Quote:
Originally Posted by ndws
Yep, I'm on the boring bandwagon already. I just looked at the math on my last pay stub, and between my retirement (pension), 401k, and personal Roth (with company matching totaled in) i'm putting right at 28% of my income into retirement. So unless there is a massive market correction in the handful of years before I retire (I'm 39 now, and my rule 85 doesn't go into effect until I'm 57 at the earliest, I should be ok without needing to rely on any day trading/penny stock nonsense I may try to do on my own.
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You're in a good position. The luxury you have as you near retirement is being able to move to a more defensive position to mitigate the risks of a downturn. A cash and fixed income portfolio, or variable/indexed annuity may be good choices in this situation.
I know annuities catch a lot of flack because the sellers usually do take a fairly large upfront commission, but they offer guarantees that can make them well worth the cost.
I heard it put well once "The car you drove up in, that has heated seats and blind spot detection right? Why did you pay extra for those things? Because you perceived value in them. You don't need them to go from point a to point B, but they still have worth. The death benefit and guaranteed returns of annuities are the exact same. There is value there, but that value has a cost."