When you're young and first start investing you might focus on growth shares that provide you with the potential for outsized returns. After all, if your investments don't go to plan, you have time on your side to recover from your losses.
But as you enter or near retirement, it may be prudent to limit your exposure to these type of investments and focus on those that offer income and capital preservation.
With that in mind, listed below are a couple of ASX shares that analysts think could be good options right now. They are as follows:
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Goodman Group (ASX: GMG)
Goodman Group could be a good option for retirees. While the integrated commercial and industrial property company's shares may not offer the biggest yield, it looks well-placed to grow its earnings and distribution at a solid rate over the next decade.
This is due to its exposure to a number of markets benefiting from structural tailwinds, such as the ecommerce market.
One broker that expects this to be the case is Citi. It currently has a buy rating and $24.30 price target on its shares. The broker sees "potential for GMG to generate consistent high-single to low-double digit earnings growth over the medium term driven by rental upside and longer term development projects, which will add to management and development earnings."
Its analysts also expect its shares to provide investors with a modest source of income in the coming years. It is forecasting 1.5% yields in the near term.
Woolworths Limited (ASX: WOW)
Another option for retirees could be Woolworths. It is of course the retail giant behind the Woolworths supermarket chain and other brands such as Countdown and Big W.
It may be a good option for retirees due to its defensive qualities and positive exposure to inflation. In addition, Goldman Sachs highlights that the company is well-placed for growth in the coming years thanks to its strong market position and digital and omni-channel advantage. The broker believes the latter could drive further market share and margin gains.
Goldman currently has a conviction buy rating and $42.80 price target on the company's shares. As for dividends, its analysts are forecasting fully franked dividend yields of approximately 3% in the near term.
