"I am going to buy your book today and sign up for your change tips. Thank you for your help." -Jana
Read More Testimonials»

On the Finances Blog

Bankruptcy: The Power of the Clean Slate

It doesn’t take many clicks online to find writing and advice on how to shape up your finances, even First30Days has a great financial advice section found here. There are...

Read More About Bankruptcy: The Power of the Clean Slate»

Our Planning for Retirement Experts

Matthew Tuttle

Matthew Tuttle

Certified financial planner and author

Shared by First30Days View Profile»
Jonathan Pond

Jonathan Pond

Author of The Boomer's Guide to a Great Retirement

Shared by First30Days View Profile»
Terry Savage

Terry Savage

Personal finance columnist for the Chicago Sun Times and best...

Shared by First30Days View Profile»

Meet all of our Finances Experts»

News

The latest news on this change — carefully culled from the world wide web by our change agents. They do the surfing, so you don't have to!

Healthy Portfolio, Healthy Retirement

Healthy Portfolio, Healthy Retirement

Everyone knows the more you're willing to risk, the more you're likely to gain. But there are no guarantees, especially when you're dealing with the stock market. So, how does one effectively plan for retirement while keeping their losses to a minimum?

Financial planners suggest diversifying your portfolio based on your risk tolerance. Start with mutual funds that are low in fees. It doesn't make sense to pay 7 or 8% in fees when the fund only offers a return of 5 or 6%. That means you're losing money the whole way through. Instead, look for funds that offer lower fees with higher potential on return.

Diversify your portfolio to provide a little cushion from market volatility. Have a nice mixture of large-, medium-, and small-cap stocks, bonds, and cash within the fund and remember there are a dozens of mutual funds to choose from. Sticking to just one is like eating the same thing for dinner every night. Variety is the spice of life!

If you need help with your portfolio seek out advice from an expert. Start with your local bank as their consultation services may be free. But, whatever you do, make sure it's the right decision for you!

Tell us how you've diversified your portfolio!

Posted: 5/12/08
jenniepez

My portfolio is automatically diversified by having the contributions in my 401(k) invested in the Fidelity Freedom Fund, which is a retirement age based fund that does all the work for you. It doesn't give the absolute best return, but it is the easiest.