Topic: Sequence
2 posts tagged “Sequence”.
Sequence-of-Returns Risk
Two retirees can earn the very same average return over the same years and end up worlds apart — because the order of those returns differs. A bad run early, while you are drawing an income, can be the difference between a pot that lasts and one that runs dry.
The Bond Tent
A "bond tent" lifts your safer assets in the years right around retirement — exactly when sequence-of-returns risk peaks — then lets equities drift back up once the danger has passed. A simple shape that targets the riskiest window.