Senior citizens hoping to enjoy their golden years with financial freedom might want to steer away from the stock market in light of the economic downturn.
All over the U.S., retirees are seeing their portfolios shrink, which forces them to cancel vacations and cut back on other luxuries, reports the New York Times.
Despite warnings to older investors to avoid stocks, many of them purchased them in the hope of receiving a bigger return in the market, according to the article.
But when the market started to crash, so did their hopes.
Jerry Rivkin, a 75-year-old retired appliance store owner in Florida, told the Times it has been an aggravating process.
"Were playing for nickels and dimes while we watch ourselves losing tens of thousands," said Rivkin.
To possibly help balance out hemorrhaging portfolios, it is suggested retirees look into bonds, the Associated Press reports. However, investors should know it depends on which type of bond they use.
The article points to a Morningstar analysis showing short-term government bond funds have earned an average of 2.6 percent, while long-term government bond funds averaged a 1.9 percent gain.