Retiring Right Before or During a Recession. Debunking “Sequence of Returns Risk” - Canadian Financial Summit 2024

Bloggers and advisors constantly warn about the “Sequence of Returns Risk”—the fear that retiring right before or during a market crash will drain your savings too quickly. 

This fear often leads retirees to make poor investment choices, resulting in:

🚨 Inferior portfolios

📉 Lower returns

❌ A less reliable retirement

But how real is this risk? And do the conventional solutions—like investing in bonds or following the 4% Rule—actually work?

Is it true that “sequence of returns risk” has been debunked for long-term equity investors?

In my latest podcast episode you’ll learn

• What is “Sequence of Returns Risk”?

• What solutions are typically recommended?

• What is the actual risk of running out of money with a bad sequence of returns?

• Why don’t the typical solutions work?

• How long did it take to recover from the biggest crashes?

• How can you get the maximum reliable retirement income?

• What should you do if your risk tolerance is lower?

• What is “Your Personal Rule” for you to use instead of the “4% Rule”?

• What solution to “Sequence of Returns Risk” actually works?

• What dynamic spending rules are suggested by actuaries & advisors?

• What is Ed’s dynamic spending rule?

• How is it customized for you?