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Age vs Equity/Fixed Income Split
Old 11-16-2013, 08:13 AM   #1
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Age vs Equity/Fixed Income Split

The rule of thumb about keeping your age as a percentage of your fixed income is some what dated in my opinion. I am 62 (retired, DW is 59))and have a 65 equities/35 fixed income split. The majority of my equities are index funds, TSM and S&P. Just wondering what others are doing.

For the sake of brevity if you would like to participate just put age and equities/fixed income split as something like this.

62=65/35
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Old 11-16-2013, 08:55 AM   #2
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58= Planned is 58 Equities/42 Bonds (currently at 63/37)

guess I'm backwards from the "rule of thumb"
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Old 11-16-2013, 09:12 AM   #3
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54=73/27
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Old 11-16-2013, 09:19 AM   #4
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36, currently carrying

88% "equities"
13% fixed income

The equity part is in quotes because it's an extremely jumbled assembly of equities (foreign/domestic), as well as big slugs in business development companies, MLPs (mostly oil pipelines), and some REITs. I have a very small percentage of the equity portion in a few diversified mutual funds (pssst). The fixed income used to be 12.25%, so I just rounded up to account for that small fixed income allocation inside the diversified funds.

Also, my fixed income component is comprised 1/3 of I-bonds that is performing double duty as my emergency stash if I truly needed to tap into it.

My goal is to retire on dividends and distributions (hopefully by 45), so I'm comfortable with the above allocation as it will allow me to do that, with no required liquidation of positions to fund planned, average budget expenditures.
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Old 11-16-2013, 09:34 AM   #5
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54. I seem to be at age=equity at the moment, and since reading some recent drawdown studies, I'm inclined to allow my equity to gradually increase with age, rather than the other way around.
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Old 11-16-2013, 09:35 AM   #6
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57 =

Retirement accounts: 67/33

All accounts: 65/35 (this includes after tax investments/cash)
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Old 11-16-2013, 10:09 AM   #7
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about 50/50
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Old 11-16-2013, 11:10 AM   #8
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Like many people my allocation is for DH and I together so it is sort of hard and misleading to just give one age so I will go against the instructions to explain this and to give 2 age numbers.

66 and 59 - 55/45
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Old 11-16-2013, 11:37 AM   #9
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60 (and retired. Makes a difference, perhaps.) @ 50/50
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Old 11-16-2013, 12:27 PM   #10
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65 and retired with a truly tiny pension, no SS yet.

45% equities
55% fixed
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Old 11-16-2013, 01:12 PM   #11
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56=70/30; hopefully on path to 60/40 by time I turn 60.

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Old 11-16-2013, 01:28 PM   #12
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58 = 40/60 but I don't plan on going below 40% equities in future years.
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Old 11-16-2013, 01:47 PM   #13
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49 - 65/35 …currently

Future plan is to have..

55 - 60/40…..Then reduce a percent every year in equity
60 - 55/45
65 - 50/50
70 - 45/55
75 - 40/60
80 - 35/65….and so on. Will see how market performs and will adjust according but this is the plan as of now.
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Old 11-16-2013, 02:25 PM   #14
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55: 60/20/20 (cash &other).
I'm allowing myself to range between 55-65 equity, with 60 in the middle.
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Old 11-16-2013, 02:38 PM   #15
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Holding steady at 45/35/20 with less than 2 years until ER. Sufficient cash to fund 5 years retirement. At that point I plan on being around 50/50 equity/fixed. I have no age in bonds formula, just a plan based on my current situation.
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Old 11-16-2013, 03:03 PM   #16
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53- 65/35
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Old 11-16-2013, 03:56 PM   #17
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65, dw 60: 60/40 (currently up to 63/37). We have good pension support and will leave it at this level for now.
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Old 11-16-2013, 04:05 PM   #18
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62 & retired.

60/40 today. But it fluctuates by 10 percent depending on the market situation/opportunities.

Our current income requirements are satisfied by a DB pension and other income items not pertaining to our investments accounts.
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Old 11-16-2013, 07:17 PM   #19
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Currently 45, approximately 70% stock and 30% bonds.
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Old 11-16-2013, 07:27 PM   #20
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