Retirement Blunders You Should Avoid #5: Ignoring the Insidious Effects of Inflation

In this video series of retirement blunders to avoid from Fisher Investments, we cover an investing mistake easy to overlook—ignoring the impact of inflation on your retirement investments. Inflation’s impact is insidious. You wouldn’t necessarily notice it in your day-to-day or week-to-week spending. But if you’re making a long-term retirement plan, even mild, year-over-year rises in inflation can add up to a significant sum. Then, while overall inflation has remained modest across most goods and services, prices for things like healthcare and tuition have skyrocketed. If you’ve promised to pay for your grandchildren’s tuition or if you anticipate needing extensive healthcare during retirement, make sure your investments maintain or increase your portfolio’s spending power to compensate for rising prices. If you are relying on a too conservative, fixed-income investment strategy, you run the risk of not keeping up with inflation over your investment time horizon—the length of time you need your portfolio to last in retirement. If you have unexpected, emergency expenses down the road—or if like a lot of investors you end up spending more in retirement than you did while working—you may feel an even bigger pinch. Start planning for inflation’s impact now to avoid such troubles down the road. If you missed Part #4, watch it here.    • Retirement Blunders You Should Avoid #4: P...   For more retirement investment blunders to avoid, please watch the rest of this video series or download a digital copy of the guide here. https://www.fisherinvestments.com/en-... Connect with us on: Facebook -   / fisherinvestments   Twitter -   / fisherinvest   LinkedIn -   / fisher-investments