| For example, interest rates are near a 40-year low. Low interest rates make it easier for businesses to borrow money to expand their operations - a positive signal for investors.
Furthermore, corporate profits are growing rapidly - and profitability helps drive stock prices.
Ultimately, by purchasing quality investments and diversifying your portfolio, you can design a strategy that can help you work toward your financial goals - in good times and bad.
Don’t Bank on House Profits to Fund Retirement
The value of your house has probably gone up significantly over the past several years. But should you count on continually rising home prices to fund your retirement?
Probably not. Housing prices have fallen in the past - and they are likely to do so again.
Just as important, even an extended period of rising home prices may not help you as much as you’d think. To profit from your home, you have to sell it - but then you have to live somewhere else. And even if you “trade down,” you’re likely to find that smaller homes have also appreciated quite a bit, so your sale might not net you nearly as much as you’d hope.
So, to help pay for your retirement, look beyond your home - and build a diversified investment portfolio containing stocks, bonds and other securities.
Contact Wendell at Edward Jones www.edwardjones.com.
|
