Morningstar - Q1 2024 - 10

Dispatches
     
woman with average health has a  chance
of surviving    
early on is not appropriate for those in their 
The Key to Failure
      
      
        
for     shows the median
       
of the retirement period for the portfolios that
did not live for        
results were, respectively,  and -a very
EXHIBIT 2
Future Flops Real value of  equity portfolio,     








Year
 


















A Flexible Approach: Withdrawal-Rate Cuts
      
        
       
withdrawal rate and then adjusting in response
     
         
       
    
an  withdrawal rate, per the radio host's
     
        
years, switch to an annual withdrawal rate of
     
EXHIBIT 3
Early Results Matter Most     
The First Five Years
Years  to 





 




  Years
Survival Term
 Years


  Years
Survival Term
 Years


I designed this arrangement to instruct, not
   
      
       
provide at least some indication of the power of
    
     
       
  
      
       
         
shows the failure rate, over  years, for

Morningstar  
     
      
  
In contrast, most of the winning portfolios enjoyed
       
       
measuring the annualized real performance
of years -     
than  years actually had a lower median
annualized return than the portfolios that ran out
      
       
   
Returns that occur early during retirement
are much more important than the later arrivals,
as demonstrated in     
portfolio failure rates, over  years, for all trials of
      
      
       
       
    
       
  from an equity portfolio is
       
      
        
      
       
       
       
      
Median Return %
Median Return %
Morningstar - Q1 2024

Table of Contents for the Digital Edition of Morningstar - Q1 2024
