Borrowing has a place in retirement

Questions you can ask your UBS Financial Advisor:

  • What are the biggest ways a Liquidity strategy could help you?
  • How can carefully managed borrowing strategies benefit you in retirement?
  • Could tapping into your home’s equity help subside worry about fluctuating investment markets?

Taking on debt—even in retirement—can be smart. Yet, most seniors generally rely on Social Security or pension income to cover expenses. Tapping into resources like your home equity can give you more flexibility in how you access funds.

Here are a few highlights from our latest Modern Retirement Monthly that can help you be sure your retirement plan has access to resources:

  • A Liquidity strategy does several important things for an investor. It matches cash flow to expenses. And most important for retirees who rely on their portfolios for cash flow, it helps you avoid panic selling in bear markets.
  • Borrowing is a potential resource that complements a robust Liquidity strategy. Carefully and proactively managed borrowing could give you financial resources to sustain otherwise potentially devastating scenarios such as healthcare or long-term care expenses, or simply being forced out of risk assets at the wrong time.
  • Certain types of debt can enhance financial plans under the right circumstances. Be sure to consider all options before making any final decisions. Borrowing can benefit you when managed prudently.

Is your Liquidity strategy ready for retirement?

Together we can find an answer. Connect with your UBS Financial Advisor today or find one.