stating that their investments will be blown away by inflation.
Even with a low ability to take risks, it is possible to outperform inflation (especially with previous savings, if we assume that were savings, which I hope there were). Not necessarily to gain a higher return than the loss inflation incurs at the moment, but Good Enough to minimize the losses, or, as I said, even annul these losses.
To make considerable gains, however, a higher risk strategy is necessary. In the current climate. Which won't last forever, and most "fresh" retirees will out-live it considerably.
It is not exactly rocket surgery, to come up with a strategy to limit the impact of inflation enough, that a senior does not have to go to the homeless shelter and Salvation Army soup kitchen. Especially with managed investment schemes. |
