In this informative video, financial expert Julia Lembcke, CFP® explains how to structure your investments to cover your income needs and grow over the long term in retirement.
Retirees often face the risk of sequence of returns, where poor investment returns and the timing of withdrawals can impact their portfolio. Julia guides you through the concept of investment bucketing, which involves segmenting your money into different buckets based on timeframes.
By doing so, you can effectively combat the sequence of returns risk and ensure a steady income stream throughout retirement. Julia provides a practical example of how to bucket a $1.5 million portfolio to fund a $4,000 monthly income, taking inflation into account. Don’t miss this valuable advice to secure your financial future!
[00:00:00] How to structure your investments for retirement.
[00:00:26] How do you structure your investments to cover your income needs and grow over the long term?
[00:00:56] How to build an investment allocation that will last 30 to 40 years and beyond.
[00:01:27] The biggest investment risk retirees face.
[00:02:27] Sequence of returns risk.
[00:03:06] How I would bucket your $1.5 million to provide that remaining $4,000 per month.
[00:05:06] How to enjoy your retirement without the stress of the stock market gyrations impacting your ability to fund your lifestyle.
[00:05:19] If you are approaching or newly retired and you need help preparing, please reach out via our website site or by calling our office.
Opinions expressed herein are solely those of URS Advisory. All written content is for information purposes only. It is not intended to provide any tax or legal advice or provide the basis for any financial decisions. Material presented is believed to be from reliable sources; however, we make no representations as to its accuracy or completeness. All information and ideas should be discussed in detail with your financial adviser or qualified professional before making any financial decisions.
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As a German, I would recommend to diversify stocks or ETF worldwide. For me, it seems that most of American stocks are overrated, their P/E ratios are quite high. The inverse of the P/E ratio can be interpreted as the yield to be expected in the future. Thus, a high P/E ratio gives poor yield. Nevertheless, you always have think about, how economy will develop in the future (what currently gives a very bad view for Germany, but not for German companies with worldwide activities).
Grateful for the focus on consistency. IN what way can I START INVESTING this 2025 as a BEGINNER and be successful with more or less than 5k?
I’m sorry but I noticed 2 things: 1) no mention of tax strategy. 2). Not everyone has millions saved that will create enough for dividends and interest to live in the first 5 years. I don’t agree with your assessment.
The cash drag in the green bucket, and the low returns on the bonds & dividends in the yellow bucket will not keep up with inflation. This plan is guaranteed to fail. Read research papers by Michael Kitces or Professor Estrada of Barcelona who have both studied this method and ran thousands of simulations.
Best video