Self managing my investments

Thrugelmir

mistapike said:

There is plenty of slack to cover drawdown in the above scenarios unless inflation is rampantly higher by several percent over stock market returns for an extended period of years


       

Inflation could be minimal and market returns poor. Distibutable company profits could be reduced by factors such as higher corporate taxes, higher interest rates or increased payoll costs. An era of cheap freely printed money isn't going to last forever. As the inflationary consequences we are now experiencing suggest that this likely to be a contributory cause.  

bostonerimus

jim8888 said:

I really quite enjoy managing my own investments and have found the advice on this forum to be a fantastic resource. I feel I have learned loads in the last six months since I retired, which put me in a position of finally having to access my investments. I only have one caveat - I do find the responsibility of trying to manage my portfolio quite intimidating. It's a lot of money for me and my family. What if I get it wrong? It's taken me a full six months and quite a lot of work on spreadsheets to arrive at a strategy on how best to take my retirement income, and I still worry that I'm not being prudent enough. Or that I'm being too prudent. It's a daily internal discourse to the point that if anyone asks me what I'm doing these days I'm going to tell them I'm a fund manager. I'll just not mention that it's my own funds I'm managing 

Worrying to a point is good, but it can also blight your life and cause you to make poor decisions. I think the key is asset allocation. You need something that let's you sleep at night and doesn't require constant intervention. I put very reliable retirement income sources in place before I retired that more than cover my spending and so I have my investments mostly in equity trackers that I've basically left alone for the past 7 years...I did do some rebalancing in the Covid crash, but that's worked itself out now. I'm simply not that interested in how my money is "doing".