Four Ways to Arm Your Retirement Against Volatility

KENTWOOD, Mich. - Nov. 20, 2014 - PRLog -- Retirement can last a long time, so it's important to include growth investments in your portfolio to help keep up with inflation. But growth potential also brings the potential for higher volatility. And when you're retired and taking withdrawals from your investments with less time to recover, volatility has an even bigger impact.

How do you invest for growth while minimizing the volatility, or ups and downs, in your portfolio?

1. Allocate your investments among a variety of asset classes. When one asset class isn’t performing well, another one may be, which helps smooth out ups and downs.

2. Do your due diligence up front. Be sure to choose your investments carefully, looking for those that have demonstrated solid performance across many market cycles while being sensitive to risk.

3. Be a watchdog. This doesn't mean making emotional decisions based on every market blip. But it is important to review your investments as well as your overall diversification on an ongoing basis.

4. Set limits. Make sure no single investment comprises too large a portion of your portfolio. This can help reduce the effect one investment may have on your overall performance.

Sound like a lot of work? With Edward Jones Advisory Solutions®, you get professional managers who do this for you all in one package. To learn more, contact your financial advisor or visit Edward Jones Advisory Solutions today.