If retired, what's your allocation to fixed income?

Discuss all general (i.e. non-personal) investing questions and issues, investing news, and theory.
Topic Author
Tib
Posts: 68
Joined: Tue Oct 27, 2020 9:57 pm

If retired, what's your allocation to fixed income?

Post by Tib »

If you’re a retiree with S.S. but without a pension, what’s your allocation to fixed income (including cash) during this time of low interest rates? Anyone still going with “age in bonds”? I'm In my mid-70's with 53% in stock, 47% in fixed income and wondering what others are doing.
User avatar
arcticpineapplecorp.
Posts: 7527
Joined: Tue Mar 06, 2012 9:22 pm

Re: If retired, what's your allocation to fixed income?

Post by arcticpineapplecorp. »

not retired but I'd say the rule of thumb at a minimum based on Bengen's and Trinity's recommends a minimum of 30% in stock.

This matches vanguard's own target date retirement INCOME fund which has 30% in stocks.

If you have a target date with Vanguard (not target date INCOME fund) in the name Iike Target date 2020 then I believe that fund now has 50% in stocks and by 2027 or 2028 (in this example) would be down to 30% stock.

So at a minimum 30% stock is recommended.

Maximum would be 100% obviously assuming no leveraging.

Some (Malkiel, Siegel, etc) recommend a slightly higher allocation of stocks because of the low interest on bonds as you suggest. I think they said investors who wanted 60/40 could go up to 70/30 or thereabouts.

realize the tradeoff of course. A higher allocation of stocks is inherently riskier. 70/30 carries more risk than 60/40. 50/50 carries more risk than 30/70 and so on.

if you're around 50/50 as Jack Bogle used to say, half the time you'll think you have too much stock and the other half the time you'll think you have too little.
It's "Stay" the course, not Stray the Course. Buy and Hold works. You should really try it sometime. Get a plan: www.bogleheads.org/wiki/Investment_policy_statement
schachtw
Posts: 186
Joined: Mon Jul 06, 2015 6:15 pm

Re: If retired, what's your allocation to fixed income?

Post by schachtw »

arcticpineapplecorp. wrote: Sun Nov 01, 2020 1:03 pm
if you're around 50/50 as Jack Bogle used to say, half the time you'll think you have too much stock and the other half the time you'll think you have too little.
+1
Wife & I both 70, have been retired 5 years.
We’re at 50/48/2.

Works for us.
protagonist
Posts: 6856
Joined: Sun Dec 26, 2010 12:47 pm

Re: If retired, what's your allocation to fixed income?

Post by protagonist »

My allocation is the amount that I figure I need to maintain my lifestyle through retirement in 2020 dollars plus an emergency buffer, because that is the amount I don't want to put at risk of losing.
I consider percentages irrelevant.
If you have a ton of money and a modest lifestyle that might mean 1% . If you have barely enough money and a lavish lifestyle that might mean 99%.
stan1
Posts: 9780
Joined: Mon Oct 08, 2007 4:35 pm

Re: If retired, what's your allocation to fixed income?

Post by stan1 »

Asset level matters. A retiree (lets say mid 70s like OP) who has $5M can choose to invest for heirs without worrying about end of life expenses. On the other hand a mid 70s retired couple with $500K still may see a large percentage of their portfolio used for end of life expenses. That couple is not at a point where they can invest for heirs.

Goes back to willingness, ability, and need to take risk. As net worth goes up ability to take risk goes up and need to take risk goes down. A decision to invest with an asset allocation appropriate for heirs falls in the willingness category.
User avatar
FrugalInvestor
Posts: 5700
Joined: Fri Nov 07, 2008 12:20 am

Re: If retired, what's your allocation to fixed income?

Post by FrugalInvestor »

When I early retired I was 60/40. After I was retired for a few years, got nearer to normal retirement age and went through the '08-'09 financial crises I went to 50/50. I learned that going through a severe market downturn is the best way to evaluate one's true risk tolerance. I am now slightly past normal retirement age, remain at 50/50 and sleep well at night.
Have a plan, stay the course and simplify. Then ignore the noise!
User avatar
Raybo
Posts: 1976
Joined: Tue Feb 20, 2007 11:02 am
Location: San Francisco
Contact:

Re: If retired, what's your allocation to fixed income?

