Helping with Sequence of Return Risk

January 2, 2025

A Home Equity Conversion Mortgage (HECM) can help manage sequence of return risk by providing retirees with an alternative income source during market downturns. Instead of withdrawing from investments when their value is low, homeowners can use a HECM to supplement income, allowing their portfolio time to recover. This strategy helps preserve retirement savings and provides financial stability by reducing the impact of market volatility.

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