Archive for the Category Retirement

 
 

Best Ways to Invest After Maxing Out Retirement Accounts

These committed savers ask how best to invest after they’ve fully funded their tax-deferred accounts.

From Kiplinger’s Personal Finance:

Scott and Amber Rowson are such ardent savers that they’re faced with an enviable problem. They contribute the maximum amounts to their tax-deferred retirement accounts, and they stash additional savings in 529 college-savings plans for Beckett, 5, and Ayla, 2. Now they’re stumped about how and where to invest still more without incurring tax headaches or excessive risk.

Read more here.

 

Stable Funds in Chaotic Times

These funds deliver predictable results for retirement savers.

From Kiplinger’s Personal Finance:

When the financial crisis ravaged the stock market and many parts of the bond market, stable-value funds stood out with their combination of modest, positive returns and their, well, stability. As a result, retirement savers clamored for these steadfast funds and the security they offer. The percentage of assets invested in stable-value funds in large-company 401(k) plans that offer a stable-value option rose from 20% in November 2007 to 36% in March 2009, according to Hewitt Associates, a benefits-consulting firm. Although the total amount invested in stable-value funds has fallen as stocks have recovered, such funds retain more than $642 billion in assets, which makes them the largest category of fixed-income investment in 401(k) plans.

Read more here.

 

ETFs Target Retirement

Target-date funds are now available in low-cost exchange-traded flavors.

From Kiplinger’s Personal Finance:

Like peanut butter and jelly, target-date exchange-traded funds should be an irresistible combination. These funds aim to marry the low costs of investing in ETFs with the set-it-and-forget-it ease of funds that shift to a more conservative mix of stocks and bonds as they approach their target dates.

Click here for the entire article.