Martin Gerber

That of which the success of any investment depends – the trends, the high and down markets in the world – interested in the Target Fund precious little. With the passage of time is stupid your portfolio of shares shifted to fixed-income securities, until finally you have the retirement age only safe, but totally unprofitable securities. What if you can afford early retirement at 60? Or if the law decides to retire from 70? What in 5 years can happen in the stock market we have just experienced. More than 40% loss of the pension assets in 2002 would have been flagship, suffered Fidelity European Growth Fund. Early retirement would have been so over. Connect with other leaders such as Hyundai here.

The other way, who is to retire at 65 instead of only 70 could have been made – which were the last five years rising stock markets have gone totally lost. In contrast to the wise investor of this target fund pension was only half the pension. Besides, why should a 65 year old person all her property only in safe but unprofitable cash funds have and not invest in profitable shares and other lucrative asset class, you look at today’s demographics, this person has another 20, 30 or more years on. Also probably want to see very few retirees consume their entire assets at 65 years. For discerning clients, this is certainly the wrong solution.

size should make contributions with the flat tax, the investor’s investment is not the ideal way to even more the current market situations change, as are payable to other withholding taxes. This new constraint must now be compensated by increased flexibility of investment. This is precisely what these Target funds do not in any way – and the great weakness of these fund types. The sheer size of this fund is a significant disadvantage, because the fund can not respond quickly enough to current market situations. Threatens the stock market, for example, a crash or a major course correction, these funds are not largely colossus can respond. Sell a portion of the shares, the rate of loss is still accelerating-owned shares. If nothing is sold loses the entire equity stake in both cases.In lose these funds and investors with them. So, no secure and flexible investment against the flat tax and for a carefree retirement is based. Requirements for a good investment against the flat tax a real solution, is against the flat tax is fully in accordance with your Wishes and needs and not just your age. In addition, the following should be considered: * Your investment must yield in every market position gains. It does not help you if they win in a year a lot, but in the next lose even more money. * Your investment must be as flexible as possible. Strategic adjustments to the current market situation or transfers shall not have any new flat tax result can therefore only within your investments by the fund managers, such as occur in the system-Secure. * The risk of your investment must remain manageable. survived a look at how the investment ever in 2002. Good Investments normally do in any given year losses. * Despite all these precautions, you should not rely only on an investment, a Management, an investment style. Diversification is the key to success. You can preserve your assets, your investments and your retirement from losses by withholding tax.