Investing can be the key to a secure retirement. Here are some missteps to avoid.

As you save for retirement, choosing your investment mix is among the most important decisions you can make. Your allocation of stocks, bonds and guaranteed investments will determine the volatility and long-term performance of your portfolio.

Here are some common investing mistakes to avoid, according to the Investor Guidance Center* at CUNA Mutual Group:

  • Thinking you’re diversified when you’re really not. Dividing your money into multiple investment options without allocating it among different asset types does not diversify your portfolio. For instance, you could choose to invest all of your savings in five different large company stock funds. It may be split between different funds, but your savings will be invested in the same types of companies.
  • Not realizing that your age is likely the best factor in determining how much investment risk you should take. Younger investors can be more aggressive with portfolio allocation because they have more time on their side to make up for market swings. Older investors are generally better served with a more conservative investment mix.
  • Tinkering with your investment mix too often. Be patient. Choose an investment mix that is right for you, then give it time to work. Review your portfolio’s performance regularly, and consider making adjustments as you get older.
  • Doing it yourself without proper research or expertise. Investing isn’t easy and it’s extremely important to make well-informed decisions. When in doubt, find trustworthy professionals who will work closely with you to understand your needs and implement a financial strategy you feel good about.
  • Trying to “time the market” and investing according to guesswork. Nobody ever knows exactly how a market will react to myriad global financial and geopolitical factors. Instead, making regular contributions over time, also known as dollar cost averaging, is widely recognized as a more reliable investment method.

The Investor Guidance Center at CUNA Mutual Group is available to help you plan for retirement and balance your other financial goals. Allsteel Credit Union is proud to collaborate with CUNA Mutual Group, an insurance and financial-services provider for credit unions, their employees and members. Call the Investor Guidance Center at 888.888.3940 or email InvestorGuidanceCenter@CunaMutual.com for assistance.

* Securities sold, advisory services offered through CUNA Brokerage Services, Inc. (CBSI), member FINRA/SIPC, a registered broker/dealer and investment advisor. CBSI is under contract with the financial institution to make securities available to members. Not NCUA/NCUSIF/FDIC insured, May Lose Value, No Financial Institution Guarantee. Not a deposit of any financial institution. FR-1803240.1-0517-0618

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