The question of how to safely generate income from a retirement
portfolio is one of the most challenging in financial planning.
In the days when people had traditional pensions, their
employers simply promised them a constant inflation-adjusted
income for the duration of their retirements. As we have moved
away from traditional pensions and into self-directed savings
plans such as 401(k)’s and IRA’s, investors and advisors must
create their own customized income plans. New research from
Morningstar highlights what appears to be a better approach to
creating a stable income stream from an investment portfolio.
(more…) Posts Tagged ‘4% rule’ Posted in 401(k), Asset
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Investors, Retirement, retirement income, retirement planning,
tagged 4% rule, IRAs, Monte Carlo Simulation, probability of
failure, Quantext Portfolio Planner, TIPS, ZVI Bodie on November
23, 2012 | 1 Comment » Posted in Retirement, Risk, tagged 4%
rule, actuaries, American Academy of Act