When the winter seasons come around, you’ll likely have to adjust your routines and prepare. If you’re in colder states you may be looking to purchase a new winter coat or snow boots, skiing equipment for your winter holidays, or you may be restocking your sand or salt for what are soon-to-be icy sidewalks and driveways. Even if you live in warmer states, maybe you’ve closed your windows and patios or put your fans and AC units away.
The same way you prepare for the winter, you might have to prepare your retirement finances for a potential recessionary period if you haven’t already. The tricky part is preparing in a way that makes sense for you. There is no simple fix for getting ready for recessionary periods – what is right for you may vary based on your unique financial situation, goals, and retirement timelines.
We might see sustained inflation, more market volatility, and an overall tighter economy. For one person that might mean reassessing their risk tolerance and portfolio holdings to make sure that they hold assets that will at least sustain their value or provide a safer return such as an interest rate or a dividend yield. Others may take a closer look at their income streams and see how they can either adjust their lifestyles to fit the increased inflation. And others may have thought to sell their homes and downsize to a new one, only to find it harder than before to sell at their target price or to find a mortgage rate that fits their budget.
When markets were smooth sailing, it may have felt easy to put your retirement finances on autopilot and watch them grow. But retirement is a long-term game, and along the way, there are bound to be setbacks and downturns like the one we’re seeing now. So, preparing for the likely hood of a setback or recession is crucial when it comes to retirement planning.
There is a plethora of factors to be aware of when it comes to protecting what you’ve worked so hard to save for during hostile market environments. That’s why it’s more important than ever to consult a financial advisor that has your best interests in mind. There are many advisors out there that work to sell you cookie-cutter financial products that may not be right for you. Finding an advisor that can offer you a wide range of products and services based on your unique financial situation and goals is a great way to make sure your retirement is protected and can provide you with what you need.
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It sounds so simple, but one of the best things you can do to prepare yourself for the effects of an uncertain market on your retirement plan is to simply have a financial advisor. A financial advisor has the knowledge, tools, and diligence needed to adjust your portfolio based on your unique and complex situation. To get started with a financial advisor, contact us at (603) 261-3736.
Bob has a passion for making your money work hard for you. He takes profound joy in ironing out a plan for a long and comfortable retirement, no matter what your current income or level of wealth. With a work ethic second to none, he has a zeal for transforming uncertainty into stable ways for you to protect your future and your family. He knows that the quality of your life you enjoy today can remain as rewarding—or even better—after retirement.
With a strong background in information technology, Carol is instrumental in building operational policies and strategies that keep the organization functioning smoothly. Carol’s organizational skills and her flexibility to jump from priority to priority along with her commitment to customer service makes her an essential part of the Grimard Financial team. When Carol is not working with the Grimard Financial Family, she is a very creative and accomplished photographer.