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storm surge

Is ALL of your portfolio at risk of loss?

Is all of your portfolio at risk of loss during a down market? It shouldn’t be if it is properly diversifiedª. Let me explain using ocean waves to represent a portfolio. You see a properly diversified portfolio would mean that ALL of your stocks and ALL of your bonds have simultaneously gone to zero value! […]

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cash flow sequence risk

Setting Retirement Income & Spending More in Retirement @AdviceIQ

How much can you spend in retirement? How might you get more comfortable with uncertainty in retirement? Two age-old questions that should be given more attention than most people do. The first article below answers the first question above. The second article below answers the second question above. Rather than go into detail here – please […]

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AFS

How income may compare between Dynamic and Safe approaches

I recently attended an academic research conference for the Academy of Financial Services (AFS). I had the great pleasure of visiting with Wade Pfau, David Blanchett, Michael Kitces and Joe Tomlinson as well as the attending academics from the various universities across the country researching many aspects of personal financial planning. This article will discuss a few observations I made from […]

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Linear_Regression_-_it_svg

When to adjust retirement income? Sooner? Or later?

Market cycles make predictions hard for those who like to make such predictions. I believe predictions are impossible, especially over the rest of your life when it comes to retirement. This doesn’t mean we all throw up our hands though. It means taking a measure of what is prudent based on facts as we know […]

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withdrawal rates and POF

How to Use “Dynamic Updating” to Determine a Prudent Retirement Income Based on Age

This article is a brief summary of how all of our * research papers tie together to modernize the retirement income measurement from your investments. In other words, how to determine a prudent amount of retirement income. Advisers generally annually update plans with their clients. An important part of this update process is capturing new […]

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1 C Retirement Distribution Process

Wise Retirement Withdrawals: How does Safe Withdrawal Rates compare to Dynamic Updating method? @AdviceIQ

Most people are familiar with the “4% Rule.” This post is not going to debate or debunk it. What the rule essentially does is start retirement out with conservative spending, and possibly end up with lots of money at the end. What I’ll do instead is demonstrate a method that closely monitors what you’re doing each […]

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predictions.

Figuring How Long You’ll Live. Why is this important? @AdviceIQ

When it comes to retirement income, how long does that income need to last? Can you just look at this once and then forget about it? The article below will explain why this is important and how longevity slowly changes (it gets shorter) as you age … BUT … that end age slowly gets older […]

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1 C Retirement Distribution Process

How do Safe Withdrawal Rates compare to Dynamic Retirement Income?

This post will briefly discuss how Safe Withdrawal Rate (SWR) research compares to my joint research with collaborators which contributes to the Dynamic retirement income approach and school of thought which adjusts retirement income if need be (the other school of thought being Safety First which SWR fall into). The safe withdrawal rate (SWR) approach doesn’t explain how, […]

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1 C Retirement Distribution Process

Retirement Income – Process is Important

What I set up for retired clients is not only portfolio management (all advisers do that – what is missing is how to monitor, measure, and decide what to do when “things happen”). Portfolio management for my retired clients would be represented in the above photo as the Long Term Portfolio (LTP). That represents potential […]

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Annuity Soc Sec Comparison

What is expected longevity? And why should you care?

I’ve noticed over the many years I’ve been in practice, in general, a common phenomenon about how long people think they’ll live. This comes to mind when thinking about retirement, either before retirement or in retirement. To what age do you think you will live? Try it … answer this question yourself before you read […]

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