RetireAge50
Thinks s/he gets paid by the post
- Joined
- Aug 6, 2013
- Messages
- 1,660
I'm thinking I would like to protect against market falls by having about 2 years worth of cash. As an example assume a 1 million portfolio, $20,000 pension, yearly spending of $50,000, and maybe a worse case decline of 30%.
How much cash should I hold?
A. $60,000 (2 years * $30,000)
B. $18,000 (2 years * $30,000 * 30%)
How much cash should I hold?
A. $60,000 (2 years * $30,000)
B. $18,000 (2 years * $30,000 * 30%)