Auto-Loan-Financing.com has scoured the web to find the best financial articles to help peole repair bad credit or fix their
personal finances. Each article is written by leading finance or automotive industry experts.
These events have hit retirees, and those close to retirement, especially hard. They are being forced to sell stocks when markets are down to get money to live on. The situation is forcing many seniors back to work and causing others to delay their retirement plans altogether.
“We have an entire generation of retirees in deep trouble,” says financial educator Paul Grangaard. “I think it’s a shame that on the heels of one of the greatest bull markets this country has ever seen, so many seniors are having to scuttle their retirement plans. It didn’t have to be this way.” So he decided, after training financial professionals for many years, that it was time to take his investment message directly to consumers. The result is his new book, “The Grangaard Strategy (TM) -- Invest Right During Retirement.”
In the book, Grangaard illustrates Twelve Principles of Twenty-First-Century Retirement Investing that show readers how to manage their retirement assets safely and effectively and protect themselves from the devastating consequences of what he calls “dollar price erosion,” or having to sell stocks when markets are down. Grangaard points out that most people don’t realize that managing money during retirement (while they are spending it) is very different than managing money before retirement (while they are accumulating it) -- and having to sell stocks out of fluctuating accounts is one of the biggest challenges they face in retirement.
“Prior to retirement, most people get their income from wages, and since they know they won’t need to sell investments to get money to live on, they can be much more aggressive with their retirement investments and are usually able to put more of their savings into the stock market for higher returns,” he says.
Grangaard cites data by Ibbotson Associates which shows that large company stocks provided an average annual rate of return of 11 percent in the 75 years between 1926 and 2000, while treasury bonds returned only 5.3 percent. “That difference can have a huge impact on how much money an investor can accumulate for retirement,” he points out. For example, $10,000 invested for 20 years at 5.3 percent will grow to about $28,000, while at 11 percent it will grow to over $80,000. “Owning stocks right now can be a little unsettling, even for younger investors with a lot of time ahead of them, but remember, if you don’t need to sell any time soon, your losses are only on paper,” he says.
Article content is copyrighted by their respective authors. Auto-Loan-Financing.com makes no claim to ownership of the
articles. The Articles provided are solely for educational and informational purposes and do not constitute legal or financial
advice. Files, source code, page layout, and design contained herein are the intellectual property of Auto-Loan-Financing.com
and may not be reproduced without the express written consent from Auto-Loan-Financing.com.
The Articles provided are solely for educational and informational purposes and do not constitute legal or financial advice to
erase, fix, or repair bad credit.
