portfolioafterlife
too fast for love
L'aspettativa di vita di una coppia è più lunga di un single, dato che uno dei due potrebbe vivere più a lungo.
We study withdrawal rules for retirees, bringing to bear a wealth of information on the historical
performance of major asset classes in developed countries. Our comprehensive new dataset miti-
gates the survivor and easy data biases that plague prior work. We find that there is no withdrawal
rate that allows most retirees to maintain a reasonable standard of living while being virtually
assured they will not outlive their wealth. Even if a couple is willing to bear a 5% ruin probabili-
ty, the withdrawal rate is just 2.26%. This modest withdrawal rate implies that households must
accumulate substantial savings to avoid severe spending cuts during retirement.
The Safe Withdrawal Rate: Evidence from a Broad Sample of Developed Markets
We use a comprehensive new dataset of asset-class returns in 38 developed countries to examine a popular class of retirement spending rules that prescribe annua
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