RetiredAt49
Recycles dryer sheets
- Joined
- Oct 30, 2021
- Messages
- 468
Thought I would share my personal SORR (sequence of returns risk) mitigation strategy - which has worked pretty well. Would enjoy reading others personal experiences too…
I retired at age 49 on January 3rd, 2022. In case anyone has forgotten, that’s the date which ended the longest bull market in history (I believe that’s accurate) so my timing couldn’t have been worse.
With an asset allocation of 100% in equities (excluding rental properties and a business buyout which covers about 50% of our expenses), we dipped a little into our 100% stock portfolio but we did the following to mitigate SORR:
1) Cut back a little on non essential expenses (e.g. vacations)
2) Acquired a 21 month, interest free credit card for many expenses
3) Ditched our AUM “wealth management company” - kudos and thanks to many of you who helped us through that transition!
4) Took out a HELOC on our primary home (which is paid for)… really haven’t used this option yet and will not unless the market drops again in 2023.
I retired at age 49 on January 3rd, 2022. In case anyone has forgotten, that’s the date which ended the longest bull market in history (I believe that’s accurate) so my timing couldn’t have been worse.
With an asset allocation of 100% in equities (excluding rental properties and a business buyout which covers about 50% of our expenses), we dipped a little into our 100% stock portfolio but we did the following to mitigate SORR:
1) Cut back a little on non essential expenses (e.g. vacations)
2) Acquired a 21 month, interest free credit card for many expenses
3) Ditched our AUM “wealth management company” - kudos and thanks to many of you who helped us through that transition!
4) Took out a HELOC on our primary home (which is paid for)… really haven’t used this option yet and will not unless the market drops again in 2023.