Good problem, but how would you setup AA

[DFA]

So the basic question was, if you have twice the income (pensions and SS) to cover ALL your expenses (including med, dental, vision, life insurance, etc.).

And no need to withdraw money from investments, what would your AA thoughts be with investments over $1M, still adding to it too.

My self retired for 5 yrs and DW retired for 2 yrs, no kids and no withdrawal from investments and no need to withdraw. Though about putting it all into cash or some FI investment.

 

[Fedup]

How did you do in 2008? Did you panic? Can’t sleep without sleeping aid? If not follow the same pattern. You know yourself best.

 

[DFA]

How did you do in 2008? Did you panic? Can’t sleep without sleeping aid? If not follow the same pattern. You know yourself best.

Both were still working and we have never sold into a dip since we started to invest in 1988, we kept on buying, saw a lot of losses, but they have all recovered higher then in dot.com bust and 2008. No panic and no sleepless nights.

 

[Fedup]

Well then I think you can be aggressive with your portfolio. Your current AA maybe right for you.

 

[target2019]

So the basic question was, if you have twice the income (pensions and SS) to cover ALL your expenses (including med, dental, vision, life insurance, etc.).

And no need to withdraw money from investments, what would your AA thoughts be with investments over $1M, still adding to it too.

My self retired for 5 yrs and DW retired for 2 yrs, no kids and no withdrawal from investments and no need to withdraw. Though about putting it all into cash or some FI investment.

This page tells all...max drawdown or losing years? Something else?
https://personal.vanguard.com/us/insights/saving-investing/model-portfolio-allocations?lang=en

 

[Golden sunsets]

Our situation is similar to yours. Retired. Income from Pensions and SS exceeds expenses including discretionary items. We have withdrawn between 1/2 and 1% the last couple of years for one off expenses that were in the vein of home improvement/auto/wedding and will continue that very minimal WD for 2 more years, but after that we won't withdraw any funds and will be adding new money to our investments. We like to SWAN, so our AA this year is 53/42/5. Next year we will go to 52/43/5 and so on until we reach 50/45/5. There we plan to stay indefinitely. Being more aggressive would just increase the legacy that we leave. In the 2007-2009 debacle we held firm and even invested at the nadir, but we were still working then. I don't really want to experience that much volatility again, thus a conservative WR and conservative AA.