EP461 – Investing For Retirees Amidst Low Interest Rates | The Money Show
14 DECEMBER 2020 | ET NOW | 19 MIN 25 SEC
On The Money Show, Retirees have had it tough this year with interest rates going to multi-year lows. This renders bank FDs and other fixed-income options as not so lucrative. Additionally, Retirees don’t usually have the additional funds to invest and capture any money-making opportunity to compensate for the lower interest rates. Lovaii Navlakhi, International Money Matters says, the retirement period is going to be relatively long as life expectancy has moved up too and hence. He advises breaking up the period. Take care of the first 1-2 years of requirement and keep that in a very safe investment like Bank FD or liquid debt fund says Navlakhi. The next 3-5 years of retirement requirement can be invested in Debt funds or Hybrid MFs. The balance can be invested based on the risk profile.