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Q: I've invested $400,000 in stock and bond funds through a 401(k) that earned 11 percent in 2012 and 4 percent in 2011. I'm considering working with a financial planner who wants to move a large portion of the money in my portfolio to a certificate of deposit [CD] that earns 8 percent as well as a real estate investment trust [REIT] that also has a guaranteed rate of return. Should I follow his advice, especially if I want to retire in the next decade?

Suze: Listen to me: There is no such thing as a guaranteed 8 percent return on a CD or in a REIT, and you should avoid any financial planner who suggests otherwise.

Let's focus on the CD claim first. Time deposits pay next to nothing right now because of Federal Reserve policies that have been in place since the financial crisis began in 2008. (In short, since banks aren't allowed to charge inflated interest rates, they're not offering high rates of return, either.) According to DepositAccounts.com, the best yield on a five-year CD was 3.05 percent at press time. So you need to ask yourself or, more to the point, the planner you consulted how he's found one that offers such a great deal. There's no way this is a plain-vanilla bank CD. Whatever this planner is recommending probably pays a fat commission to him and has strings attached for you.

As for REITs, the other "can't-miss" investments, let's remember that these trusts develop (and often operate) properties like apartment buildings and shopping malls that don't always go up in value. When the S&P lost 37 percent of its worth back in 2008, a broad REIT index lost 39 percent. The fact is, nothing is guaranteed.

Meanwhile, your 401(k) investments seem to be doing just fine. I don't know your exact allocation, but if you're thinking of retiring in ten years, I assume you have a 50-50 split between stocks and bonds. A portfolio like that typically returned about 10 percent last year, so you came out ahead. But you should ask your current planner about the fees you pay. Make sure you're taking advantage of exchange-traded and index mutual funds that charge an annual expense ratio (money that's deducted from the fund's assets to pay management and operational costs) of less than 0.25 percent. Low-fee investing guarantees you'll keep more of your money growing—no matter what's in your portfolio.

Suze Orman's latest book is The Money Class: How to Stand in Your Truth and Create the Future You Deserve (Spiegel & Grau).

More from Suze Orman
Please note: This is general information and is not intended to be legal advice. You should consult with your own financial advisor before making any major financial decisions, including investments or changes to your portfolio, and a qualified legal professional before executing any legal documents or taking any legal action. Harpo Productions, Inc., OWN: Oprah Winfrey Network, Discovery Communications LLC and their affiliated companies and entities are not responsible for any losses, damages or claims that may result from your financial or legal decisions.

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