Each of our
|Conditionally Included Paragraph:same-funds-all-plans(NO) Equals YES|
|Conditionally Included Paragraph:real-estate-available(YES) Equals YES|
|Conditionally Included Paragraph:real-estate-available(YES) NotEquals YES|
provides a model asset allocation mix that corresponds to a specific investment
strategy based on tolerance for risk. However, there are essentially two
different ways to evaluate how much risk you want to take:
|Conditionally Included Paragraph:same-funds-all-plans(NO) NotEquals YES|
One is to understand the psychological impact of risk whether or not you'll
be able to tolerate the potential ups and downs that may be associated with
certain types of investments.
The second consideration is your actual risk capacity, or your ability
to weather the potential fluctuations associated with market volatility, based
on your own personal circumstances.
For example, a young investor who anticipates continuing to accrue savings for
many years to come and who also has other assets to potentially draw from in
the future such as Social Security benefits may be able to take a more
aggressive stance in order to achieve a retirement income goal compared to the
approach of an investor with a shorter time horizon who may be well along the
way toward achieving retirement objectives through existing savings.
Understanding how much risk you may need to take in order to achieve your goal
and how much risk you'll be able to tolerate is a considerable challenge. For
this reason, you may want to
one of our consultants to review your personal circumstances and evaluate the
"bigger picture" of your retirement investing strategy.