Market Volatility

[RunningBum]

Thanks, see that aspect now.
I guess I was thinking that if one has cash and stocks in a TIRA, then if one uses their cash only or instead sells the stocks and then replaces the stocks due to rebalancing with the cash, one might end up conceptually in the same place (mathematically probably not).

Not sure I follow what you're saying and trying to do. You've got cash and stocks in a TIRA and want to withdraw some funds? Assuming you were balanced before the downturn, the downturn would have caused you to be low in stocks, so you'd want to take cash. If you are balanced now, take some of each.

I guess if you sell stocks and then buy stocks back with cash to get back to your AA it's about the same, except for any transaction costs, and time out of the market. It doesn't really make sense though, why not just take cash to being with?

 

[Dtail]

Not sure I follow what you're saying and trying to do. You've got cash and stocks in a TIRA and want to withdraw some funds? Assuming you were balanced before the downturn, the downturn would have caused you to be low in stocks, so you'd want to take cash. If you are balanced now, take some of each.

I guess if you sell stocks and then buy stocks back with cash to get back to your AA it's about the same, except for any transaction costs, and time out of the market. It doesn't really make sense though, why not just take cash to being with?

Bolded - effectively this was my point, but see it now.