Should you Lower Portfolio Risk?

Send us Fan MailBrian Akers and Paul Franco discuss the importance of lowering portfolio risk as retirement approaches. They emphasize that as individuals get closer to retirement, they should scale down risk to preserve their money. Paul shares an example of a client who needed to reduce risk due to market performance and upcoming retirement. They explain that younger individuals can tolerate more volatility due to their longer time horizon. They also discuss the concept of target date funds and the benefits of diversification. Paul highlights the importance of regular portfolio reviews and the use of tools like stable value funds and fixed and indexed annuities to balance risk and protection.