Should Retirees Pull Their Money Out of the Stock Market in 2026?

Group 1 - The S&P 500 is reaching record highs, raising concerns about potential market crashes in 2026, especially with economic uncertainties and possible changes in Federal Reserve leadership [1][7] - Investors are advised to consider reducing risk in their portfolios rather than pulling all funds out of the stock market, as this could lead to missed gains if the market does not crash [2][4] - A strategy to reduce risk includes shifting investments from expensive stocks to more modestly valued ones, such as selling Costco Wholesale (P/E of nearly 50) and buying Home Depot (P/E of 24) [5] Group 2 - Investing in income-generating ETFs is recommended for those who prefer not to pick individual stocks, as this can provide diversification and dividend income [6] - There are several headwinds anticipated for the stock market in the upcoming year, making it a crucial time for investors to reassess their portfolios [7]