If retirees are concerned that the Federal Reserve's plan to taper its stimulus program could affect their income and investments, advisors say implementing a balanced strategy will work no matter what happens in the markets.
"Tapering doesn't necessarily mean tightening," said Joe Lucey, president of Secured Retirement Advisors in St. Louis Park, Minn. "We're probably looking at two to three years before interest rates gets back to where they were."
The Fed has announced it would begin winding down the bond-buying program it began to stimulate the economy. The current program, which involves purchasing $85 billion of bonds per month, is the third such stimulus effort since the recession began.
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
