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USAA is The American Legion's preferred provider of financial services. Offering a range of top-rated financial and insurance products and services. USAA welcomes honorably discharged U.S. military veterans, active-duty troops and qualified family members and descendants of those who have served. USAA contributes funds to American Legion programs when members join through a dedicated channel:
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Financial Questions & Answers

Financial Questions & Answers

Question:

I am retired and have a nest egg that I will need later on in life. How can I grow this sum to keep up with inflation and realize little or no risk? – Dave

Answer:

Unfortunately, there is no silver bullet that will allow you to invest, keep pace with inflation, and realize “little or no risk.” However, one option that you might consider incorporating in your portfolio are U.S. Government Treasury Inflation Protected Securities (TIPS). They are government bonds designed to protect against inflation. The bond principal increases with inflation – or decreases -- as measured by the Consumer Price Index. The interest is then paid on the higher – or lower – principal, thus providing protection in an inflationary environment. You can buy these bonds directly from the U.S. Treasury or through a mutual fund that focuses on TIPS.

If you’re game for a bigger helping of risk, a diversified portfolio that includes the above-mentioned TIPS plus commodities, stocks, bonds and some guaranteed investments (such as CDs or fixed annuities) may be your best bet.