I need some guidance on managing my mother’s 401k to protect what she has and hopefully grow it to help support her through her illness.
I'd keep it in FDIC bank CDs, no more than $100,000 each bank. And I'd keep her out of it as long as possible, until interest rates go up. But I'm overly cautious.
You really want to protect her and you? Move her in with you.
My mother in law is in a similar situation except she’s in reasonably good health. She has a small nest egg that used to provide enough interest/ROI for her living expenses. Now she’s living off of the nest egg itself. I was worried about that at first, but she’s in her 90s. As she explained, it’s not like she has to live off it for 20 - 30 years, and all of her children/grandchildren are financially independent. What if she runs out of money before she dies? That’s where family comes in. We will do whatever is necessary when and if that time comes.
Buy Altria (MO), Reynolds America (RAI), Windstream (WIN), BHP Billiton (BHP), Apple (AAPL), and Bristol Myers Squibb (BMY). Good current dividend return (4-5%) with expectations of dividend increases through the years, sound finances for most, some inflation protection, some premier growth with risk.