In times of financial stress or uncertainty, it may be tempting to hit pause on your pension contributions. However, before you do so, it’s essential to understand the long-term implications this decision may have on your retirement savings plan.
Providing significant value in a diversified investment portfolio
Fixed-income investments, often called bonds, offer a unique blend of benefits that can provide significant value in a diversified investment portfolio. They strike a balance between shares and cash regarding risk and return, offering a steady income stream. These are long-term investments sensitive to inflation and interest rates, with the possibility of capital loss.
The mantra ‘Cash is king’ has echoed through the investment world for years. Cash forms the backbone of our society – it pays for our purchases, settles our debts, and serves as a liquid asset in tough times. As long as money spins the globe, many will uphold cash as the reigning monarch.
The journey to financial freedom begins with a roadmap. This crucial tool outlines your current financial situation and paves the way towards your desired destination – your financial goals. It’s time to ask yourself, what are these goals? Saving for retirement, building an investment portfolio, or establishing an emergency fund? The more precise your goals, the more tailored your roadmap can be.
Establishing safeguards before embarking on an investment journey
Investing comes with its share of risks, which can sometimes lead to partial or total loss of your savings. Assessing your financial situation and establishing safeguards before embarking on an investment journey is essential.
Plotting your financial journey with goals-based investing
In a world where investors are flooded with many choices and investment routes, picking the path that aligns perfectly with your needs can be daunting. That’s where goals-based investing comes to your rescue.