In September, the U.S. stock market fell when investors worried that a divided Congress would not resolve the federal budget and debt ceiling issues. But as a settlement took shape, the Dow began to rise again and today it’s greed rather than fear that’s the dominant emotion on Wall Street — at least for a few months.
Here’s a tip for a long-term investment strategy: Diversify your portfolio with different types of asset classes to help reduce risks and create a more efficient portfolio. Owning different assets classes, like stocks, bonds, real estate and various alternative investments can reduce the fluctuations in your portfolio’s value, because they don’t move in tandem with one another, while you keep driving toward your investment goals.
The dilemma: I’m a 65-year-old woman running scared about out-living my money.