Whether you are just starting out or already in retirement, you may not be comfortable with recent market swings. That means your risk tolerance likely is low. Young investors should try to get accustomed to risk. They can capitalize on down markets by dollar-cost averaging, which enables them to buy fund shares on the cheap. Older investors can mitigate risk by limiting exposure to the stock market and making wise bond purchase decisions.- advertisement -
Bankrate’s article, “Managing retirement savings in down markets,” applies to investors of all ages. Below I offer age-specific advice to help you make savvy decisions about retirement investing under all market conditions.