Managing Your Financial Future with Lucia Capital Group
Managing Your Financial Future with Johnny Dean and "Professor" Rick Plum, CFP® Brought to you by the advisors and investment professionals at Lucia Capital Group, a registered investment advisor. Integrating financial planning and investing decisions, designed to help you reach your own financial goals. Want the best tips on which hot stocks you should buy this week? Go somewhere else - we don't do that. It's all about planning, strategy, managing your future and taking control of your financial life. Securities offered through LPL Financial, member FINRA/SIPC.
Managing Your Financial Future with Lucia Capital Group
Should You Own More or Fewer Stocks in Retirement?
Use Left/Right to seek, Home/End to jump to start or end. Hold shift to jump forward or backward.
The idea that you should own fewer stocks as you get older is one of the most common rules of thumb in retirement planning. The logic says that stocks are supposedly "risky,” so as you age, you should reduce your exposure. But that simple rule may be asking the wrong question and leading to the wrong conclusion.
Think about this: Is stock exposure really the right place to start, or should the focus be on how much of your portfolio needs to be safe to support your income? Does owning fewer stocks actually reduce risk, or does it depend on when and why you might need to sell them? And if your safer assets are structured to cover your cash flow needs, does that change how much of your portfolio can remain invested for long-term growth?
Should you really own fewer stocks in retirement, or could the opposite be true under the right structure? Find out from podcast host Johnny Dean and Rick “The Professor” Plum, CFP® on this week’s episode of Managing Your Financial Future!