Fewer Stocks: The Secret to Retirement Success?

I look at an online issue of USA Today, the Money section shows stocks’ performances and words like “plunge,” “slump” and “slide.” Not what you want to see when it’s your money in the market especially if you are about to walk away from a steady paycheck and live solely on your savings.

We all want our retirement funds to grow, but without stress and sleepless nights wondering if they’ll topple. We’ve seen in recent years that investing in the stock market can feel like rolling the dice in Vegas. It’s a gamble that most people can’t afford to take.

So where should you invest your money? This week, I spotted an article on smartmoney.com that says annuities should be considered by middle-income households and those without traditional pension plans. In the article, Sri Reddy, a senior vice president at Prudential Retirement, says that time and energy should be spent educating workers about how much they need to save for retirement and that annuities can provide “protection against investment losses and guarantees the percent and total amount a person can withdraw from the annuity.”

So comparing the return from the stock market to an annuity is like comparing a gamble to a guarantee.

An annuity acts like a traditional pension plan, but it’s an individual, not a company, that provides the funding to make future payments possible. The money contributed is invested by a government-regulated insurance company. But no matter how it performs, the insurance company is under a binding, legal contract to pay the pre-agreed income at the schedule agreed upon under the contract.

There are many annuities out there, so choosing the right one for you is crucial. I’d be happy to give you advice garnered from my 30-plus years of experience and countless satisfied clients. You can reach me at 877-476-5051 and put your fears to rest knowing that your financial future is guaranteed, safe and secure.