Retiring at an All-Time High: What History Actually Shows

Is it risky to retire when the stock market is at an all-time high?

It's a question I get all the time, and the conventional wisdom is usually that you should worry about sequence of returns risk and protect part of your portfolio by moving money into cash or fixed income.

But what does the historical data actually show?

In my latest podcast episode I look at:

• Why an all-time high does not necessarily mean markets are riskier

• Why I don't believe sequence of returns risk is an issue in a 30-year retirement

• What 150 years of market history shows about long-term retirement investing

• Why adding cash or fixed income can reduce your long-term growth and retirement cash flow

• When fixed income can still make sense — especially if it helps you stay invested during market declines

• Why your ability to stay invested may matter far more than what the market is doing on the day you retire

• How the 4% Rule fits into a long-term retirement strategy

• Why following a proper Financial Plan is usually more important than reacting to market highs and lows

The bottom line: Markets hit all-time highs regularly. Retiring at one does not automatically make your retirement plan unsafe.

For investors with the risk tolerance to stay invested through major market declines, focusing on long-term growth rather than short-term market timing can lead to a much more comfortable retirement.

Read the full article or watch the video on the blog to see what the historical data shows: https://edrempel.com/retiring-at-an-all-time-high-what-history-actually-shows/