Post #792 by rayvt on the Retirement Investing board

Personal Finance Topics / Retirement Investing

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A 60 % stock 40% fixed income portfolio with a 4% withdrawal has 10 years worth of spending in fixed income. If you want to survive the worst "sequence of returns" in history, you need something like that 10 years worth in fixed income.

Only if you have no other sources of income and are 100% dependent on withdrawals from your investment portfolio.

And also assuming that fixed income investments will not be effected by whatever is happening in the economy that is cratering businesses for 10 years. A somewhat "bold" assumption.
Companies are going broke right and left, which causes stocks to go down and down but they keep paying the interest on their bonds no problem.

Color me skeptical.

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