Obligatory Disclaimer: We don’t give legal advice, nor do we offer investment advice. We strongly recommend our readers consult with experts in those fields to determine their own course of action.
Are you concerned about your retirement account? You should be. Especially If your retirement account(s) involve the bond market.
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Based on recent warning letters to account holders, at least some investment companies are suggesting a full-blown review of their members retirement accounts, due to the volatility of various investment markets.
Based directly on the information from one such company, it’s just a matter of time before interest rates will have to go up, which will “negatively impact investments in bonds and bond mutual funds”. The letter goes on to outline several distinct possibilities – none of which are good from the investor point of view – and strongly recommends the account holder schedule an appointment “soon” to make decisions on how to address these predicted events.
They call it “appropriate asset allocation”, which is a polite way of saying “you need to review the risks involved and decide if this is a gamble you want to continue taking”.
We most certainly don’t want to hear that any of our readers lost a significant amount of money due to a very shaky economy, especially if there’s ample warning that might avoid that possibility.
Take the time to review your retirement accounts and don’t hesitate to call your professional investment counselor to review your accounts. Based on such a letter to me, this is something I’ve done today. We hope you’ll do the same.
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