Q: I’m looking to retire soon and am trying to decide how to produce income from my investments. Interest rates on bonds haven’t been so great lately and a friend suggested investing in dividend-paying stocks, but I’m worried about the risks. Please help.
A: With your retirement coming soon, it’s certainly important to understand your level of risk, considering recent market volatility. And while many people turn to bonds for perceived safety and income, dividend-paying stocks may serve as a good compliment to bonds for income.