60/40 Retirement Portfolio. Pros & Cons for Retirees.

by Ethan S. Braid, CFA | Jan 14, 2026 | Asset Allocation, Blog, Investing, Investment Risk, Retirement Planning

The 60/40 equity-to-fixed-income retirement portfolio is a great asset allocation strategy used by many retirees. Contrary to what some people think, this asset allocation strategy is still relevant and a perfect investment plan for some retirees. Pros of the 60/40...

4% Rule with Vanguard Balanced Index Fund – 25 Year Illustration

by Ethan S. Braid, CFA | Apr 3, 2025 | Asset Allocation, Blog, Retirement Planning

How reliable is the 4% rule when using a 60/40 equity/fixed balanced investment strategy? Will you run out of money if you have bad timing and retire right before a recession? How will sequence of negative returns affect your retirement plan? To answer these questions...

4% Rule Using SPY – All Equity Retirement

by Ethan S. Braid, CFA | Apr 3, 2025 | Asset Allocation, Blog, Retirement Planning

Like what I saw in the year 2000, many investors are now touting the benefits of an all-equity retirement portfolio. I thought it would be fun to see how a hypothetical $2 million retirement portfolio would have performed using the 4% rule for retirement distributions...

Plan For Four Recessions During Retirement

by Ethan S. Braid, CFA | Mar 26, 2025 | Asset Allocation, Blog, Retirement Planning

Retirees should plan to encounter four recessions during a typical 25-to-30-year retirement. According to Fed Chair Jerome Powell during his March 19th, 2025, press conference, the unconditional probability of a recession is in the range of 1 in 4 at any time. Another...

All Equity Retirement Portfolio. A Critique of Beyond The Status Quo Research Paper

by Ethan S. Braid, CFA | Feb 27, 2025 | Asset Allocation, Blog, Investing, Investment Risk, Retirement Planning

The recent research paper, Beyond The Status Quo: A Critical Assessment of Lifecycle Investment Advice, has created a lot of buzz since the paper was published. The authors advise an optimal retirement portfolio that is 100% equities with 33% in domestic stocks and...

Building a Diversified Portfolio – Three Signs Your Plan Will Fail

by Ethan S. Braid, CFA | Feb 21, 2025 | Asset Allocation, Blog

There is a simple litmus test to determine if your diversified portfolio will fail. Ask yourself the following questions. Do you understand every single investment in your portfolio? Do you know why you own every single investment in your portfolio? Can you...