Risk tolerance for many people has more to do with emotions than actual facts when it comes to their money. And it is true that there are many types of risk one may encounter, but all risk has one thing in common: the uncertainty of loss. The fact is that there is risk in everything. Risk can be minimized but it cannot be eliminated.
A good example of a place where risk has gradually taken people by surprise is through the safety and security of our regular savings and certificates of deposits. These rates have been at historical lows for the past five years with no clear indication that rates will rise anytime soon.
This is known as “Interest Rate Risk”. The reality for many people is that rates are so low that you are no longer able to keep up with daily expenses of living with your interest earnings and you are gradually depleting savings.
Knowing that there is risk in even the safest of investments, is your inner objective voice of reason beginning to ask whether it might be worthwhile to re-evaluate your tolerance for risk? Maybe it’s time for you to consider some of the income investments other retirees are using today to create retirement income.
Contact me, Rich Parker, to schedule an appointment at a Wauna CU branch near you to discuss your tolerance for risk. We may have an acceptable solution for you.
LPL Financial Advisor
Wauna Investment Services
LPL Branch Office:
100 Columbia Ave
Astoria OR 97103
- There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
- Securities offered through LPL Financial, member FINRA/SIPC. Insurance Products offered through LPL Financial or it licensed affiliates. LPL Financial is not affiliated with Wauna Credit Union.
- Not NCUA Insured
- No Credit UnionGuarantee
- May Lose Value