I retired about 5 years ago at 54.
My portfolio is about 42% fixed, 35% equity funds, and 23% cash in CD’s. In 2 years, I’ll be taking my SS income.
The fixed portion provides about 120% of my living expenses. It consists of AAA insured and AMT free 30 year municipal bonds (not funds) which return 5% and non-publicly traded reits, which return about 7.5%.
The equity portion is designed to help make up for inflation on itself and the fixed portion.
My issue is that the CD’s mature in about 4 months, and I’m not sure where to put the cash.
The reasonable place is to put it in equities to help with the inflation protection, but I’m quite skittish about the economy and believe that a recession MAY be around the corner.
The solution I’m thinking of is to put it in VWALX and then use the income from that to purchase additional equities over the coming years.
The 2 financial planners I’ve talked to over the last 5 years think my general investment strategy is poor, primarily because it doesn’t maximize my estate at the end, but that’s not my goal.
HBH
My portfolio is about 42% fixed, 35% equity funds, and 23% cash in CD’s. In 2 years, I’ll be taking my SS income.
The fixed portion provides about 120% of my living expenses. It consists of AAA insured and AMT free 30 year municipal bonds (not funds) which return 5% and non-publicly traded reits, which return about 7.5%.
The equity portion is designed to help make up for inflation on itself and the fixed portion.
My issue is that the CD’s mature in about 4 months, and I’m not sure where to put the cash.
The reasonable place is to put it in equities to help with the inflation protection, but I’m quite skittish about the economy and believe that a recession MAY be around the corner.
The solution I’m thinking of is to put it in VWALX and then use the income from that to purchase additional equities over the coming years.
The 2 financial planners I’ve talked to over the last 5 years think my general investment strategy is poor, primarily because it doesn’t maximize my estate at the end, but that’s not my goal.
HBH