Reviewing Investments: An Important Step in Retirement Planning

Did you know that 47% of adults in the U.S. lack confidence when investing?

According to a 2023 study conducted by, only 17% of the respondents said they were confident investors.

Examining your investments to ensure they align with your goals and risk tolerance is essential as you approach retirement. It's common for investors to be overly risky and subject to a sudden drop in the market without the time to rebound. On the other hand, it's also common for investors to be too conservative. Being overly conservative may mean you miss out on long-term growth and are not earning enough to keep up with inflation.

Since everyone's situation is different, we recommend that you discuss your investment mix with a financial professional. Here is some general guidance for managing your portfolio before and into retirement.

Reviewing Investments

Assess your current portfolio mix:
Look at your current investments and evaluate if they still meet your needs. Does the mix match your return needs, risk tolerance, and time horizon? Revisit your portfolio mix over time as you approach retirement and when your financial situation changes.

Rebalance your portfolio:
After you decide on an initial investment allocation, changes in the market could cause your mix of investments to change from your desired percentage. Rebalancing involves selling some investments and buying others to return your portfolio to your desired asset allocation.

Perhaps, you don't consider yourself investment savvy or you don’t have the time or wherewithal to rebalance your portfolio. In that case, you may consider investing in target date funds such as the Pension Boards Target Annuitization Date (TAD) Funds. TAD Funds are a simple investment solution that rebalances your portfolio's asset allocation and risk in the years approaching your retirement. The asset allocation mix becomes more conservative as the target date approaches – typically, one's expected retirement date. TAD funds are a good investment option for many, as they simplify investing and take the guesswork out of fund selections and allocations.

Review your investment expenses:
Look closely at the costs you are paying on your investments. Consider whether your fees are reasonable and how they compare with similar investments. Investment fees have a direct impact on your long-term return.

Pension Boards Investment Options

If you have an accumulating account at the Pension Boards, you have five additional investment options to choose from, including the Stable Value Fund, a Bond Fund, a Sustainable Balanced Fund, an Equity Fund, and the Global Sustainability Index Fund.

To learn more about individual Pension Boards’ investment options, visit the Investments section.

Travis Marks
Travis Marks, CFP®, CFA®, is the Director of Generations University for the Pension Boards, responsible for the education initiatives for Pension Boards members, employers, and internal staff. Prior to joining the Pension Boards, Travis worked as Senior Manager of the National Financial Education Practice (FEP) for PricewaterhouseCoopers. He has more than 16 years of financial planning, education, and management experience, and has a passion for helping people improve their finances.