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What books would help understand the math behind firecalc?
Old 03-22-2015, 12:01 PM   #1
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What books would help understand the math behind firecalc?

I'd like to understand more of the math that goes into calculators like this. Are their any books which show the logic, returns or math behind the calculations?
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Old 03-22-2015, 01:42 PM   #2
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Did you try reading the original trinity / Bergen papers?


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Old 03-22-2015, 01:56 PM   #3
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You've seen this, right? FIRECalc: How it works
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File Type: jpg How FIRECalc Works.JPG (189.4 KB, 19 views)
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Old 03-22-2015, 02:48 PM   #4
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Bengen "SAFEMAX" paper: http://www.retailinvestor.org/pdf/Bengen1.pdf
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Old 03-23-2015, 06:03 AM   #5
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Quote:
Originally Posted by photoguy View Post
Did you try reading the original trinity / Bergen papers?


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Is the calculator only based on the trinity study?
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Old 03-23-2015, 06:33 AM   #6
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Quote:
Originally Posted by audreyh1 View Post
I'm looking for the market performance data he used for the charts
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Old 03-23-2015, 06:52 AM   #7
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On this page someone mentions that Firecalc uses the Shiller Data Set.
How do dividends figure into things like firecalc? : financialindependence

Shiller data in .xls format is very east to locate.
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Old 03-23-2015, 10:14 AM   #8
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Originally Posted by target2019 View Post
On this page someone mentions that Firecalc uses the Shiller Data Set.
How do dividends figure into things like firecalc? : financialindependence

Shiller data in .xls format is very east to locate.
does fire calc convert the data to annual returns, or just use the differences in the S&P 500 composite?
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Old 03-23-2015, 10:46 AM   #9
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Quote:
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does fire calc convert the data to annual returns, or just use the differences in the S&P 500 composite?
Sorry, I can't help you with that answer.
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Old 03-23-2015, 12:31 PM   #10
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Raw data I found

Historical Returns
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Old 03-23-2015, 12:49 PM   #11
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Quote:
Originally Posted by jIMOh View Post
Raw data I found

Historical Returns
Looks like the SP500 includes dividends, so now all you need is CPI data.

Consumer Price Index Data from 1913 to 2015 | US Inflation Calculator
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Old 03-23-2015, 01:08 PM   #12
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All of the data is here in an Excel workbook on yale's web, if that is more convenient.

Edit, a higher link if necessary:
http://www.econ.yale.edu/~shiller/data.htm
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Old 03-23-2015, 03:10 PM   #13
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I think cfiresim (similar to firecalc) has source code available on github (javascript).

If I were looking to replicate the analysis, I'd probably do this in R or matlab.
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