Understanding the sequence of returns
Question: I am one of those long term investors you always write about. I enjoyed the stock market of the 1980s and 1990s, and I hung in there during the recent bear markets.
I am still a big believer in the stock market. If I am a long-term investor, why should I change my tune now that I am about to retire? Do you see any problems with me staying fully invested, and just taking out money when I need to?
Answer: I don’t think the stock market will fundamentally change when you retire, but you will.
You have only experienced one part of the journey — the accumulation phase. And it sounds like you did that very well.