The best investments for your retirement
Retirees with lower pensions have to take special care to spend their savings since only public pensions will remain to live the rest of their lives. If they do not have a private plan that complements their monthly income, they have no other choice than to design an investment plan to retire with the healthier current account.
How to have more savings in retirement?
For many people, retirement includes 2019 Medicare Supplement plans found on the site www.comparemedicaresupplementplans2019.com only a change of stage, not the end of the professional performance. Continue working can be very good and even necessary, both to maintain good physical and mental health and to supplement income. Find out below three proposals to invest savings for retirement.
Three proposals to invest savings for retirement:
The financial products chosen for retirement are not traditional but must be adapted to these special characteristics. Luckily, there are products indicated for retirees. But beware, because you cannot expect spectacular returns and, sometimes, the risks are greater than usual.
1. Investment funds for retirement:
Once discarded by their low profitability the classic products of the fixed rent (deposits, promissory notes, bonds, etc.), the investment funds can be an alternative. To avoid any kind of risk, the most committed financial assets will be dodged, opting for flexible models that can adapt to all market situations. In this sense, mixed funds are a good idea to combine fixed income with variable, through different designs made according to the profile of the client.
2. Savings insurance:
Savings insurance is an alternative financial product to deposits and promissory notes, characterized by always guaranteeing the capital invested. They allow obtaining a small profitability every year (around 2%) but without assuming any kind of risk. It is possible to hire more aggressive models, which increase their performance, through a wide offer offered by banks and insurers.
3. Pension plan:
Pension plans are a long-term savings instrument, whose main objective is to supplement the retirement pension received by Social Security. Pension plans are received, not only in the case of retirement but when other contingencies develop (disability, dependency, death) or exceptional cases of liquidity (serious illness, long-term unemployment, and eviction). Flexibility is one of the characteristics of this proposal since it allows you to enjoy an income based on the contributions made by its owners. However, its main problem is that it is necessary to formalize it in advance so that its effects, when retirement comes, are the most favorable.