|
Retirement ideas
|
 |
February 5, 2000: 10:01 a.m. ET
Picking mutual funds; IRA season is back; aging in cyberspace
|
NEW YORK (CNNfn) - Financial security means everything from understanding mutual funds and IRAs, to writing a will, and yes, even using the Internet.
This week, CNNfn.com's new retirement planning section produced a wave of stories about international investing, municipal bond funds and value stocks to help you build your long-term plan. We offered tips on managing your portfolio during volatile times, and profiled Wally Weitz, a famous mutual-fund manager with a great long-term record.
We looked at the impact of divorce in the later years on your finances and even took a look at what Baby Boomers and aging Americans are spending on sex.
Bulletproof your portfolio
When the stock market plunged in October 1987, Clyde Black, a New York State forest ranger, left his retirement portfolio in good hands -- his own.
While other people rushed to sell their stocks when the Dow shed 508 points, Black decided to do nothing. And today, a few months from retirement, his $50,000 portfolio has more than tripled in value.
-- more -
Taking your 401(k) abroad
When you think of the stock market, you probably envision Wall Street, not the financial district in Sydney or Madrid.
But if you're investing long term, taking your 401(k) or IRA global will cushion your retirement savings.
For one thing, the bull run in the U.S. market can't last forever.
--more—
A new baby? Write a will
You just returned home from the maternity ward with your first bundle of joy in your arms and the house is stocked with diapers and baby formula. Now's the time to sit down and draft a will.
Especially during this period of newfound delight, writing a will may be the
furthest thought from your mind. But who will take care of your child if you and your spouse both die unexpectedly?
-- more -
Retirement age on the rise
Getting old isn't what it used to be -- at least when it comes to collecting Social Security.
News that the retirement age is increasing this year from 65 to up to 67, depending on your age, has taken most Americans by surprise. But it has
been a matter of law for years.
In 1983, citing greater life expectancies, Congress approved an age increase to prevent shortfalls in the Social Security system.
-- more --
Value funds buck trend
Forgive fund manager Wally Weitz for sounding, well, a little embarrassed.
For a man who hates publicity, who prefers plaid shirts to suits, who lives in the Midwest away from the intensity of Wall Street, the past several years have been a challenge.
While value funds were among the worst performers of 1999, Weitz's funds
have been clobbering their peers and the S&P 500 over one, three, five and 10 years.
-- more -
Divorcing late in life
When Elizabeth Marsh's husband phoned to tell her he was ending their 31-year marriage, she was devastated.
"I was totally unprepared for (divorce). A big part of my trauma was the fear of dealing with money," said Marsh, a homemaker who had always let her husband manage the finances.
-- more -
Muni me?
You may not care if your hometown is building a new highway, but it could give you a way to protect your investment portfolio from the IRS.
Wealthy investors can ease the tax bite on their assets with tax-free municipal bond funds that provide the cash for cities and states to build
bridges, new roads and other public projects.
-- more -
$ex in the golden years
Sex toys, X-rated videos, erotic books. Not exactly what leap to mind when you think of Grandma.
But older Americans are spending millions to improve their sex lives, and as
the generation of baby boomers starts graying, it's likely they'll be spending
even more.
-- more -
Growing old in cyberspace
When June Jensen retired three years ago, she bought a computer and began surfing the Internet, hoping to get in touch with other people also dealing with post-retirement concerns.
But Jensen, 61, didn't find much out there -- a situation that she says has
improved only slightly in the past few years, during an era that has seen
cyberspace offerings on the whole grow by leaps and bounds.
-- more -
Don't forget it's IRA season
Some people try new diets or plan dreamy winter getaways at the start of a new year, but investment pros say one of the most important projects you can take on is your IRA.
Whether you're a Gen-Xer just starting to save for retirement, or you're 70
years old and ready to start dipping into your nest egg, you should be making IRA decisions in the months before the April 17 tax deadline.
-- more -
IPO funds - for the brave
You're seething in envy watching technology IPOs go through the roof in their early days of trading. You wish you could get a piece of the action. But you're not so lucky -- or wealthy.
Large institutions and portfolio managers with clout can get in at the starting
gate and scoop up shares at a low price. Individual investors usually can't get their hands on an initial public offering until it trades in the secondary market.
-- more -
Social Security after death
Most people assume they won't get much money from Social Security -- but a quirk in the law says their loved ones may get a healthy monthly check if they die.
Depending on your salary, how long you've worked, and how old you are when you die, your spouse and children can qualify for Social Security survivor benefits that in some cases will be more than the amount you would have received.
-- more -
The stock option dream
You hate your job, right? Can't stand the bureaucracy and the Yes Men? So you dream at your little cubicle about taking one of those hot start-up jobs. Glamour, independence and stock options to make you rich.
But before you make the leap out of Corporate America, financial pros say
you should be careful not to rely on the potential of stock options as part of your retirement plan.
-- more -
Quit your job, not savings
That higher-paying job you just landed may be too good to turn down. But before you set sail for new water coolers, map out a leak-proof plan to protect your retirement savings.
Otherwise, you may be throwing tens of thousands of dollars overboard without even realizing it.
-- more -
-- compiled by staff writer Lucy Banduci
|
|
|
|
|
 |
|
