For Long-Term Investors, the Focus Should Be on Risk

This week’s AAII Weekly Digest highlights these “must-read” AAII articles:   Using Reverse Mortgages to Mitigate Periods of Poor Returns A home equity conversion mortgage (HECM) line of credit, aka a reverse mortgage, provides a tool that can be used to mitigate the impacts of sequence of returns risk (the risk of incurring portfolio losses…

 

Closed-End Bond Funds Versus Individual Bonds – A Case Study

This week’s AAII Weekly Digest highlights these “must-read” AAII articles:   What Bond Calls Mean for Your Cash Flow In a falling interest rate environment, or in one where interest rates have fallen in the not-too-distant past, it is especially important for investors to understand bond calls if they own individual bonds, bond funds, annuities…

 

Lifestyle Changes: Misconceptions About Life in Retirement

This week’s AAII Weekly Digest highlights these “must-read” AAII articles:   Managing Cash Flow in Retirement Intelligently planning for cash flow in retirement is critical, as poor planning may result in running out of money long before running out of life. The three elements that most significantly affect planning are the need for real, not…