want some help along the way, consider our asset allocation funds. After you determine your risk tolerance, we can help educate you about how to choose funds that correspond to your tolerance level.
We also offer Target Date (or Target Maturity) funds that are based on when you want to retire or when you begin taking income. Just choose the fund that most closely matches your projected retirement date and we’ll do the rest.
Keep in mind that when investing in either an asset allocation fund or a Target Maturity Fund, you pay not only the expenses of the fund(s) itself but also a proportionate share of the applicable fees and expenses of the underlying funds. In addition, Target Maturity Funds are designed for people who plan to withdraw retirement funds during or near a specific year. These funds use a strategy that reallocates their assets to become more conservative as you approach retirement. The principal value is not guaranteed at any time including the target date. When redeemed, the amount received may be less than the amount invested.
I’ll do it by myself
If you want to do it on your own, feel free. Develop your own asset allocation strategy and select from the funds available through the plan that best match that strategy. As with nearly everything in investing, no investment strategy – including the use of asset allocation and diversification – can assure a profit or protect against loss.
But, remember we’re always here if you have questions.