Post by Raybo »

Been retired 20 years. Was 60/40 for a long time. That changed during 2008-9. At the bottom, I couldn't keep funneling money into stocks. When the smoke cleared, I was at 50/46/4 (s/b/c), which is where I am today.
No matter how long the hill, if you keep pedaling you'll eventually get up to the top.
User avatar
Leif
Posts: 3146
Joined: Wed Sep 19, 2007 4:15 pm

Re: If retired, what's your allocation to fixed income?

Post by Leif »

I'm retired and at 50/50. I'm planning to keep at 50/50 throughout retirement.
User avatar
Peter Foley
Posts: 5237
Joined: Fri Nov 23, 2007 10:34 am
Location: Lake Wobegon

Re: If retired, what's your allocation to fixed income?

Post by Peter Foley »

I was 45/55 at retirement and let that grow to 50/50 over a few years which is my plan today. I've been as high as 55/45 but have rebalanced to stay within 5% of 50/50. I have only had to actually rebalance a couple times since retiring 8+ years ago.
smitcat
Posts: 7330
Joined: Mon Nov 07, 2016 10:51 am

Re: If retired, what's your allocation to fixed income?

Post by smitcat »

stan1 wrote: Sun Nov 01, 2020 1:34 pm Asset level matters. A retiree (lets say mid 70s like OP) who has $5M can choose to invest for heirs without worrying about end of life expenses. On the other hand a mid 70s retired couple with $500K still may see a large percentage of their portfolio used for end of life expenses. That couple is not at a point where they can invest for heirs.

Goes back to willingness, ability, and need to take risk. As net worth goes up ability to take risk goes up and need to take risk goes down. A decision to invest with an asset allocation appropriate for heirs falls in the willingness category.
Exactly - +1
OffGridder
Posts: 117
Joined: Thu Jul 23, 2015 8:03 am
Location: Eastern WA.

Re: If retired, what's your allocation to fixed income?

Post by OffGridder »

Age 63. Spouse age 64.

I retired 5 years ago with some ad hoc consulting gigs. My spouse is retiring from a part time teaching job in a few months.

Relatively conservative approach to retirement finances.

We estimated our annual expenses in today's dollars net of Social Security to support a comfortable lifestyle. Divided that amount by 3% to determine the total amount of the portfolio required to reasonably support our withdrawal rate. That amount was conservatively allocated to 30% stock and 70% bonds. The balance of our portfolio was allocated 100% to stock for aspirational and legacy puposes. The composite allocation equals 50/50.

Just to clarify, we are not running a "bucket" system. The two separate amounts were calculated solely for the purpose of determining our overall asset allocation. It is total return on one portfolio with +/- 5% rebalance bands.
"Goodness is the only investment that never fails." | H.D. Thoreau
Topic Author
Tib
Posts: 68
Joined: Tue Oct 27, 2020 9:57 pm

Re: If retired, what's your allocation to fixed income?

Post by Tib »

OffGridder wrote: Sun Nov 01, 2020 2:37 pm Age 63. Spouse age 64. We estimated our annual expenses in today's dollars net of Social Security to support a comfortable lifestyle. Divided that amount by 3% to determine the total amount of the portfolio required to reasonably support our withdrawal rate. That amount was conservatively allocated to 30% stock and 70% bonds. The balance of our portfolio was allocated 100% to stock for aspirational and legacy puposes. The composite allocation equals 50/50.
OffGridder, that's an interesting way to look at it. To do a similar calculation I subtracted what I usually spend annually on expensive travel from what I usually draw annually from my portfolio and then (since I'm older than you) divided the result by .045. Then allocating a safe 30% of that amount to stock and allocating 100% of the balance of the portfolio to stock, lo and behold, I too came up with a 50/50 composite allocation.

This calculation, plus the popularity among respondents thus far of a 50/50 allocation, has me reconsidering my plan to rebalance as high as 60/40 if stocks should plummet.
KlangFool
Posts: 19636
Joined: Sat Oct 11, 2008 12:35 pm

Re: If retired, what's your allocation to fixed income?

Post by KlangFool »

OP,


I am 60/40. That translates into 10 years of expense in FI. I have another 2 years of expense in CASH as the emergency fund. It is not part of the AA. The retiree's AA should include 10 to 20 years of expense in FI.


KlangFool
User avatar
cashboy
Posts: 593
Joined: Tue Sep 11, 2018 5:03 pm
Location: USA

Re: If retired, what's your allocation to fixed income?

Post by cashboy »

50/50
Three-Fund Portfolio: FSPSX - FXAIX - FXNAX (with slight tilt of CDs - CASH - Canned Beans - Rice - Bottled Water)
User avatar
investor.saver1
Posts: 355
Joined: Sun Jan 02, 2011 9:43 pm

Re: If retired, what's your allocation to fixed income?

