audreyh1
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
I was too busy today to check until late. I figured it would be another negative day, but it exceeded expectations!Two years of expenses set aside in cash.
Turned off the TV
Went to the beach
In the meantime - no change in strategy:
I always withdraw my entire annual income from the retirement portfolio so that it’s not exposed to stock or bond volatility. Years like this make me glad I did. I won’t see any income drop until next year.
We have accumulated quite a stash in unspent funds as our income has risen during the rally years. These are invested in short-term, low volatility instruments. A nice cushion if needed.
If we really get a 20% selloff, then I’ll probably rebalance the retirement portfolio as that should mean my equity allocation drops to the 45-46% range and I’ll need to pull it back up to 50%. It usually takes at least months to resolve if the selloff is that severe.
The whole idea is that I could ignore things for an entire calendar year if I really wanted to. I just monitor for rebalancing opportunities, and I can do that infrequently if I choose.