Kitces - new tools for safe withdrawl rates

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Blueskies123
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Kitces - new tools for safe withdrawl rates

Post by Blueskies123 » Thu May 18, 2017 5:08 pm

A lot of Kitces material is aimed at professional financial planners but this article reviewed a number of new software tools for safe withdrawal rates, most are expensive but have a free two week sighup period. In particular there is one very interesting chart going back to 1926. The chart cleanly shows a lot of information on one page.

https://www.kitces.com/blog/safe-withdrawal-rate-calculator-software-big-picture-timeline-app-reviews/?utm_campaign=coschedule&utm_source=facebook_page&utm_medium=Kitces.com&utm_content=Emerging%20Software%20Solutions%20To%20Illustrate%20Safe%20Withdrawal%20Rates%20To%20Pre-Retirees

Chart: http://crsp.com/files/Big_Picture_Brochure_2016.pdf
FIRE July 2015

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willthrill81
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Re: Kitces - new tools for safe withdrawl rates

Post by willthrill81 » Thu May 18, 2017 5:57 pm

That's an information dense graph to be sure. What I find most interesting are the blurbs showing then-current events and their impact (often none) on the markets.
“It's a dangerous business, Frodo, going out your door. You step onto the road, and if you don't keep your feet, there's no knowing where you might be swept off to.” J.R.R. Tolkien,The Lord of the Rings

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nisiprius
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Re: Kitces - new tools for safe withdrawl rates

Post by nisiprius » Thu May 18, 2017 6:18 pm

That's a pretty neat chart. I'd like it better, though, if they plotted everything in real (inflation-corrected) terms, rather than plotting everything in nominal terms. Without inflation correction, it's not obvious why the BusinessWeek story was called entitled "The Death of Equities." The full title of the article was actually: "The Death of Equities: How Inflation is Destroying the Stock Market."
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.

Snowjob
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Re: Kitces - new tools for safe withdrawl rates

Post by Snowjob » Fri May 19, 2017 6:26 am

nisiprius wrote:That's a pretty neat chart. I'd like it better, though, if they plotted everything in real (inflation-corrected) terms, rather than plotting everything in nominal terms. Without inflation correction, it's not obvious why the BusinessWeek story was called entitled "The Death of Equities." The full title of the article was actually: "The Death of Equities: How Inflation is Destroying the Stock Market."


Honestly I've never read the article, and it always seemed to have been mentioned around a period of low stock prices and I just assumed it was due to a really really lousy stretch of returns. Guess I should have taken the time to see what all the fuss was really about -- thanks for that tidbit, gives an entirely different perspective !

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