Post by investor.saver1 »

I believe it's a matter of risk appetite. For me that equates to 25% in equities. It's irrational to take unnecessary risk. However, I do agree with the above posters that point out the necessity of a larger percentage allocation to equities when the portfolio is not as large. That is taking necessary risk.
Investor.Saver1 | | Experience is something you don't get until just after you need it.
gpburdell
Posts: 222
Joined: Sun Jun 17, 2012 9:01 pm

Re: If retired, what's your allocation to fixed income?

Post by gpburdell »

I manage my parents investments; we decided on a 50/50 overall allocation which includes 20% cash, 20% short bonds, 10% intermediate bonds.

This lets all of us sleep well at night. In a worst case scenario; the 20% cash is at least 10 years of average expenses.
UpperNwGuy
Posts: 4750
Joined: Sun Oct 08, 2017 7:16 pm

Re: If retired, what's your allocation to fixed income?

Post by UpperNwGuy »

This is an interesting thread in that most of those who have commented have high allocations to bonds with no plans to change. There are other recent threads in which those who have commented are completely disenchanted with bonds and have decided to go all-stock or stocks+cash. I'm thinking that those who have already retired like bonds, and those who are still working do not. Thoughts?
best2u
Posts: 88
Joined: Tue Jul 28, 2015 12:51 pm

Re: If retired, what's your allocation to fixed income?

Post by best2u »

My allocation feels most comfortable when it is near the 48/51/1 level. I do stray from this by purchase of stocks when the market swoons like it did in late 2008. My fixed income portion is not at all like my stocks. Most of my stocks are indexed, but I own several individual issues for fixed income. With rates depressed I stay short term on most of my purchases. Just kicking the can down the road until we see some more attractive returns. One thing about the bond market. Many entities are in need of your money. Every so often more people are in need of capital than is awash in the street, then they have to pay the price the demand requires. I try to lock in some of those returns at those times.
“There are three kinds of men. The one that learns by reading. The few who learn by observation. The rest of them have to pee on the electric fence for themselves.” Will Rogers
hirlaw
Posts: 388
Joined: Tue Sep 29, 2009 10:20 am

Re: If retired, what's your allocation to fixed income?

Post by hirlaw »

We are retired, 64 & 65. Allocation is approximately 35/65. Expenses are being paid out of the fixed income portion, with most stock dividends and fund distributions being reinvested, rather than spent. So, the equity side of this allocation may "glide" up as the years go by. My intention is to halt any glide at 50/50.
User avatar
Sandtrap
Posts: 12772
Joined: Sat Nov 26, 2016 6:32 pm
Location: Hawaii No Ka Oi , N. Arizona
Contact:

Re: If retired, what's your allocation to fixed income?

Post by Sandtrap »

Tib wrote: Sun Nov 01, 2020 12:55 pm If you’re a retiree with S.S. but without a pension, what’s your allocation to fixed income (including cash) during this time of low interest rates? Anyone still going with “age in bonds”? I'm In my mid-70's with 53% in stock, 47% in fixed income and wondering what others are doing.
Retiree. No pension.
35/55/10
equities/fixed/cash like

j :D
Wiki Bogleheads Wiki: Everything You Need to Know
User avatar
tennisplyr
Posts: 2812
Joined: Tue Jan 28, 2014 1:53 pm
Location: Sarasota, FL

Re: If retired, what's your allocation to fixed income?

Post by tennisplyr »

Retired 9 years and my fixed income allocation is 45%; I might drift to 40% over time. Most of my life I've been at ~50/50.
Those who move forward with a happy spirit will find that things always work out.
joetro29
Posts: 95
Joined: Sat Dec 05, 2015 11:10 pm

Re: If retired, what's your allocation to fixed income?

Post by joetro29 »

37. Pension. No bonds yet. Might shift tax deferred to them later but not now with such low rates.
friar1610
Posts: 1845
Joined: Sat Nov 29, 2008 9:52 pm
Location: MA South Shore

Re: If retired, what's your allocation to fixed income?

Post by friar1610 »

I do have a pension. I am 75; my wife is 74.

