The most common advise may not be the right action that you should take.
In everything we do, we always want to do the right thing. And often, we feel that the right thing is to do what the general crowd is doing. This is to be safer in numbers.
Charley Ellis is 79 years old. He is a well respected in the money management world. He takes the indexing approaching to investing. For an older person like him, a suitable portfolio allocation would be one where the bond allocation matches closer to his age.
This conventional allocation is important because stocks provide greater returns in the long run, but they can be rather volatile. If you are withdrawing money from the portfolio while the portfolio is being hammered, it may be challenging for your portfolio to retain adequate value to last a 20 to 30 years duration.
Bonds, while lower ......