Low rates on fixed income investments, longer lifespans and the desire to leave a legacy might be some of the reasons why older investors could increase stock exposure.
An investor with a stream of guaranteed income — such as a pension or an annuity — could be better positioned to take equity risk and improve returns.
Stocks are a smart choice for money earmarked for the future, but they shouldn’t make up the entire portfolio. Always keep cash for emergencies.
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