Warren Buffett, one of the world’s most widely respected investors, recommends that those saving for retirement invest 90% of their nest egg in stocks and 10% in short term government bonds. But depending on your tolerance for risk, and how close you are to retirement age, that may be a little too risky for most people.

While its true that over the long term, stock market returns are always positive, in the short term you run the risk of losing money. And if you are fast-approaching retirement, you might not have the years to wait for a downward sloping market to fully recover.

For more, check out this article.

Leave a Reply

Your email address will not be published. Required fields are marked *