In Creative fixes for US finances Jim Jubak offers that now might be a good time for the U.S. government to put some Social Security funds into the stock market. Here are the reasons for considering this move:
Overall, I think this is a reasonable idea to consider for a portion of Social Security funds. Doing so would offer two immediate benefits: 1) Show confidence in the U.S. economy and 2) Injects funds to replace money that has been withdrawn from stocks over the past few months It may even make Social Security solvent for the longer term, which would help everybody.
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This is not financial or investment advice. Please consult a professional advisor.
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21 hours ago
1 comment:
I am of two minds about this. On the one hand, stocks clearly yield a better return. On the flip side, can you really stomach the possibility of a massive bear market (like the one we are living through) wipe out the only safety net that many people have for the old age? Maybe investing 20% or so of the total balance would be acceptable.
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