Most Young Retirement Savers Make This Investing Mistake
You've set up your 401(k) contributions, and you're watching that account balance tick up with every paycheck. Congratulations, you're on your way to a comfortable retirement. Now, it's time to expedite your progress by optimizing the investments in your account.
That's an adjustment the vast majority of young savers need to make, according to a new report from insurance company John Hancock. The report finds that 81% of DIY savers under the age of 30 are invested too conservatively for their age. And while that may not sound like a catastrophic investing mistake, it's likely to slow the growth of your retirement savings over time.
Granted, there are good reasons why you might prefer to be conservative with your retirement account holdings. At a time in life when your 401(k) contributions represent most -- if not all -- of your savings, you don't want to take any chances. Or perhaps you're still getting comfortable with the risk of loss that comes with stock market investing.
Source Fool.com