I’m 50/50-ish. Sometimes varies by a bit. This was arrived at by computing how much my wife would need in fixed income (CDs as well as cash and bonds) to supplement her SS and survivor benefit on my pension if I am no longer around. The rest goes in equities. Came out close enough to 50/50 that it was just easier and simpler to call it that.
Friar1610
User avatar
Index Fan
Posts: 2582
Joined: Wed Mar 07, 2007 12:13 pm
Location: The great Midwest

Re: If retired, what's your allocation to fixed income?

Post by Index Fan »

With a pension, my AA is 50/50. Enough equities for some growth, enough fixed income to keep from worrying about bear markets.
"Optimum est pati quod emendare non possis." | -Seneca
User avatar
vectorizer
Posts: 417
Joined: Sat Mar 03, 2007 3:52 pm

Re: If retired, what's your allocation to fixed income?

Post by vectorizer »

Retired 4 years, 62 YO now, not collecting SS yet. Age - 10 in bonds (& CDs & cash), so currently 52% bonds. Though the bonds' average duration is shorter than when I was accumulating due to a ladder of Treasury zeros maturing yearly till I collect SS at age 70.
bradinsky
Posts: 306
Joined: Sat Jul 21, 2018 6:32 am

Re: If retired, what's your allocation to fixed income?

Post by bradinsky »

DW & I are both retired. I did so 2 years ago. No pensions, but SS for both. We are currently at 62% cash/CDs/fixed income. Maybe that will decrease in the future, but with the current uncertainty/craziness that exists in the country today, we’re good.

Brad
Last edited by bradinsky on Mon Nov 02, 2020 9:11 pm, edited 1 time in total.
Wanderingwheelz
Posts: 1037
Joined: Mon Mar 04, 2019 9:52 am

Re: If retired, what's your allocation to fixed income?

Post by Wanderingwheelz »

I’ll add that my dad (mom deceased), also a Boglehead, is 67/33 which I only submit since it appears they have a higher allocation to stocks than what’s typical here. 16 years in, ages 79. He’s self directed, I have no input.
MikeG62
Posts: 3554
Joined: Tue Nov 15, 2016 3:20 pm
Location: New Jersey

Re: If retired, what's your allocation to fixed income?

Post by MikeG62 »

DW and I are retired with no pension and 12 years away from claiming SS. Target AA is 40% equities and 60% fixed income (and cash). Current allocation is a bit heavier toward fixed income, which I am ok with in the current environment. Our 2020 budgeted WD rate is just a tad under 3.0% and this year our actual WD rate will be closer to 2.0% given we slammed the brakes on travel and entertainment due to Covid.
Real Knowledge Comes Only From Experience
smitcat
Posts: 7330
Joined: Mon Nov 07, 2016 10:51 am

Re: If retired, what's your allocation to fixed income?

Post by smitcat »

UpperNwGuy wrote: Sun Nov 01, 2020 5:56 pm This is an interesting thread in that most of those who have commented have high allocations to bonds with no plans to change. There are other recent threads in which those who have commented are completely disenchanted with bonds and have decided to go all-stock or stocks+cash. I'm thinking that those who have already retired like bonds, and those who are still working do not. Thoughts?
"Thoughts?"
Not in our case but who knows what the concensus really is.
User avatar
birdog
Posts: 1222
Joined: Fri Apr 07, 2017 1:35 pm
Location: God's Country

Re: If retired, what's your allocation to fixed income?

Post by birdog »

The plan is to retire in 2 years. I'm currently at 15% fixed income and am planning to trend to 20% fixed income by retirement. I was originally planning to get to 25% fixed income but the zero real returns in bonds have caused me to adjust bond holdings down a bit.
dkturner
Posts: 1636
Joined: Sun Feb 25, 2007 7:58 pm

Re: If retired, what's your allocation to fixed income?

Post by dkturner »

20% in taxable accounts and 65% in retirement accounts. About 50% in combined accounts, which will be decreasing as we draw down our retirement accounts with RMDs.
Slapshot
Posts: 313
Joined: Fri Mar 02, 2007 12:26 pm
Location: SE Mass.

Re: If retired, what's your allocation to fixed income?

Post by Slapshot »

I have a pension which covers all our costs, so I have no need to take much risk. I've opted for around 70% fixed. A good portion is in Target Retirement Income fund.
This time, like all times, is the best of times if we but know what to do with it.
User avatar
BolderBoy
Posts: 5364
Joined: Wed Apr 07, 2010 12:16 pm
Location: Colorado

Re: If retired, what's your allocation to fixed income?

