Retirement days are those golden days of one’s life where one can relax and enjoy life to its fullest. But at the same time, one has to save sufficient money to enjoy life and maintain the same lifestyle throughout remaining life. This calls for wise investment options so that they fetch you the money decent enough to live your life without bowing your head. Let’s have a look into few tips of investment for senior citizens:
- Term Deposits: The safe and easiest instrument for senior citizens is to first park the saved money in term deposits with an option of monthly payout if available. This would make sure that one gets the respective money as interest on monthly basis so as to sustain and fulfill basic needs. This can be auto renewed on the completion of term and thereby having one constant source of income without any market risks associated with it.
- Mutual Funds: One can also consider saving in mutual funds. Before selecting mutual funds, one should consult a renowned financial advisor so as to make an informed decision. It is advisable not to invest all of your retirement money in mutual funds but part of it can be considered for these funds.
- Money market funds: These funds offer less risk as compared to the equity stocks and come with a decent earning potential. They prove to be good bet in one’s portfolio so as to add on to the retirement savings.
- Short term Debt instruments: The short term debt instruments often comes with government backing and thereby prove to be safe bet for investment with good earning. To add on to the list would be the municipal bonds or post office savings which can also give you good returns over the period of time.
- Equity Stocks: If you are ready to take risk with your money after parking some for your daily needs, equity can be considered as well. These come with high risks but high returns. It is strictly advisable to take the guidance of your financial advisor so as to invest in the right stocks at the right time. After all they are your hard earned money. One can consider to trade or invest in equities based on the individual’s needs and requirement.
- Treasury Funds: These funds can be purchased in addition to the above options as they give you an option to invest as little as possible and reap the benefits thereafter.
Apart from the above options listed, it is strongly recommended for senior citizens to keep aside some liquid cash in the savings account to make sure the emergency situations, if any are handled gracefully. Enjoy your retirement with peace of mind with right approach and right options.