How to invest for retirement in an inflationary environment

MotleyFool06-19

Investing for retirement can be a challenging decision because we don't know how long we're going to live or what the economic environment is going to look like. Inflation is a negative when it comes...

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Inflation is a negative when it comes...</p>\n\n<a href=\"https://www.fool.com.au/2024/06/19/how-to-invest-for-retirement-in-an-inflationary-environment/\">Source Link</a>\n\n</div>\n","source":"motleyfoolau_stock","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>How to invest for retirement in an inflationary environment</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nHow to invest for retirement in an inflationary environment\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-06-19 02:00 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com.au/2024/06/19/how-to-invest-for-retirement-in-an-inflationary-environment/><strong>MotleyFool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Investing for retirement can be a challenging decision because we don't know how long we're going to live or what the economic environment is going to look like.  Inflation is a negative when it comes...</p>\n\n<a href=\"https://www.fool.com.au/2024/06/19/how-to-invest-for-retirement-in-an-inflationary-environment/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"SHL.AU","symbol_name":"SONIC HEALTHCARE LTD","start_time":0,"source_url":"https://www.fool.com.au/2024/06/19/how-to-invest-for-retirement-in-an-inflationary-environment/","article_id":"2444459709","we_media_id":null,"thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2444459709","pubTimestamp":1718733600,"sourceInfo":{"source_id":"motleyfoolau_stock","name":"MotleyFool"},"weMediaInfo":null,"summary":"In the IML Equity Income Fund, which is the fund the investment outfit is referring to with this sustainable income strategy for retirement, these were the biggest ten holdings at 31 May 2024 and their weightings: National Australia Bank Ltd  – 6.4% Telstra Group Ltd  – 5.9% BHP Group Ltd  – 5.7% CSL Ltd  – 4.8% Aurizon Holdings Ltd  – 4.4% Brambles Limited  – 4.3% Westpac Banking Corp  – 4.3% Steadfast Group Ltd  – 3.7% Charter Hall Retail REIT  – 3.5% Lottery Corporation Ltd  – 2.8%  I'd also throw in a few other ASX shares as ideas that have a long track record of growing their dividends, including Washington H. Soul Pattinson and Co. Ltd , Brickworks Limited  and Sonic Healthcare Ltd .","collect":0,"end_time":0,"defaultTopTitle":"fool.com.au","property":[],"viewcount":null,"language":"en","relate_stocks":{"SHL.AU":"SONIC HEALTHCARE LTD","BK7511":"ESG概念","BKW.AU":"BRICKWORKS LIMITED","BK7042":"综合电信业务","BK7067":"生物科技","BK7124":"保健护理服务","BK7083":"煤与消费用燃料","WBC.AU":"WESTPAC BANKING CORPORATION","BK7140":"铁路","AZJ.AU":"AURIZON HOLDINGS LTD","BK7064":"综合支持服务","NAB.AU":"NATIONAL AUSTRALIA BANK LTD","SDF.AU":"STEADFAST GROUP LTD","BK7095":"多种金属与采矿","TLC.AU":"Lottery Corporation Limited","BK7501":"新冠治疗股","BK7105":"多领域控股","BK7078":"赌场与赌博","CSL.AU":"CSL LIMITED","BK7101":"保险经纪商","BK7135":"综合性银行","CQR.AU":"CHARTER HALL RETAIL REIT","TLS.AU":"TELSTRA GROUP LTD","BK7044":"建筑材料","BHP.AU":"BHP GROUP LTD","BK7507":"资源股","BXB.AU":"BRAMBLES LTD","BK7162":"零售房地产信托","BK7005":"零售业房地产投资信托","BK7508":"医药生物股","SOL.AU":"WASHINGTON H. SOUL PATTINSON"},"translate_title":"如何在通货膨胀环境下为退休投资","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BHP.AU":1,"WBC.AU":1,"TLS.AU":1,"TLC.AU":1,"SOL.AU":1,"SHL.AU":1,"SDF.AU":1,"NAB.AU":1,"CSL.AU":1,"CQR.AU":1,"BXB.AU":1,"BKW.AU":1,"AZJ.AU":1},"content_text":"Investing for retirement can be a challenging decision because we don't know how long we're going to live or what the economic environment is going to look like.  Inflation is a negative when it comes to ensuring our money can pay for all the goods and services we want. The last few years have seen costs of many items jump, making it harder for retirees to plan for the future. The investment group IML points out that retirees seem to be left with two choices. The first is taking greater risks with their investments to improve returns and, hopefully, stay ahead of inflation, but this may increase the possibility of losing money. Another option is to invest conservatively, earning lower returns, and hope that inflation will come down more quickly, enabling retirees to maintain their quality of life. But IML believes that there's a third option – investors in retirement should focus on sustainable passive income rather than returns. Why sustainable income makes sense IML suggests a greater focus on passive income reduces the chance that retirees will need to use their investment capital to fund their life expenditures during periods of poor investment performance. The investment outfit suggested dividends are \"inherently less volatile than share prices as dividends are paid based on the underlying profitability of the company, whereas share prices fluctuate depending on the whims of the market.\" Regular income enables investors to receive cash, and they're less likely to be forced to sell their shares during a bear market, locking in losses and permanently hurting the investment balance of that portfolio. As IML points out, this is called sequencing risk. In the accumulation phase of our lives, we are usually net buyers during bear markets rather than sellers.  This method could mean people are more likely to enjoy their retirement and be less likely to worry about their finances. Which ASX shares can provide good dividends? In the IML Equity Income Fund, which is the fund the investment outfit is referring to with this sustainable income strategy for retirement, these were the biggest ten holdings at 31 May 2024 and their weightings: National Australia Bank Ltd (ASX: NAB) – 6.4% Telstra Group Ltd (ASX: TLS) – 5.9% BHP Group Ltd (ASX: BHP) – 5.7% CSL Ltd (ASX: CSL) – 4.8% Aurizon Holdings Ltd (ASX: AZJ) – 4.4% Brambles Limited (ASX: BXB) – 4.3% Westpac Banking Corp (ASX: WBC) – 4.3% Steadfast Group Ltd (ASX: SDF) – 3.7% Charter Hall Retail REIT (ASX: CQR) – 3.5% Lottery Corporation Ltd (ASX: TLC) – 2.8%  I'd also throw in a few other ASX shares as ideas that have a long track record of growing their dividends, including Washington H. Soul Pattinson and Co. Ltd (ASX: SOL), Brickworks Limited (ASX: BKW) and Sonic Healthcare Ltd (ASX: SHL).","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.24.2","shortVersion":"4.24.2","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2444459709"}