Some quick takes.
Overall with a portfolio of $2.7M and required income of $150k is a withdrawal rate of 5.5% which I think should be doable.
At 3.375% I wouldn't be in a hurry to pay off the mortgage, everything else you're investing in should provide better returns than that.
My main question is about the bonds and bond funds, though I have a bias against bonds so take what I say with a grain of salt. The bond ETF/funds like BND and RANGX have a yield of 3.6% and are down 13% in the past 5 years. But you can get 4.4-5.4% in cash or CD's and are guaranteed/insured. Why bother with bond funds or a bond ladder? Just put those funds in cash and CD's. If we return to a world of 0-2% savings rates you can revisit.
Overall with a portfolio of $2.7M and required income of $150k is a withdrawal rate of 5.5% which I think should be doable.
At 3.375% I wouldn't be in a hurry to pay off the mortgage, everything else you're investing in should provide better returns than that.
My main question is about the bonds and bond funds, though I have a bias against bonds so take what I say with a grain of salt. The bond ETF/funds like BND and RANGX have a yield of 3.6% and are down 13% in the past 5 years. But you can get 4.4-5.4% in cash or CD's and are guaranteed/insured. Why bother with bond funds or a bond ladder? Just put those funds in cash and CD's. If we return to a world of 0-2% savings rates you can revisit.
Statistics: Posted by UncleLongHair — Fri Nov 15, 2024 6:16 am — Replies 11 — Views 1907