Starting Retirement at 30% Stocks Could Boost Success by 18%

Research shows increasing equity allocation from 30% to 60% over 30 years may reduce failure rates compared to static 60/40 portfolios

The Details

A 2008-style crash in year 1 of retirement could reduce a static 60/40 portfolio by 22%, but only 13% with a 30/70 rising glide path. This preservation of capital early creates more flexibility to increase equities when valuations may be more attractive.

What this means for you

Retirement decisions compound — getting one of these details wrong can cost tens of thousands of dollars over a retirement. The good news: most of these mistakes are completely avoidable if you understand how the rule actually works.

Next step

If you want to see how this applies to your specific situation, take the free Retire Ready Score — a 2-minute assessment that scores your current plan across income, taxes, healthcare, and protection.