Our daily roundup of retirement news your clients may be thinking about.

Why boomers should show stocks more love
Although market volatility makes stocks a risky investment option, retirement investors should continue to hold stocks in their portfolio, according to this article on Forbes. They should even consider increasing their stock allocation, as they are likely to underestimate the amount of savings they will need in retirement and stocks offer hefty potential returns that can boost their nest egg. Retirement investors should adopt a buy-and-hold strategy when it comes to stock investing since market downturns are temporary and could end sooner than expected. –Forbes

Image: Bloomberg
Image: Bloomberg

Retirement Alert: Non-negotiable must-haves when buying a 55-plus home
Many seniors are not that eager to join 55-plus communities despite the many attractive features these communities offer, according to this article on The Street. Based on a study by 55places.com, pre-retirees and retirees consider the location before moving and prefer newly built or renovated, single-level homes with a modern kitchen. "Many retirees are moving from homes they have lived in for a long time--often where they raised their families for the last 20 years or more," says an analyst. "Now that they have a chance to purchase a new home, they want all the bells and whistles they've been craving but never had." –The Street

When retirees are forced to make withdrawals
Retirees should ensure that they start taking the required minimum distributions from their tax-deferred retirement accounts within the year that they turn 70 1/2, according to this article on CBS Moneywatch. Failure to take theRMD or the full amount will trigger a 50% excise tax on the distribution amount. Banks, brokerages, and other financial companies that manage retirement accounts are required to notify the Internal Revenue Service about the RMD that their account holders should take each year, so there is no way for retirees to avoid taking an RMD from their accounts. –CBS Moneywatch

Not your daddy’s retirement, Part 1: Many unhappy returns
Investors should not rely on the "historical" average rate of return when creating a retirement plan, but instead should expect that the returns from their portfolio will be lower than projected, says an expert. While stocks are now fairly valued, long-term government bonds yield only 2.3%, which is lower than the historical rate of bond return of 5.6%, the expert explains. This should prompt investors to adjust their expectations and boost their savings, as this period of low investment returns could last seven to 10 years. –Motley Fool

As 401(k) suits mount, check your own plan
401(k) plans charge fees that can eat away at much of workers' retirement funds and prevent them from securing their golden years, according to this article on CNBC. 401(k) participants should understand these costs, many of which are not disclosed to them, says an expert. "Research and look into alternatives, and go back to the [plan service] provider to get an explanation of the fees and discounts," he suggests. –CNBC