tag:blogger.com,1999:blog-5621914599310831423.post1599272153984160915..comments2024-03-28T18:17:18.688-07:00Comments on The Retirement Café: Unraveling Retirement Strategies: Time-SegmentationDirk Cottonhttp://www.blogger.com/profile/05616143752082768155noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-5621914599310831423.post-52904030993383318142014-02-11T13:50:48.421-08:002014-02-11T13:50:48.421-08:00Thanks, Derek. I think hybrid strategies are proba...Thanks, Derek. I think hybrid strategies are probably not uncommon. The important point I made about my strategy is that my standard of living is not at risk even if my stock portfolio fails.<br /><br />There are many things you might do, like use an annuity instead of a TIPS ladder, or intermediate bonds instead of the long portion of a TIPS ladder. If you understand how the pure strategies work, you can see how to pick parts of each to meet your individual needs.<br /><br />If you have other sources of flooring, like a pension or a large SS benefit, it opens up more options.<br /><br />I will be talking about this a little in future posts.<br /><br />Thanks for reading.Dirk Cottonhttps://www.blogger.com/profile/05616143752082768155noreply@blogger.comtag:blogger.com,1999:blog-5621914599310831423.post-11685494983881520282014-02-11T13:13:36.092-08:002014-02-11T13:13:36.092-08:00I found your blog from reading your comments at Wa...I found your blog from reading your comments at Wade Pfau's blog. I have enjoyed the articles at your blog.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5621914599310831423.post-25461302582376533682014-02-11T11:57:23.087-08:002014-02-11T11:57:23.087-08:00Thanks again for another helpful post, Dirk.
In yo...Thanks again for another helpful post, Dirk.<br />In your post "How many Rungs" (of TIPS) you presented a "My approach". I really liked that approach. It seemed like it allowed for more of the upside potential of a Time-Segmentation strategy with the increased safety (and minimizing sequence of return risks) of a Floor and Upside approach. A full "Floor" approach is, as you pointed out, extremely expensive at present. Your "my approach" would seem to be a much less expensive approach with not a lot more risk, especially if the TIPS ladder was kept extending to 7 to 10 years out.. If someone was able to afford it, they could always have a TIPS ladder out to 15 years or so and reduce the risk even more. It would seem to be a good compromise between cost and risk (and still allows the option of a fixed annuity in ones 70s instead of extending the TIPS ladder). Maybe in your next post (or future post) it would be interesting to hear if you think a hybrid of the different strategies is worthwhile for a lot of people to consider.Anonymoushttps://www.blogger.com/profile/05715923932714221467noreply@blogger.com