Rebalance and reduce equities?

aroominyork

All good @Frequentlyhere - absolutely no offence taken.

I have a spreadsheet which lets me adjust investment return, withdrawal and inflation annually over 30 years. I think there are three things going on. 1) You spend years building up your investments and it's strange to plan for them to go down. 2) Being a simple soul I like the idea of three buckets: cash for a couple of years, bonds for a few years, the balance in equities - rebalance annually to avoid selling a non-cash investment at a loss. That's why I find a plain 60/40 curious and why I convert allocations into GBP. But how easy would it be, during a downturn, to drain the cash and bond funds and see yourself sitting predominantly in equities when they have reduced in value? 3) The unknown is whether I will work until 2028 and so maybe I need a higher non-equity buffer in case I don't.

I started the thread by asking people to talk sense to me and I am grateful you guys did.