You may have seen recommendations for the “60/40 portfolio,” which is composed of 60% equities and 40% bonds, in the financial press throughout the years. With mutual funds or exchange-traded funds, this kind of portfolio can be assembled with little difficulty.
However, some investors have built retirement nest eggs that are entirely invested in equities due to the robust performance of U.S. stocks over the last 15 years and low interest rates. In order to lower risk and shift more toward income production, it is customary to decrease your stock allocation and raise your bond exposure as you approach retirement.
A woman in her 50s who is semiretired and has 85% of her money invested in stocks alongside her spouse asked Quentin Fottrell, the Moneyist, a question this week. She questions whether the allocation of their investment portfolio is too ambitious for the ensuing decade.
The Moneyist also assists readers dealing with challenging financial disputes in their families:
- My son’s stepmother refuses to answer his phone, despite the fact that his father passed away. Even whether there is a volition is unknown to us. Now what?
- My 37-year-old daughter receives thousands of dollars from my husband in secret. She spends the cash carelessly. How do I put an end to this?
- My 62-year-old acquaintance could only have a few weeks left to live. How can he keep everything from going to his second wife?
A warning sign for Tesla and its investors
Steve Goldstein brought attention to a startling set of figures about the sales of Tesla Inc.’s (TSLA) automobiles in Germany. He then investigated the company’s Chinese sales volume.
Is it too late to open a Roth IRA?
This week, Alessandra Malito addressed a complex query from a MarketWatch reader who questioned if it might be too late for her to reap the rewards of making contributions to a Roth IRA in the Help Me Retire column. Her age, her husband’s age, tax ramifications, and choices over whether to take money out of retirement accounts are all covered in the response.
A housing and retirement conundrum
This column, Fix My Portfolio, is written by Beth Pinsker. She assisted a reader this week who was dealing with a challenging combination of issues; she is 70 years old and believes that a mortgage debt will prevent her from retiring. She can restructure her finances in this way.
Beth also worked with Andrew Keshner, Jessica Hall, and Venessa Wong to address a another kind of retirement issue: why are retirement buyout proposals, like the one that President Donald Trump is pushing for federal employees, so difficult to sell?
Even among the Magnificent Seven, the stock market is still booming.
A setback involving Apple
Skyworks Solutions Inc.’s (SWKS) stock dropped 21.5% on Thursday after the connectivity component manufacturer stated that it anticipated having a lower “content position” in new equipment manufactured by its biggest client, which it did not identify. Apple is regarded as that client. Emily Bary described the announcement’s ramifications, including when it is anticipated to have an impact on Skyworks’ profitability and revenue.
Fallout from DeepSeek
Reports that the Chinese business DeekSeek had created competitive artificial intelligence technology for significantly less money than the rival ChatGPT had spent caused Nvidia’s stock to drop 17% on January 27. The S&P 500 SPX was down just a little from January 24 to Thursday, notwithstanding the volatility of that day.
What comes next, then? In an interview with Joy Wiltermuth, managers of sizable stock portfolios discussed their expectations regarding the impact of the DeepSeek news on the Magnificent Seven and a wider range of businesses.