Post by BolderBoy »

Retired here. Will start SS in January. Been at 30/70 AA for 5 years and will likely stay there going forward.
"Never underestimate one's capacity to overestimate one's abilities" - The Dunning-Kruger Effect
hudson
Posts: 3702
Joined: Fri Apr 06, 2007 9:15 am

Re: If retired, what's your allocation to fixed income?

Post by hudson »

Tib wrote: Sun Nov 01, 2020 12:55 pm If you’re a retiree with S.S. but without a pension, what’s your allocation to fixed income (including cash) during this time of low interest rates? Anyone still going with “age in bonds”? I'm In my mid-70's with 53% in stock, 47% in fixed income and wondering what others are doing.
Tib,
I'm about your age and I'm mostly fixed income.
Consider reading this W. Bernstein book: https://www.amazon.com/Ages-Investor-Cr ... B008CM2T2A

If you like it, maybe read another....Four Pillars: https://www.amazon.com/William-J-Bernst ... p_ebooks_1

Maybe read Four Pillars first?
Last edited by hudson on Mon Nov 02, 2020 12:32 pm, edited 1 time in total.
User avatar
MN-Investor
Posts: 473
Joined: Mon May 02, 2011 9:04 am
Location: Twin Cities

Re: If retired, what's your allocation to fixed income?

Post by MN-Investor »

When my husband joined me in retirement in 2016, at age 62, we re-allocated to a fairly conservative 60% bonds + cash, 40% stocks. Since then my sweetie has passed away. I've sold a few things since then and I'm sitting at 61% bonds, 4% cash, and 35% stocks. Yeah, definitely too conservative for me (age 67) but the economy just has me nervous right now. By the end of next year I'll get back to 40% stocks.
The key to success - Save early, save often, invest well.
BogleFan510
Posts: 381
Joined: Tue Aug 04, 2020 2:13 pm

Re: If retired, what's your allocation to fixed income?

Post by BogleFan510 »

Currently 30%. Mostly in pre-tax, so we are 70/30, pre SS age. But at 2% withdraw rate, so pretty conservative.
chuckb84
Posts: 512
Joined: Wed Oct 21, 2015 10:41 am
Location: New Mexico

Re: If retired, what's your allocation to fixed income?

Post by chuckb84 »

Retired 5 years with both SS and .gov pension. We have about 50% of assets in a 3 Fund portfolio, and 25% split 50/50 between Wellesley and Wellington and about 25% in a pile of dividend stocks. These are 3 different, but rather conservative approaches. The net effect is 53% stocks, 45% bonds, 2% cash.
EnjoyIt
Posts: 5492
Joined: Sun Dec 29, 2013 8:06 pm

Re: If retired, what's your allocation to fixed income?

Post by EnjoyIt »

Parents retired a few years now....60/40 is where they are at. This is our goal as well when we choose to retire.
A time to EVALUATE your jitters: | https://www.bogleheads.org/forum/viewtopic.php?f=10&t=79939&start=400#p5275418
John Z
Posts: 446
Joined: Sun Nov 14, 2010 5:42 pm

Re: If retired, what's your allocation to fixed income?

Post by John Z »

Retired 8 years. 30/70 allocation.
Eat33
Posts: 20
Joined: Thu Jan 12, 2017 6:45 am

Re: If retired, what's your allocation to fixed income?

Post by Eat33 »

Personally I have struggled with asset allocation as I have a pension that covers 80 percent of expenses. Right now I am 60-40 and have a target of 80-20.

I have regrets in not allocating more monies into the market earlier this year.

Have not yet taken SS.

Any good reasons not to commit more funds to stocks.
Broken Man 1999
Posts: 5819
Joined: Wed Apr 08, 2015 11:31 am
Location: West coast of Florida, inland on high ground!

Re: If retired, what's your allocation to fixed income?

Post by Broken Man 1999 »

In 2015 at age 62 (both DW and I) we set up our retirement, I received my pension as lump-sum, and DW started SS. I was receiving SSDI and Medicare already.

Prior to 2015 we were invested mostly in equity funds, with a few bond funds. With my lump-sum funds, I changed our AA to 50% equities/50% bonds.

This year I changed our AA to 55% equities/45% bonds. I plan to change in 2025 to a 60% equities/40% bonds.

All bond funds, no cash holdings for fixed income.

Broken Man 1999
“If I cannot drink Bourbon and smoke cigars in Heaven then I shall not go. " -Mark Twain
crnatg
Posts: 9
Joined: Sun Aug 25, 2019 11:18 am

Re: If retired, what's your allocation to fixed income?

