General Electric Company (GE), The Procter & Gamble Company (PG): Three Companies for Retirees

Despite that fact, you can’t get any better than the management associated with the firm, and it has shown the ability to increase value throughout its history.

Consumer goods giant is staying put

The Procter & Gamble Company (NYSE:PG) isn’t as diversified as General Electric or Berkshire Hathaway Inc. (NYSE:BRK.A), but it is a massive conglomerate, to say the least. The business is concentrated on consumer packaged goods, which includes an array of businesses. Most of the products are sold through grocery stores, mass merchandisers, drug stores, membership club stores and high-frequency stores. Its two global business units include beauty and grooming.

The Procter & Gamble Company (NYSE:PG) owns so many of the leading brands, that it is essentially impossible for businesses to drive customers to their stores without carrying the firm’s products. That creates a huge amount of insurance for investors buying this stock because the company isn’t likely to go bankrupt. The firm is also set to extend its brands to other areas throughout the world, including into developing nations. Furthermore, The Procter & Gamble Company (NYSE:PG) has initiated a $10-billion cost-savings plan that is designed to lower operating expenses. That could help improve the profit margin, which was already an impressive 11% last year.

The firms are nearly a sure thing

Investing in companies that are well-established and diversified will protect you during retirement, or in the years approaching retirement. They can also stabilize the portfolio of younger investors. You can’t really buy a company that will keep your money more secure than the three covered in this article. Their diversification means that if one segment of the business falls, the entire company won’t likely suffer much. And that peace of mind can help you feel comfortable so that you can enjoy your retirement.

Phillip Woolgar has no position in any stocks mentioned. The Motley Fool recommends Berkshire Hathaway and Procter & Gamble. The Motley Fool owns shares of Berkshire Hathaway and General Electric Company. Phillip is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

The article 3 Companies for Retirees originally appeared on Fool.com is written by Phillip Woolgar.

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