Another piece of retirement savings is not withdrawing funds in real time.
If you have three years of expenses outside of the stock/bond markets and draw from that you can wait out market tantrums and restock your super-sized bucket of cash when the market regains its footing. It is true that this gets more expensive when inflation is running hot (a CD ladder isn’t going to keep up with inflation) but this way you have relatively predictable cash flow available without having to sell greatly depreciated assets to put food on the table.
In my opinion this trick plus the 4% rule is still a workable combination.
I wish you would post a video or an articel on „how to invest in different market phases“. Everyone knows the saying „A good investor makes money in every market phase“ but how can we do this?
Another piece of retirement savings is not withdrawing funds in real time.
If you have three years of expenses outside of the stock/bond markets and draw from that you can wait out market tantrums and restock your super-sized bucket of cash when the market regains its footing. It is true that this gets more expensive when inflation is running hot (a CD ladder isn’t going to keep up with inflation) but this way you have relatively predictable cash flow available without having to sell greatly depreciated assets to put food on the table.
In my opinion this trick plus the 4% rule is still a workable combination.
I especially enjoyed this newsletter! Very clear explanation of what’s going on with inflation right now👏
I would save up my allowance and birthday and Christmas gift money to buy American Girl doll accessories.
I wish you would post a video or an articel on „how to invest in different market phases“. Everyone knows the saying „A good investor makes money in every market phase“ but how can we do this?