As last year's uncertainty gives way to an increasingly robust economic recovery, COVID-19 will likely continue to influence global economies, creating pockets of uncertainty and challenges in the months ahead. In addition, expectations for lower bond market returns in the coming years and ongoing market volatility will require investors to remain nimble when it comes to seeking risk-adjusted returns aligned with their time frame and goals.
"Today's rapidly evolving market and economic environment continues to underscore why planning is so important," said TIAA Chief Financial Planning Strategist, Dan Keady, CFP®. "Your financial plan not only provides a valuable roadmap for the future, but a structure you can draw upon to buffer, secure and optimize your assets as circumstances and conditions change."
According to Keady, knowing which of these levers to pull and when was critical in 2020, as global uncertainty and unprecedented volatility gripped the markets. He believes each of the levers—creating a buffer, securing income sources, and optimizing assets—will continue to play an important role for investors seeking to remain on track toward their goals as the economy recovers.