Trigger based rebalancing is a fantastic idea, and I will definitely use this in retirement. I think Benjamin Graham touches on this in the intelligent investor with his idea of 25-75% split in stocks and bonds, but your explanation makes it really easy to understand and implement. Thanks so much for these videos. They are some of the best on UA-cam.
I really enjoy this high level stuff. To anyone who writes this off, I’m sorry. It makes a huge difference. Great analogy of engine maintenance. BTW, my car is 18 years old!! Lol
I do a 2 bucket Barbell portfolio. Retired at 58 now 60. Call me lucky but only invested in cash and stocks (no bonds) when I retired. 50/50. Needs were 7 years of cash, the rest in stocks. My cash is now going further with 5.29% MM. My stocks have 5 more years to go. I’m starting to think with bonds getting crushed 2 years in a row. There is tremendous upside and little downside risk to invest in bonds at this time. Thoughts? Thanks!
I like dividend-and-interest investing. If you are able to live on less than your total dividends and interest, you can continue to buy more stocks and bonds, increasing your future income. You can't run out of money this way.
this really is only a problem is you are taking money out during the down turn, in my case I don't need to touch the IRA/TSP since I have a good Fed pension and no debt, won;t take SS until FRA
Thanks, Dave we have the three-bucket strategy set up for our retirement next summer! We plan to re-balance between 4 to 6 months since we both follow the market. PS: Excellent explanation of Triggering! You should become a college professor!
Personally, I started with an IRA before i got a Roth later on. A coworker once proposed the idea of diversification to me, hopefully for positive results to offset any negative performance. Thankfully I backed it up using professional guidance in order to avoid mistakes, and I can attest to the success of this approach, seeing my portfolio grow from $185k to almost $400k over a span of just 6 years ... maybe you should do the same.
Trigger based rebalancing is a fantastic idea, and I will definitely use this in retirement. I think Benjamin Graham touches on this in the intelligent investor with his idea of 25-75% split in stocks and bonds, but your explanation makes it really easy to understand and implement. Thanks so much for these videos. They are some of the best on UA-cam.
I really enjoy this high level stuff. To anyone who writes this off, I’m sorry. It makes a huge difference. Great analogy of engine maintenance. BTW, my car is 18 years old!! Lol
I do a 2 bucket Barbell portfolio. Retired at 58 now 60. Call me lucky but only invested in cash and stocks (no bonds) when I retired. 50/50. Needs were 7 years of cash, the rest in stocks. My cash is now going further with 5.29% MM. My stocks have 5 more years to go. I’m starting to think with bonds getting crushed 2 years in a row. There is tremendous upside and little downside risk to invest in bonds at this time. Thoughts? Thanks!
Good content and clear discussion Dave.
Thank you very much!
Another good, easy to understand video, thanks Dave
I like dividend-and-interest investing. If you are able to live on less than your total dividends and interest, you can continue to buy more stocks and bonds, increasing your future income. You can't run out of money this way.
this really is only a problem is you are taking money out during the down turn, in my case I don't need to touch the IRA/TSP since I have a good Fed pension and no debt, won;t take SS until FRA
What state are you located in sir love your advice and show
Lump sum vs. lifetime monthly pension? Sequence of returns … in this market for 2024 retirees. Perhaps it is wiser to take the monthly pension ?
Good stuff. Definitely need that 3rd bucket when the Sequence of Returns rears its ugly head. Thanks for posting.
Thank you!
And you’re very welcome.
How much does your service cost?
Thanks, Dave we have the three-bucket strategy set up for our retirement next summer!
We plan to re-balance between 4 to 6 months since we both follow the market.
PS: Excellent explanation of Triggering! You should become a college professor!
Personally, I started with an IRA before i got a Roth later on. A coworker once proposed the idea of diversification to me, hopefully for positive results to offset any negative performance. Thankfully I backed it up using professional guidance in order to avoid mistakes, and I can attest to the success of this approach, seeing my portfolio grow from $185k to almost $400k over a span of just 6 years ... maybe you should do the same.