How Does a Good Economy Affect My Investments When I Retire?

Having a good economy is great. It means that your investments are going up. It means you’re going to have more money to spend in retirement. But there’s a certain consideration that one has to really look at: Investments don’t always go up. They go down also; they stay flat.

And so when you’re taking a look at retirement, it’s very important to stick to a disciplined plan and a disciplined approach. That means when markets are down, you’re not pulling out of the market. Rather, you might be rebalancing your portfolio; you might be examining where you’re needing assets during a down market.

And when things are going up, it’s important not to get too greedy. It’s important to also rebalance your portfolio so that you’re looking at the long view.

Of course, a good market is awesome, wonderful, exciting—but one has to put into perspective that there are all kinds of markets during the whole course of retirement and you should strive to keep everything balanced, have a good outlook, and not let fear dictate your behavior.

Parkshore Wealth Management is a family-owned, independent, fee-only Registered Investment Advisor serving the greater Sacramento area with an office in Roseville, CA. We partner with financially responsible individuals and families who are eager to take positive steps that will allow them to use their money to build the life they desire. The firm is led by Harold Anderson, CFP®, and Daniel Andersen, CFP®, both members of NAPFA, the country’s leading professional association of fee-only financial advisors.