The “10 Plagues” of Retirement Investing
Robert Isbitts of Sungarden Investment Research notes “10 plagues that today’s retired and retiring investors must grapple with.” Read the full article >>
Tag: Bonds
The Old Normal is Scary Enough
Evan Simonoff reports “If the New Normal prevails—meaning a 4.5% real annualized rate of return on equities and a 1.5% real returns on bonds—then standard retirement rules like Bill Bengen’s 4.5% withdrawal rate for retirees and a 15% savings rate for workers won’t cut the mustard.” Read the full article >>
4% Rule for Retirement is Golden No More
Eilene Zimmerman of the New York Times questions whether or not the “4% Rule” can work in an environment of low bond returns and high stock valuations (such as we have in early 2014). Read the full article >>
Fearful of Rising Interest Rates? Try this!
This Vanguard whitepaper discusses the use of global bonds in a rising-rate environment. “Although investors cannot control when and by how much their domestic interest rates may rise, they can help mitigate the associated risk by more broadly diversifying their fixed income holdings. Christopher B. Philips and Charles J. Thomas show that during periods of Read more about Fearful of Rising Interest Rates? Try this![…]
Bill Bernstein: Stop When You’ve Won the Game!
When Bernstein talks, investors should listen: “It’s almost like a political issue. There’s a “right wing” of very smart, authoritative people who think that savers and retirees should be investing conservatively because stocks are so risky. And then there’s a “left wing” of equally smart and authoritative people who believe the opposite.” Read the full Read more about Bill Bernstein: Stop When You’ve Won the Game![…]
Gotcha! A Hard Look at the Annuity Business
Frank Armstrong III rightfully warns “The next time some young salesperson offers you an annuity, just say no!” Read the full article >>