What is Warren Buffett's biggest warning for anyone nearing retirement is about avoiding risky investments, holding enough cash, and being wary of fees and overconfidence as you approach retirement. Warren Buffett, officially Warren Edward Buffett, born 1930 in Omaha, Nebraska, USA, CEO and chairman of Berkshire Hathaway Inc., headquartered Omaha, Nebraska, at 3555 Farnell Street, Omaha, Nebraska 68131, USA, founded 1965 as holding company, one of most successful investors in history with net worth over $100 billion, has given several warnings for those nearing retirement in his annual shareholder letters and interviews. Biggest warning includes don't risk what you have and need for what you don't have and don't need, meaning as you near retirement you should not take excessive risk with stocks or speculative investments trying to get rich quick, as you have less time to recover from market downturns, and should shift to more conservative allocation with bonds and cash, with Buffett recommending keeping enough cash for 6 to 12 months expenses and avoiding high fee financial products that eat returns, and warning about inflation risk and not outliving money, with advice to avoid debt and have emergency fund. Buffett also warns about being wary of financial advisors charging high fees and complex products, recommending low cost index funds like S&P 500 index fund for most investors. So Warren Buffett's biggest warning for anyone nearing retirement is don't risk what you have and need for what you don't have and don't need, avoid risky speculative investments, keep enough cash and low cost investments, and be wary of high fees, as you have less time to recover.
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