The present economically lean times do not show a very green future as far as your monetary security after retirement is concerned. According to a recent survey by Employee Benefit Research Institute only 13 percent of employed people seem to be confident of their financial future post retirement. So do you fall in the category of these lucky people? If not, you’ve got to think of revamping your portfolio so that you meet the challenges of the new economy which is emerging with its new set of methods, policies, business opportunities and success formulae.

One of the prime steps that you’ve got to take is making the right investment choice. You’ve got to think if you’d want to invest in stocks, bonds or something new. Many make the mistake of thinking that investing wisely means distributing your money between stocks and bonds. But then, in a financial downturn like last year, this might not be a very wise thing to do. A more prudent option would be to make investments in alternative assets that allow for divergence. These are the assets that you can fall back on if your stocks and bonds don’t do well for a while.

So what are these alternative investment options? They are mutual fund investments that you can make on materials and valuable metals which have a reasonably steady market value for a long period of time- let’s say, to the tune of some years. These investments depend on stock prices to hedge alternative investments. Ideally, the present market conditions and opportunities demand that these investments should constitute about 5%-20 % of your portfolio.

It’s not that you invest entirely in mutual funds. You can always invest the rest in stocks and bonds. However, while making investments, the lessons that we learnt from the bull market during the present recession should be used to correct our faulty investment choices and actions. If you are aware, about one –fourth Americans in the age group of 56-64 put 90 percent of their (401) k in stocks, in 2009. The market crashed and the retirement accounts sank down the ocean of economic destruction. So, you are not going to make the same mistake again are you? The younger generation should invest more in stocks if they can sustain the associated market risks. If you are on the wrong side of 50, don’t invest more than 70 % of your retirement funds in stocks.

Your portfolio revamping does not stop there. Ask the new age analysts and they’ll tell you that the economical tsunami has altered the contours of investment choices to be made. The analyst will tell you about which stocks and bonds you should be investing in. The improvement is very sluggish and you’ve got to put forward a careful step. You can invest in stocks that yield good dividends. The ones that are going to give you frequent and consistent cash payouts are the ones that will prove to be pretty beneficial for you. About 30 percent of your stock investments should be diverted towards foreign stocks according to financial planners. Turn your attention to Brazil and India for possible foreign stock investments.

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