A general fall in the value of stock markets could present serious challenges to retirees and those who are late in their careers. Rather than benefitting from an opportunity to purchase lower priced securities, those investors may now have to sell their investments to withdraw funds in order to provide for their retirement needs. This risk of experiencing negative market returns when it will have a greater impact on portfolios and the income they need to generate is known as the Sequence of Return risk.
Our pension-style portfolios take this Sequence of Return risk into account and provide clients with diversification as well as additional professional money management strategies to help them navigate through market uncertainty.
Here is an educational article with further information: https://awealthofcommonsense.com/2024/10/sequence-of-returns/
Please call us to discuss our portfolio strategies that can protect your portfolio from market uncertainty.
Your CommonWealth Team
