chinaco
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Feb 14, 2007
- Messages
- 5,072
You guys have stated a conundrum which I've been struggling to resolve for 10 years. Maybe we can come up with an answer this time.
....
Speaking of those approaching FIRE or in FIRE...
The reason this is complicated is that people have multiple goals and are trying to achieve those goals (grow wealth and preserve capital) with risky assets and often a mindset that is a hold over from the accumulation days (versus decumulation).
The risk we are discussing is not total loss (because we would all cash out if we thought that would occur)... we are discussing managing volatility and/or bear markets (down-turn).... assuming we diversify.
Since I am approaching FIRE and have acquired enough to meet our needs, I am more in the preservation of capital camp.
However, I am struggling with this question right now as I prepare to FIRE.