If you want to get ahead of the financial curve, you will need to invest your money. And because you work hard for your money, you want to ensure you maximize your returns.
If this sounds familiar, it is because this is most likely how you are already investing in your 401k plan, and possibly with your IRA or other investment accounts.to at least meet your employer matching contribution. Set up regular investment contributions in your IRA or in a taxable investment account.Investing involves betting on the unknown. Even avoiding the stock market and investing only in U.S. Government bonds can be risky.
Too much risk can result in large amounts of volatility and potential losses. But not taking enough risk can leave your portfolio shorthanded in retirement.Take some time to think about your risk tolerance. How would you react to big swings in the stock market? How would you feel if your portfolio suddenly dropped 20% over the course of a few weeks? 30%? Use this information toNow that you have reviewed your risk tolerance, you should use it to help create a written Investment Policy Statement .
Having a written IPS gives you a written guide to reference when markets become volatile. Instead of letting markets dictate your actions, you can refer to your IPS. It helps you to separate your decision making from the emotions of a difficult market. When in doubt, return to your IPS.Take half an hour and think about your investment goals and write an investment policy statement to keep your investments on track..
Invest in better things
Thanks. Timely for me.