investments
I am retired in my middle sixties. I have a generous pension and pretty good Social Security . I am out of debt except for a small soon to be paid off car loan. I could live off of SS if I had to. I have retirement savings that I do not need to live on. Invested in index stock mutual funds about 80% and 20% in conservative bond funds and a fix fund paying 4.5% interest. I am not worried at all at the stock market plunge. I see a buying opportunity. I have started to buy ETFs , Vanguard dividend appreciation or VIG monthly to increase my wealth. I want to leave a bit more to my heirs . The returns mirror the S&P 500 index. Is this a good choice. I can buy and sell Vanguard etfs with out paying a fee. The expenses is 0.06% per year in that ETF.
Thanks:
Terry Says
It looks like you have made your decision and are at peace with the volatility of the markets. And, since you don’t think you will need to use this money in your lifetime, that’s a perfectly appropriate response. If your stock investments are not inside a retirement account, you won’t be forced to withdraw some money every year.
But I’m thinking this could be a long, drawn-out process of recovery after the huge economic impacts of “social distancing.” So just make sure you do have enough liquidity to ride this out. America will come back; it must may take a while!
