Merry Correction Day

ffacoffipawb

atush wrote: »

i am still waiting for the merry recovery day post?

The stock market movements at the moment are ridiculous.

Looking at an IRR of -10% on both my SIPP and ISA this year. Not too shabby when you look at the markets. I am still unsure of early retirement next summer (age 55) due to sequence of returns issues if we have a couple of more years like this.

SIPP currently 18% cash, looking to up this to 35% for my PCLS and two years of drawdown payments. Remainder is equity, I hold no bonds, I dont like them at current levels.

bostonerimus

DJ is up 1300 points in two days. It’s the volatility of all this that spooks me. None of this has anything to do with earnings and very little to do with interest rates.

ffacoffipawb

bostonerimus wrote: »

DJ is up 1300 points in two days. It’s the volatility of all this that spooks me. None of this has anything to do with earnings and very little to do with interest rates.

Indeed, it's bonkers.

kidmugsy

atush wrote: »

not in my past

Your past is much too short, young woman, to be instructive.

ffacoffipawb

atush wrote: »

i am still waiting for the merry recovery day post?

kidmugsy wrote: »

Your past is much too short, young woman, to be instructive.

Oops. I always assumed atush was male.

TBC15

atush wrote: »

i am still waiting for the merry recovery day post?

I think it’s a bit bad taste for us all to harp on about profits at this time of year.

Some thought should be given to the poor souls who have nothing…………….I think I’ll start another Bitcoin thread.

atush

kidmugsy wrote: »

Your past is much too short, young woman, to be instructive.

What makes you so sure I am young?

Alexland

Audaxer wrote: »

I think if you're 60 it's safer to plan for a 30 year retirement and a maximum 3.5% withdrawal rate.

30 years isn't very long when there is a circa 1 in 10 chance of living to 100.

My plan is 1/35th drawdown 2.86% from age 58 plus an extra £9k per year for the first 10 years to cover the missing state pension. I would obviously derisk the £90k as I aproached retirement but the 2.85% is so close to natural yield I do wonder if it would be worth maintaining a fairly high investment risk until retirement and trying to live off dividends (making occasional unit sales when markets are high) which might significantly reduce risk in my plan.

Alex

theoldgreychap

A bear market is of potential benefit for anyone like me - approaching 55th birthday next year & in happy position of exceeding protected lta, so markets down from their peak as I look to take 25% from my DC schemes is helpful - as The initial 25% will crystallize a smaller % of the protected LTA than if markets are riding high - & I will probably just reinvest it & ride it out whether 1 month or 5 years. The market volatility is alarming but unsurprising.

MK62

theoldgreychap wrote: »

A bear market is of potential benefit for anyone like me - approaching 55th birthday next year & in happy position of exceeding protected lta, so markets down from their peak as I look to take 25% from my DC schemes is helpful - as The initial 25% will crystallize a smaller % of the protected LTA than if markets are riding high - & I will probably just reinvest it & ride it out whether 1 month or 5 years. The market volatility is alarming but unsurprising.

As the old saying goes, "It's an ill wind that blows nobody any good"........there are always winners and losers no matter what the markets do........it's just the proportion of winners to losers which changes......