In many ways, I’m looking forward to the day when my retirement finally arrives. But I know it won’t be easy. I love my job, and I find a great level of fulfillment in coming into U.S. Money Reserve every day and working to help our clients secure their own futures with precious metals.
For many Americans, retirement is the end goal of decades of hard work—but the goalposts may be moving. As an August 9, 2022, article by CNBC states, “Between inflation being at record-high levels and the recent stock market volatility, more seniors approaching retirement age are considering the option to retire later in life.”
Back in June, I mentioned the publication of our special report “The Precious Metals IRA: Protection in the Risk Zone.” This month, as we continue our discussion about preparing yourself for success in retirement, I think it’s appropriate to once again dive into the potential financial speed bump that is the “retirement risk zone.”
As Americans shift their expected retirement dates, the timing of their personal retirement risk zones shifts as well.
The term “retirement risk zone,” as defined by the American College of Financial Services, is a 20-year period: the last 10 years of working life and the first 10 years of retirement. During this time, retirement savings are often at their peak—which also makes them the most vulnerable to loss should a large market correction take place. That vulnerability comes from the lack of time your portfolio has to recover before you need to start relying on those funds for your retirement.
Pushing back your retirement might not help you avoid the Retirement Risk Zone, but there is one potential upside of waiting to retire: you would have more time to grow your retirement portfolio and better prepare it for when you do retire.
On August 9, 2022, Gary Schlossberg, global strategist for Wells Fargo Investment Institute, said on Bloomberg’s “Daybreak: Asia” program that the probability of a moderate recession is growing. Add the risks that come with the market factors associated with recession to those already present in the retirement risk zone, and it becomes more important than ever to consider reexaming your retirement portfolio.
One of the best defenses you can have against the retirement risk zone is a well-diversified retirement portfolio.
What better tool to defend your wealth against risk than one that’s all about reducing overall risk exposure? Retirement portfolios are often by nature diversified in such a way as to reduce risk and realize slow gains over time. But many people don’t realize they have ways to add even more diversification, and thus more layers of protection, to a retirement portfolio—options that aren’t offered by typical retirement accounts.
A precious metals IRA can add an extra level of protection against both a recession and the retirement risk zone.
When making important decisions, I prefer to know all my options. That’s doubly important when it comes to protecting my future and the future of my loved ones. That’s why we work so hard to explain the benefits of the precious metals IRA—a type of self-directed individual retirement account (IRA) that allows you to go above and beyond the usual limited number of assets included in conventional IRA accounts.
With a precious metals IRA, you get to take full control of your IRA’s asset mix and gain the option to add not just approved gold, silver, platinum, and palladium products, but other assets as well, from traditional assets like stocks and bonds to other alternative assets like real estate. If you’re looking to customize your retirement portfolio and choose your level of risk exposure, a precious metals IRA may be the right choice for you.
Through U.S. Money Reserve and your dedicated IRA Account Executive, you can open a precious metals IRA in just three simple steps and begin experiencing the added protection that an extra layer of diversification can provide against market downturns and the retirement risk zone. But even if you decide to hold off on retiring, it’s never too early to take action. How long will you wait before taking steps to secure your retirement portfolio?
To learn more about the benefits of precious metals IRA, CLICK HERE to request a FREE copy of our Gold IRA Information Kit.
