Regardless of your age, the thought of not having to work, but still enjoying a great quality of life is probably quite appealing. Retirement sneaks up on you as each year goes by faster and faster.
I have a client who is a big OU Sooner fan. I mentioned to him my hope that OU would stand a chance against the heavily favored Alabama Crimson Tide to which he responded in jest, "I hope you aren't putting MY money on an upset." After the game I could not help but see the parallel to this year's outcome and how people actually think about investing for retirement.
I don’t spend a lot of time offering specific market commentary at Financial Planning Fort Collins. I think there are a lot of places and a lot of personalities that can offer plenty of very fine commentary for you to enjoy, if that's your thing. But when bigger picture things happen, I will try to put them into context, as much as possible.
Which segues into interest rates, and bonds. Interest rates have recently made a sharp move higher. In early May the benchmark 10-year Treasury note was at a yield of 1.66%, near the all-time lows hit in July of 2012. The difference between this year and last is that in just over a month the yield on that 10-year T-note has snapped up to around 2.20%. On a relative basis, that's a big move for the bond market - yields moved up by nearly 1/3rd in around 30 days.1