Originally Posted by REWahoo
Same holds true for FIRECalc. This chart of FIRECalc results shows with an equity allocation of 40% or more the success of a portfolio is essentially flat, dropping a bit if above 80%:
I realize that there are dozens of ways to skin this cat...but just for being the devil's advocate, does that graph look different if you change it to a 3.3% WR (for a timespan of 50 years)?
I'm hoping to call it quits at around 45, and wouldn't initially do more than about 3.3% WR or so in the initial few years...which will hopefully be fully funded by just dividends from the equity portion of my portfolio. If that's the case, then I probably won't need to pare down the equity weighting to much lower than about 75% or so - depending on where rates are at at any given point in time and what the alternative equity dividend yields are offering.