Retirees, check your portfolio now: These 5 investments look safe but could devastate your savings after 60

The tricky part is that some of the riskiest moves don't look risky at all.

When investments seem too good to be true

Many people might assume that if something sounds familiar, or shows up often in ads or headlines, then it's probably a reasonable bet. But in retirement, you have less room for error so you'll want to be as careful as possible with where you park your money.

Consistency is key so that you have steady income, manageable fees and access to your money when life throws you a curveball. Investments that tie up your cash, swing wildly in value or rack up costs can often do more harm than good.

There's also the harsh reality that retirees are often targeted, whether it's by marketing campaigns, sales pitches or even well-meaning friends. It can be easy to get pulled into the next "big opportunity" with ideas that may overpromise and then underdeliver.

Just remember that your goal in retirement isn't to outsmart the market — it's to make your money last.

That usually means sticking with a mix of investments that generate income, spread out risk and don't come with surprises. The flashy options tend to be the ones that complicate things, whether through high fees, hard-to-sell assets or unpredictable returns.

If something feels overly complicated or a little too good to be true, it's worth taking a closer look at it.

The top 5 investments retirees may want to rethink

Some of these might sound harmless, and even appealing, at first. But they can create real headaches once you're relying on your portfolio to pay the bills.

Timeshares

That free dinner pitch on vacation can be hard to resist — but timeshares rarely work out as investments. According to an article by CNBC (1), the timeshare industry is worth over $10 billion, but roughly 85% of buyers regret their purchase. You're not building equity, and getting out later can be surprisingly difficult. Meanwhile, annual fees don't go away.

Collectibles

Whether it's art, antiques or classic cars, collectibles can feel like a smart way to hold value. The problem is they don't generate income and can take a long time to sell, which is not ideal if you suddenly need cash. AARP (2) notes that while there are some rare collectibles that may be worth something, pricing is often based on condition and desirability in the market.

The lottery

Most people know the odds are slim, but small, regular spending can add up. LotteryUSA (3) shares that the opportunity cost means that for some players that money could have gone towards savings or debt repayment. Over time, that's money that could have supported your day-to-day expenses instead.

Crypto

CNBC (4) reported that the volatility for bitcoin was five times more than the broad U.S. stock market for the year that ended in January 2025. Cryptocurrencies can swing dramatically in a short time and since they don't produce income, timing becomes everything. That's a tough speculative game to play in retirement.

Variable annuities

These are often pitched as a way to create steady income, but the fine print matters. Fees can be high, and your money may be locked in longer than expected. AARP (5) notes that there seems to be a lot of confusion around annuities, including a range of riders and fees. For some retirees, that trade-off just isn't worth it.

Retirement isn't necessarily the time to experiment. The investments that typically work best at this time might not be the most exciting, but they're designed to do something important: keep your finances steady, predictable and working for you over the long haul.

Article Sources

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CNBC (1) ; AARP (2) ; LotteryUSA (3) ; CNBC (4) ; AARP (5)