Smart investment choices for life after retirement

By Ephraim Ofori NUMOSUOR

Retirement is often seen as the end of active work life — but it can also mark the beginning of a more peaceful and financially stable chapter if one plans wisely. After decades of hard work, the goal should be to protect your savings, make them grow modestly, and ensure a steady income that sustains your lifestyle.

Unfortunately, many retirees either keep their money idle in bank accounts or fall prey to enticing but risky investment schemes. This article offers some practical and low-risk investment options to help retirees preserve and grow their hard-earned money.

1. Treasury Bills – safe and steady

Treasury bills (T-bills) remain one of the safest places to keep retirement funds. Issued by the government, they guarantee your principal and provide predictable returns over short periods — 91, 182, or 364 days. T-bills are ideal for retirees who value security and liquidity. They allow you to earn decent interest while still having access to your funds within a year.

2. Fixed Deposits – A balance of safety and income

Fixed deposits with reputable banks and credit unions offer another safe investment route. They typically yield slightly higher returns than savings accounts and allow you to lock in your funds for a specific period, earning a fixed interest. However, always compare rates across banks and ensure the institution is licensed by the Bank of Ghana.

3. Mutual Funds – Let the experts work for you

If you desire a little more growth but still want professional management, mutual funds are a great option. Retirement-focused funds such as balanced or income funds spread your money across different assets — stocks, bonds, and money market instruments — reducing risk. While returns are not guaranteed, they can outpace inflation over time when managed prudently.

4. Real Estate – Build something that endures

Many retirees dream of putting up a small building — for family use or to generate rent. That’s a wise move if done gradually and with good budgeting. Instead of rushing, you can invest part of your funds in T-bills or fixed deposits and release them in phases to finance your construction. The key is to avoid locking all your money in an uncompleted project without liquidity to meet personal needs.

5. Annuities – Turning your savings into lifetime income

An annuity is an arrangement with an insurance company where you invest a lump sum and receive regular payments for life or a fixed period. It’s particularly good for retirees who want assurance of monthly income. Though not yet popular in Ghana, this option is gradually gaining attention as life expectancy increases.

6. Small, familiar ventures – Keep it simple

Some retirees still have the strength and passion to engage in small ventures — like trading, poultry, or renting out equipment. The golden rule is to invest only in what you understand and start small. Avoid high-return promises or ventures run by others without transparency. Protect your peace of mind first.

Final word

Retirement is not the end — it’s a new season to make your money serve you, not the other way around. At this stage, the focus should be preservation, modest growth, and predictable income. Every retiree should also have a simple budget and an emergency fund for medical and personal needs. When it comes to investing after retirement, slow and steady truly wins the race. Let your years of experience guide your decisions, not the noise of the market.

>>>the writer is a Financial Economist, Research & Policy Analyst. He can be reached via 0248803710 and or [email protected]

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