Investment tips that can reduce worry in retirement

People planning to retire in the near future have greater concerns about their investments than ever before. But they shouldn't let outside forces they can't control overwhelm their ability to prioritize, adjust and invest wisely.

Don’t give in to knee-jerk reactions

Turn off the mainstream media financial news programs and random Google searches. They are meant to stoke fear because fear gets viewers and readers. If you listen long enough or read lots of negative financial news, there's a greater chance that you'll end up making an ill-advised, poorly timed decision about your investments. Instead, let the curiosity that media sparks lead you to search out personalized advice.

Differentiate your money between short-term and long-term

Some advisers will tell people they can withdraw a certain percentage of their money every year and be fine. But that approach leads retirees to think that it's all one pot of money that works just the same, regardless of what type of account they have used for their savings and how the account is invested. This creates an incomplete picture. In reality, they will use some money in the short-term and some in the long-term. For starters, simply by separating the money into those two time frames can help craft a smarter investment and income-distribution strategy.

Invest in quality companies for the long term Because of inflation, longevity, expenses and all the things you want to do in retirement, your money needs to grow over the long term. An enjoyable retirement depends largely on realizing steady growth from investments; therefore, retirees should be invested in some amount of equities.

Let integrated planning help your decisions

A solid investment strategy is about more than what is in your portfolio and its percentage return; it must be integrated into your overall income, investing and tax retirement plan. This is where the additional value of an adviser can be realized. Most advisers don't do integrated planning and, therefore, tend to miss opportunities to maximize income withdrawals, investing efficiency and tax minimization.