Q&A: How to Invest...?

Q:

I will be retiring on December 30 2014 from the Post Office. I have a Thrift Savings Account with about $150,000.00. I would like to roll it over into an income account. Could you tell me where I should put it?

A:

This simple question is one of the most difficult to answer for two reasons:
There is no absolutely 100% perfect way to invest
Determining portfolio allocation requires a great deal of information about the investor

For example, do you need current retirement income starting in December? If so, how much? How much risk are you willing to take to get it? 

For most, the answer to the last two questions about return and risk are: A lot. None. This is impossible. No risk means a best-case income on $150,000 of less than $250 per month.

If this is the bulk of your future, you would be wise to hire a personal fee-only investment advisor who charges less that 1% per year and uses only no-load, low-fee, non-actively managed funds or you could call us on "Talking Real Money" Saturday at noon PT  at 877-397-5666. We'll be back on live 11/22 and from 12/6 on.