I know there have been several threads on buckets, but Bob has posted a new (to me) article over on his website questioning the efficacy of rebalancing during retirement.
http://bobsfiles.home.att.net/WhatsNew.html
Basically seems to indicate that not rebalancing (or at least infrequent rebalancing) along with taking assets for expenses from the LEAST returning class is the preferrable withdrawal strategy. Goes along real well with buckets approach. Does point out that retirees may get uncomfortable with the high allocation to stocks that will this will result in.
I still would feel more comfortable with buckets approach with some trigger other than say 7 years for moving assets from longer term to nearer term buckets; e.g., an upper limit range on upper buckets?
http://bobsfiles.home.att.net/WhatsNew.html
Basically seems to indicate that not rebalancing (or at least infrequent rebalancing) along with taking assets for expenses from the LEAST returning class is the preferrable withdrawal strategy. Goes along real well with buckets approach. Does point out that retirees may get uncomfortable with the high allocation to stocks that will this will result in.
I still would feel more comfortable with buckets approach with some trigger other than say 7 years for moving assets from longer term to nearer term buckets; e.g., an upper limit range on upper buckets?