StaceyR
Dryer sheet wannabe
I'm just beginning to settle into my early (59) retirement with the wife (57) not far behind. I was targeting 62 but a recent inheritance has allowed us to move up our time-table. At present we're fairly conservative with most of our nest egg in rollover IRAs and a lesser amount in Roth IRAs, all in a Fidelity managed account split 65/35 stocks/bonds. The remaining 20% is split between Fidelity non-managed low cost index funds and high yield savings.
My question is this: Based on current market conditions how should we allocate this sudden cash infusion that will increase our investment portfolio by nearly 50%? We don't plan on filing for SS for five to ten years so we'll need to draw from investments or cash for living expense and post-COBRA HI costs (a big concern and another question for later). My first thought is to beef up the low cost index funds but I'm concerned the stock market is ripe for a correction. It would be painful to go big there just before that happened. Sitting on the sidelines gets us a whopping 1.05% in "high interest" savings. Better than nothing but losing ground none the less.
Any helpful advise from those here wiser and more experienced than I (okay, everyone) would be appreciated.
My question is this: Based on current market conditions how should we allocate this sudden cash infusion that will increase our investment portfolio by nearly 50%? We don't plan on filing for SS for five to ten years so we'll need to draw from investments or cash for living expense and post-COBRA HI costs (a big concern and another question for later). My first thought is to beef up the low cost index funds but I'm concerned the stock market is ripe for a correction. It would be painful to go big there just before that happened. Sitting on the sidelines gets us a whopping 1.05% in "high interest" savings. Better than nothing but losing ground none the less.
Any helpful advise from those here wiser and more experienced than I (okay, everyone) would be appreciated.
Last edited: