Thank you for your thoughtful response - I can't disagree intuitively and through a lot of reading, like the one I copied below per Wade Pfau.
Wade Pfau on 'The Toughest Retirement Decision'
by speedbump101 » Wed Sep 19, 2012 10:40 am
This covers most of the material Dr. Pfau covered in his recent webinar. Unfortunately the archive isn't available without a paid subscription:
The bottom line:
Given the complexities described above, in this debate I tend to side with noncombatants
such as York University finance professor Moshe Milevsky, who advocates retirement
portfolio construction that consists of allocating resources among a traditional diversified
portfolio, SPIAs, and variable annuities with guarantee riders. Only in a rare case would a
retiree’s optimal strategy rely on just one of these components.
Rather than choosing sides, advisors can best serve their clients by becoming familiar with
the benefits and disadvantages of each retirement income tool.http://tinyurl.com/94zx88m
Last edited by speedbump101 on Wed Sep 19, 2012 11:24 pm, edited 1 time in total.
"Man is not a rational animal, he is a rationalizing animal" -Robert A. Heinlein