Where does one put retirement money?
Mattress?
Seriously though....
I contemplated it back in 2008 when I started to Go Galt.
Some went into the house.
Some went in to the house.
The rest is invested in me, my work, my productivity.
Where does one put retirement money?
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If you aren’t certain and don’t follow the markets religiously I would stay in cash (and maybe some precious metals , especially junk silver by the bag) and wait (we’re talking years) for a deal in a stock related to some new technology or I would buy real estate. I have a farm in a foreign country , the entire country is pretty much “off the grid”.
Collectibles from the 1930’s are worth a fortune, and I would expect the same thing to happen again ,, it won’t help you but it might help your grandkids.. just as a few pieces of glassware that were bought at Woolworths in the 30’s will pay for a year of college today I would expect high quality but relatively inexpensive goods from the next 10 years will be collectible.. people collect things in their adult years that they couldn’t afford when they were young.. Just think of that $200 ‘64 GTO you didn’t buy in 1972 that became collectible....
What's "retirement money"? :)
20% in Insured annuities is what I tell my clients
In short-term T-bills, Swiss Francs, Australian dollars and gold. Right now, worry about the return OF your capital, not the return ON your capital.
In gold. Physical gold in your own control outside of a bank.
“Where does one put retirement money?”
If you’re on the verge of retirement, it’s a relatively easy decision. Take your chips off the table, if presumably you’ve had big gains in the big bull markets of the last few decades.
You don’t need risk anymore. You need safely. And you don’t need for your money to be “working” for you any more. It’s already done its work. It’s time to let your money “retire” too when you retire.
If in IRAs or 401s, move to money market funds, or even better, to FDIC insured checking deposit accounts. Be sure to make tax-free rollovers if you open multiple new accounts and transfer money from existing accounts.
Whatever you do, don’t let some slimeball talk you into buying annuities (essentially life insurance policies). The slickest psychopaths currently preying on the elderly are the “investment adviser” seminar scum, with their free lunches and dinners.
If you’re a long way from retiring, the decision is harder. Personally, I just don’t see that the market has any fundamentals that will push it higher for a good long time, and I see lots of fundamentals to push it down. Unfortunately, I don’t think fundamentals even matter any more though, as high frequency trades account for 70% of daily trade volume and their positions are held only for seconds. The equity markets are not a place for exchanging capital investments any longer, but have been hijacked by a bunch of computers that play a sophisticated version of monopoly against each other.
Bonds are barely ok for the very short term, with all but invisible yields. But you have to be actively involved and prepared to dump them when the inevitable inflation arises some years for now. I hate bond funds as your position is constantly being whipsawed by fund transactions as others enter or leave the fund. Maybe a closed end bond fund would solve that problem. Owning individual bonds solves the problem too, but small time bond holders are raped in the market when they buy and sell.
We took out half of ours and bought land.
We took the other half and put them in IRA CDs at a local credit union.
Where does one put retirement money?
First Mattress and Bedspring Bank....you get a better return compared to everywhere else
Another place you can look at is Indexed Annuities with income riders. Essentially you are getting your money back plus some interest and any market gains but non of the losses. They buy reinsurance so you or you and your spouse cannot out live the income. i.e. it is a lifetime income.
Depending on your age they can do 6.5% or more. Insurance companies survived the Depression. Banks will fail before insurance companies.
I am not saying this is the right path but it could be and is just another idea.