Retire With Money: Tony Robbins and Jack Bogle Talk Investing
If you need proof that buying market-tracking index funds is a smart strategy, consider data released this week by S&P Dow Jones Indices: Over the past 15 years, more than 92% of mutual funds that invest in U.S. stocks lost out to their market benchmarks. The wisdom of low-cost index investing is one thing that motivational speaker and author Tony Robbins and investing guru Jack Bogle agree on in a wide-ranging discussion arranged by Money. Just remember that indexing doesn’t make investing safe. An index fund eliminates the hazards of picking individual stocks and managers, but buying stocks is still “a risky business,” Bogle, the founder of Vanguard, explains. With the bull market looking long in the tooth, make sure your stock exposure hasn't ballooned beyond your long-term target.
Best wishes,
Karen
P.S. If you like this weekly update, please pass it on to a friend! And if you got it from a friend, sign up here for email delivery each Friday to make sure you don’t miss the next issue.
THIS WEEK'S RETIREMENT NEWS, INSIGHTS AND ADVICE
Tony Robbins: What I Learned From the World's Greatest Investors
Popular speaker and author Tony Robbins has turned his attention to investing in his latest book, endorsing the low-cost indexing approach of Vanguard founder Jack Bogle (who wrote the book’s introduction). Robbins says the bulk, but not all, of his own portfolio is in index funds. He credits Bogle with educating him about “the realities of the market and the tyranny of fees.” Money
The Pros and Cons of Moving Closer to Your Children
If you’re thinking of relocating in retirement to be close to your adult children, have a conversation with them about expectations and boundaries, suggests columnist Glenn Ruffenach. You want to be on the same page about how often you might see each other and what degree of “closeness” feels right. You might also consider extended visits as an alternative to packing up and moving, he says. THE WALL STREET JOURNAL
Startups Worship the Young. But Research Shows People Are Most Innovative When They’re Older
Just reading that headline made you feel good, right? Even in the tech industry—the province of brilliant hoodie-wearing millennials—most people making meaningful advances and filing for patents are far older, according to several studies cited in this article. So live boldly! If you are contemplating proposing a big project at work or launching a new venture of your own, don’t assume your age makes success less likely. QUARTZ
What to Do When You Want to Retire but Don't Have Enough Money
If you’re thinking you’d like to retire soon but you know your nest egg isn’t ready, it’s time to kick your preparations into high gear. Columnist Walter Updegrave tells you how, with four key moves that can help improve your retirement prospects. Money
Take This Simple Test to See If You Have Enough Saved to Retire
There are a lot of calculators you can use to estimate your retirement readiness. But if you are a paper-and-pencil kind of person, you might like this straightforward step-by-step guide to figuring out if you have enough dollars accumulated to let you walk away from work tomorrow. THE MOTLEY FOOL/USA TODAY
Replace Lost Or Stolen Savings Bonds: A Real Life Experience
When burglars made off with a stack of paper savings bonds from blogger Harry Sit’s home, he had “the unfortunate opportunity” to test the system for replacing lost or stolen bonds. (Hint: There’s a happy ending.) One thing he had done right: He had recorded the serial numbers of all the bonds when he got them. But keeping them in a safe deposit box—or converting them to electronic form—would have avoided a lot of worried waiting, he writes. THE FINANCE BUFF
Social Security Is Mailing Statements to Fewer Workers. Here’s Why That’s a Problem
Getting benefit estimates in the mail from Social Security nudges workers to delay the age at which they start benefits, which can boost their security in later life, new research shows. Too bad that the agency cut back on those mailings earlier this year, citing budgetary pressures. That puts the onus on you: You can get your personal statement any time and find other helpful tools on the agency’s website. Money
Eugene Lang, Investor Who Made College Dreams a Reality, Dies at 98
Many new retirees look for ways to contribute their time, expertise and money to causes they care about. It’s hard not to be inspired by the story of Eugene Lang, whose spur-of-the-moment promise of college-tuition help to a group of sixth graders ended up transforming so many lives. THE NEW YORK TIMES
10 Things I Didn’t Expect in Early Retirement
“ESI,” a blogger who retired last year at age 52, shares a list of surprises from his first nine months away from work. Among them: Mondays, which he used to dread, are now his favorite day of the week. And both former colleagues and total strangers can’t accept that he really isn’t looking for the next job. BUDGETS ARE $EXY
YOUR RETIREMENT QUESTIONS ANSWERED
What Are the Tax Implications of Using a Quitclaim Deed?
Q: My brother is using a quitclaim form and adding me back to the deed for the house we grew up in. No money is changing hands. What are the tax implications, if any? —Rich P., New York
A: That's a good question—but it raises a related question that might be even more important for you to ask: Is a quitclaim deed indeed the best way to go about establishing shared ownership of a piece of property. READ MORE