Replies to post #40916 on A.I.M. Users Bulletin Board (AIMUSERS)

[SFSecurity]

Hi Is7550, Thanks for that view. Out of curiosity I had it do a run by comparing with a benchmark of S&P 500 Total Return. https://www.portfoliovisualizer.com/backtest-asset-class-allocation#analysisResults

It only goes back to 1987, however, not 1972. This shows that the suggested portfolio returns only 62.4% of the benchmark. It is worth looking at the other possible indexes. They all do better than the portfolio.

However, I'm not sure it really matters in the context of retirement income.

BTW, I noticed you used a 3% withdrawal rate rather than the 4% used by most. I agree with you that being more conservative as you can budget that amount and not worry, whereas with the 4% rate you might wind up eating dog food at the end of your life. It the dog is a Samoyed it might not be all that bad as they eat a lot of salmon.

Best,

Allen