Post by crnatg »

Both of us are 69 and retired. We consulted with Allen Roth (a Boglehead member), and decided with his guidance to go 35/65. As has been stated on this site numerous times, "we won the game, and we quit playing the game (capital appreciation)". Our goal now is to maintain the lifestyle we have become accustomed. We have about $4.5 in retirement accounts. Feeling good!!!
sschullo
Posts: 2600
Joined: Sun Apr 01, 2007 8:25 am
Location: Rancho Mirage, CA
Contact:

Re: If retired, what's your allocation to fixed income?

Post by sschullo »

33%/67% since I retired in 2008.
"We have seen much more money made and kept by “ordinary people” who were temperamentally well suited for the investment process than by those who lacked this quality." Ben Graham
Topic Author
Tib
Posts: 68
Joined: Tue Oct 27, 2020 9:57 pm

Re: If retired, what's your allocation to fixed income?

Post by Tib »

The thread has turned more conservative since my last post. At Hudson’s suggestion I’ve pulled The Four Pillars from my bookshelf, for a booster shot of caution. Morgan Housel’s new book reinforces the message. Unlike many here I prefer as lavish a lifestyle as is prudently available to me. (This is what comes of having girlfriends rather than a wife.) So my withdrawal rate is not the minimal 2%-3% that affords one the luxury of a very low allocation to stocks—as well as the luxury of a very high allocation (with heirs in mind). 50% fixed income (bonds/cash) is the high-end of what I’d been considering, but that’s what I’m now inclined to go with. If it proves too aggressive, well, I’ll still have enough to live comfortably (barring high inflation). And I have a couple of accounts that could be annuitized for extra income. Financing retirement is intellectually challenging.
hudson
Posts: 3702
Joined: Fri Apr 06, 2007 9:15 am

Re: If retired, what's your allocation to fixed income?

Post by hudson »

Tib wrote: Mon Nov 02, 2020 5:26 pm The thread has turned more conservative since my last post. At Hudson’s suggestion I’ve pulled The Four Pillars from my bookshelf, for a booster shot of caution.
Ahhh, a closet, long time Boglehead!
User avatar
2pedals
Posts: 1312
Joined: Wed Dec 31, 2014 12:31 pm

Re: If retired, what's your allocation to fixed income?

Post by 2pedals »

61 and 59 year old married with significant pension covering about 80% expenses we are at about 55/45 AA. We plan on letting the asset allocation float for the next several years. No buying equities at all. Selling equities with significant market gains.
Rudedog
Posts: 305
Joined: Wed Aug 01, 2018 3:15 pm

Re: If retired, what's your allocation to fixed income?

Post by Rudedog »

Have a great day
Last edited by Rudedog on Tue Nov 10, 2020 5:24 pm, edited 1 time in total.
LivingTheDream
Posts: 59
Joined: Sun Oct 18, 2020 10:30 am
Location: Savannah, GA

Re: If retired, what's your allocation to fixed income?

Post by LivingTheDream »

KlangFool wrote: Sun Nov 01, 2020 3:53 pm OP,


I am 60/40. That translates into 10 years of expense in FI. I have another 2 years of expense in CASH as the emergency fund. It is not part of the AA. The retiree's AA should include 10 to 20 years of expense in FI.


KlangFool
+1
I'm closer to 65/35, but use the same rationale (10 years of expense in FI + 1.5 yr in CASH)
Living The Dream
jginseattle
Posts: 823
Joined: Fri Jul 01, 2011 7:33 pm

Re: If retired, what's your allocation to fixed income?

Post by jginseattle »

70% fixed income.
Greg in Idaho
Posts: 145
Joined: Tue Dec 27, 2016 12:59 pm

Re: If retired, what's your allocation to fixed income?

Post by Greg in Idaho »

UpperNwGuy wrote: Sun Nov 01, 2020 5:56 pm This is an interesting thread in that most of those who have commented have high allocations to bonds with no plans to change. There are other recent threads in which those who have commented are completely disenchanted with bonds and have decided to go all-stock or stocks+cash. I'm thinking that those who have already retired like bonds, and those who are still working do not. Thoughts?
I'm liking this thread also for the dose of what I take to be investing reality from a long term BH perspective.

The spate of bond skepticism lately, based on current interest rates and yields is just that - reactions to the current conditions rather than what I take to be a more BH perspective of staying the course with a workable plan over the long haul. That doesn't require putting one's head in the sand but as a number of studies have suggested, doing that is often the most successful.
Post Reply