The importance of diversification for a successful financial portfolio

The importance of diversification for a successful financial portfolio

According to a report by Fuldaer Zeitung, the retirement age will gradually be raised to 67 from those born in 1964. Employees born in this age group can therefore only retire without deductions at the age of 67.

This measure has various impacts on the market and the financial industry. On the one hand, it means that people have to work longer in order to benefit from a pension without deductions. This means that they pay into the pension system for longer, which results in higher contribution income. At the same time, however, poverty in old age is also increasing because not all employees can work until the new retirement age.

Another effect is the extension of working life. As people stay in the workforce longer, there are fewer job openings for young workers. This could lead to a worsening skills shortage, particularly in industries that rely heavily on older employees.

Increasing the retirement age also has an impact on private pension provision. As the time between retirement and retirement becomes longer, people may need to set aside more money for their private pensions in order to be well-protected in retirement.

Overall, raising the retirement age to 67 has both positive and negative effects on the market and the financial industry. It is important that employees start planning their retirement early and learn about the various options available to ensure they are financially well prepared for retirement.

Source: https://www.fuldaerzeitung.de/ratgeber/trittweise-angehoben-wann-abschlagsfrei-rente-rententrittsalter-67-jahrgang-1964-92569194.html