You know, money doesn’t know how it was created.
A Total Return approach balances all the issues related to “scraping” income sources within the portfolio against the other risks you normally thought about before you retired.
The only thing that should change when you retire is the direction your money flows … before your money went into your portfolio in the form of contributions … after you retire your money goes out of your portfolio in the form of withdrawals.
If you focus too much on one type of money source for income, you begin to tilt the risks of your portfolio towards those that come with that source. This is the opposite of a prudent allocation based on all the risks out there.
A Total Return approach combined with sustainable withdrawal principles based on withdrawal research balances all the issues you have floating around in your head when you retire.