FWIW, I am on a gl
modern research shows that after we pass whats called the red zone , equities should rise not fall
The Portfolio Size Effect And Optimal Equity Glidepaths
Thanks for bringing up the Glidepath example. I am doing my own version of a Glidepath myself. Briefly, (well, brief for me) here it is.
Note: I am not wealthy, so protecting the buying power of what I have is of great importance to me. I have SS, a small pension, and what is left from investments after a divorce division and buying out my ex-wife’s share of the house.
I retired about years earlier than planned at about 60 due to work circumstances beyond my control. I have read studies showing that the chances of me living up to 10 years more than my parents did were descent (about 30%) if I took good care of myself and didn’t leave it all to chance. That means I might live to 100!!! Initially I left a lot of my investments in cash and very safe bond funds (which turned out to be not so safe after all).
However once I hit 70 I realized that I no longer would live another 40 years but actually only another 30 at the most, and probably less. So, I have started to increase my common stock investments using index funds.
What I do now is keep 5 years living expenses in ‘safe’ investments. The rest is in index funds, mostly total USA stock market, and some in international index funds. Every year in January I look at my 5 years of safe money and sell what I need to get it back to 5 years. I try to take into account any big expenses that may happen in those five years like needing to get a new roof on the house, or buy a new car to replace the current one. When RMDs hit I will first use that withdrawal to fill my 5 year bucket of money.
Then I forget about it for the next 50 weeks until January rolls around again. My only financial decisions are where to find the best rates on FDIC insured CDs and US Treasury obligations.
As the years roll on I will probably add a few more years to my ‘safe’ bucket, just to make certain I am not scraping for pennies in my very old age when my mental abilities may not be that great.