Should You Be Invested 100% Stocks Before and During Retirement? A Recent Study Says Yes

Should You Be Invested 100% Stocks Before and During Retirement? A Recent Study Says Yes

The pros and cons of investing your retirement assets 100% in equity, including half in international stocks. Why the 4% spending rule is too aggressive.

  • Why historical asset class return studies that use only U.S. data are biased
  • How researchers build a broader database to study retirement outcomes and spending rates
  • How a 100% stock portfolio performed compared to balanced portfolios and target date funds
  • Why investors should have half their assets in international stocks
  • Why a 4% spending rule is too high, and what is the alternative


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Show Notes

Beyond the Status Quo: A Critical Assessment of Lifecycle Investment Advice by Aizhan Anarkulova, Scott Cederburg, and Michael S. O'Doherty—SSRN

The Safe Withdrawal Rate: Evidence from a Broad Sample of Developed Markets by Aizhan Anarkulova, Scott Cederburg, Michael S. O'Doherty, and Richard W. Sias—SSRN

Related Episodes

421: Beware of Survivorship Bias When Investing

326: The New Math of Retirement Spending and Investing

254: Should You Be 100% Invested In Stocks?

250: Investing Rule One: Avoid Ruin

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