7 Ways Your Money Will Never Be the Same

Brace yourself for more-volatile markets, tighter credit and a revamped retirement system.

Investors have been feeling frisky of late. Just another bout of irrational exuberance, you ask, to be followed by another bust? Possibly. One thing that's certain, however, is that the Great Recession, the credit crisis and the past year's meltdown in financial markets will change how you handle your finances in the future. In many ways, your money will never be the same.

1. Investors: Less risk. In the old days -- before 2008, that is -- an aggressive portfolio had 80% or more of its assets in stocks. But most investors have been burned so badly that it will be a long time before they'll again be confident enough to justify such a high proportion of stocks within their total portfolio.

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Jeffrey R. Kosnett
Senior Editor, Kiplinger's Personal Finance
Kosnett is the editor of Kiplinger's Investing for Income and writes the "Cash in Hand" column for Kiplinger's Personal Finance. He is an income-investing expert who covers bonds, real estate investment trusts, oil and gas income deals, dividend stocks and anything else that pays interest and dividends. He joined Kiplinger in 1981 after six years in newspapers, including the Baltimore Sun. He is a 1976 journalism graduate from the Medill School at Northwestern University and completed an executive program at the Carnegie-Mellon University business school in 1978.