So, I met with my Fidelity advisor today (Premium Services with no fee).
As usual, we went over expenses, taxes, large upcoming purchases etc. which has always been entered into the analyzation software that spits out how much I'll end up with (my heirs) at the end of the game.
Currently I'm self-managing my portfolio (Bogleheads style). My AA currently is 50/50 with a stock asset mix of total stock US/ex-US and Fixed income of MYGA's/MM/401k Stable Value.
Great talk and he commended my portfolio, Said I'm golden, I agreed, no issues and all is well.
He mentioned, they have a new system (2024) for building a comprehensive portfolio investment strategy. I obliged and agreed to listen.
New system uses all accounts, Fidelity and Non-Fidelity, takes all income (SS, Pension, yada yada), looks at taxable, 401k, IRA, Roth, Taxes, and HSA, then tells you what the most efficient AA would be. Since all income, expenses, accounts, taxes, age, etc. are already entered, It only asks one question, risk tolerance from 1 to 10.
My answer for risk tolerance was a 5, he said it wouldn't really matter since this new system looks at a total view, basically you could say 3 or 7 and it will make it's recommendation on the total view.
Sooo, turns out the new system say's I'm leaving millions on the table over the next 20 years at my current 50/50 AA . New System recommends a 70/30 AA .
Either way, it goes to my heirs, barring the need for LTC with dignity.
What do Bogleheads think about this new system? At 64 years of age, retired and decumulating, is a 70/30 AA reasonable when SWR is below 4%?
As usual, we went over expenses, taxes, large upcoming purchases etc. which has always been entered into the analyzation software that spits out how much I'll end up with (my heirs) at the end of the game.
Currently I'm self-managing my portfolio (Bogleheads style). My AA currently is 50/50 with a stock asset mix of total stock US/ex-US and Fixed income of MYGA's/MM/401k Stable Value.
Great talk and he commended my portfolio, Said I'm golden, I agreed, no issues and all is well.
He mentioned, they have a new system (2024) for building a comprehensive portfolio investment strategy. I obliged and agreed to listen.
New system uses all accounts, Fidelity and Non-Fidelity, takes all income (SS, Pension, yada yada), looks at taxable, 401k, IRA, Roth, Taxes, and HSA, then tells you what the most efficient AA would be. Since all income, expenses, accounts, taxes, age, etc. are already entered, It only asks one question, risk tolerance from 1 to 10.
My answer for risk tolerance was a 5, he said it wouldn't really matter since this new system looks at a total view, basically you could say 3 or 7 and it will make it's recommendation on the total view.
Sooo, turns out the new system say's I'm leaving millions on the table over the next 20 years at my current 50/50 AA . New System recommends a 70/30 AA .
Either way, it goes to my heirs, barring the need for LTC with dignity.
What do Bogleheads think about this new system? At 64 years of age, retired and decumulating, is a 70/30 AA reasonable when SWR is below 4%?
Statistics: Posted by retireIn2020 — Fri May 10, 2024 12:49 am — Replies 0 — Views 95