Selling/holding funds for/in drawdown

Bostonerimus1

https://forums.moneysavingexpert.com/discussion/comment/82164228#Comment_82164228

If you have reliable retirement income from sources other than your SIPP then I see no problem with what you're doing right now. Other strategies come down to asset allocation choices and if you can afford big losses and want to emphasize growth then 100% equities is an option. But this approach might lead to you leaving a significant estate so you should have a long term plan to mitigate IHT as well.

FYI I get all my retirement income from sources other than my DC retirement funds and so for a long time I was at 85% equities with 5% in cash, but I became worried about my index equity fund being biased to tech and the general uncertainty in the world right now so I'm now 20% cash and 70% equites with those equities tilted towards value. This isn't an income strategy, it's just getting a bit more defensive.

Also "Howay The Boro!"

kempiejon

When I had more unsheltered holdings it was easy to make sales to harvest or reset capital gains as part of tax planning. Now most holdings are sheltered I find dividends and corporate actions can free some cash for spending but I want to get into a habit of regularly realising some profits and double checking balance and asset allocation, probably annually.

With an income running with a large equity allocation is suitable but with no external sources of funds I'll let that number reduce perhaps 60% or less. Alternatively if I consider annutizing part of the pot the balance can be more equity heavy.

If my SIPP was a minority part of post employment income planning I'd play it fast and loose with allocation within it.

SVaz

Do people realise that by drip feeding information, posters will then waste time and effort in answering a question ‘wrongly’?
It’s very irritating.

Triumph13

Without going into whether or not your overall strategy is the right one, one obvious tweak to it is to sell from equity funds rather than money market funds at the point you want to withdraw cash, if equity markets are 'high' at the time, saving your one year of MMF for downturns.