Aussie Investing Icon Burt Malkiel (92!) Says Work Longer for a More Secure Retirement
At 92 years young, legendary investor Burt Malkiel is still sharp as a tack and dispensing wisdom. Known as the 'Oracle of Omaha's East Coast cousin' and Wealthfront’s chief investment officer, Malkiel recently spoke with Business Insider, sharing his thoughts on everything from the unpredictable nature of life to the importance of delaying retirement and his concerns about current economic policies.
Malkiel, author of the classic 'A Random Walk Down Wall Street,' isn't advocating for endless toil. Instead, he believes that working longer, even part-time, can significantly bolster your financial security and provide a sense of purpose. “Life is unpredictable,” he stated, “and the more resources you have, the better prepared you’ll be for whatever comes your way.”
Why Delay Retirement?
The core of Malkiel’s argument revolves around the increasing uncertainty of retirement. Rising healthcare costs, longer lifespans, and economic volatility all contribute to the need for a larger financial cushion. Working even a few extra years can dramatically increase your savings, reduce the pressure on your retirement accounts, and potentially allow you to enjoy a more comfortable and fulfilling retirement. He suggests considering flexible work arrangements, consulting roles, or even pursuing passions that generate income.
“People are living longer, and they’re healthier longer,” Malkiel explained. “There’s no reason why you can’t continue to contribute, both financially and socially, for a longer period of time.” He also pointed out that many people find purpose and enjoyment in their work, and delaying retirement can allow them to maintain those positive aspects of their lives.
Concerns About the Current Economic Climate
Malkiel didn't shy away from expressing his concerns about the current economic landscape. He specifically mentioned his worries about the policies of former President Trump, citing potential disruptions to global trade and the overall stability of the financial system. While he didn't delve into specific details, his comments reflected a cautious outlook on the future.
A Legacy of Sound Advice
Burt Malkiel’s career spans decades, and his insights have guided countless investors. His enduring message is one of prudence, diversification, and a long-term perspective. His continued work and willingness to share his knowledge at 92 is a testament to his passion for finance and his commitment to helping others achieve financial well-being. In a world of fleeting trends and get-rich-quick schemes, Malkiel's advice remains refreshingly grounded and consistently valuable. So, take a page from the investing legend’s book: consider working a little longer, diversify your investments, and stay informed.
