Here Are the 3 Safest Investments You Can Make for Retirement

Senior couple meeting real estate agent. Senior couple meeting financial advisor for investment. Happy mature man and woman listening to various investment plans for their retirement.
14 Sep 2018
You don’t want to rely on the performance of the market to determine how much savings you end up with. Here are 3 safe retirement investments that keep you safe

Here’s a scary truth… 40% of Americans save less than 5% of their annual income for retirement. Almost 20% save absolutely nothing.

This harsh reality is leading our country towards a future where unprecedented amounts of seniors are forced to work long hours despite their failing health.

Why then don’t more people take the time to invest in their future? There are a lot of answers to that question that our team of financial experts can’t answer.

One reason that we’re all too familiar with though is that many don’t invest in their retirement because they’re afraid of the risk markets present.

If you’re one of those people who has put off investing due to risk aversion or just someone who is looking to better diversify their savings portfolio, our team has put together this list of 3 safe retirement investments you should consider.

1. Bond Ladders

Investing in “bond ladders” is a term used to describe putting one’s money into a multitude of bonds that mature at different times. This can create consistent cash flow both pre and post-retirement age.

As your bonds mature, the interest you get back from them can be invested in your living expenses. The principal you get back can be reinvested in additional bonds.

The diversified nature of bond ladders reduces the interest rate risk bonds present.

2. High-Yield Savings Account or CD

A simple form of low-risk saving is storing your money in a high-yield savings account or CD.

The issue with these as a means of retirement savings is that the interest rates they offer pale in comparison to what you could get via bonds or an IRA. Also, some interest rates will not outpace inflation.

Still, if you find a lender who is offering a particularly good interest rate, making regular deposits into a savings or CD account is much more helpful to your retirement goals than not putting any money away at all.

3. Investment of Time

Investing your money isn’t the safe investments for retirees that can predictably build wealth. If you’re physically capable and willing, investing your time in projects that can net you income can be equally if not more lucrative than accruing interest via standard investments.

Consider turning one of your favorite hobbies into a small business. Request an extra hour or two a week of work at your job or start working part-time.

Not only will investing your time to help you make money, it will also present new opportunities for you to challenge your mind, expand your skills, and stay social as you get older!

Wrapping Up Safe Retirement Investments

Many people don’t pursue retirement saving strategies because of their concern that there are not secure retirement investment options. The truth is though that there are many different ways you can invest your money and your time that offer varying levels of risk.

Consider our suggestions above to kick off your safe retirement investments search. For more options and personalized information on what the best pathway to a secure future is for you, contact our team at Solera Asset Managers.

At Solera, we help people like you every day achieve their goals with simplicity, clarity, and confidence.

Find out about the value we can bring to your financial future by learning more today!


Daryl Seaton