ThinkAdvisor: Covisum's advisor and quant discuss how to manage sequence of returns risk in retirement planning

Lauren Laferla, PR & Content Marketing Manager
May 1, 2018
    

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In an ongoing series exclusive to ThinkAdvisor, Joe Elsasser, CFP® and Ron Piccinini, PhD provide readers with two distinct perspectives on the same topic. Check out the most recent installment, "How do you manage sequence of returns risk in retirement planning?" 

In this edition, Joe and Ron discuss how to protect clients from a down market in the crucial early withdrawal years.

Joe's response included:

"There are a variety of ways to manage sequence of returns risk in retirement, and they all start with a reasonable expectation of whether the client is actually at risk or not — and if so, to what extent."

And Ron's response included:

"To manage sequence risk, one has three levers: spending, portfolio risk, and its cousin: portfolio expected returns. Assuming spending is fixed, the management comes down to a delicate (and perhaps fragile) balancing act between portfolio risk and return."

 

See the full response from both Joe and Ron in ThinkAdvisor.

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Posted by Lauren Laferla, PR & Content Marketing Manager
Lauren is a content marketing enthusiast with a love for storytelling - on camera, in writing, and through others. She has a robust communications background that includes: public relations, content creation, internal communications, digital marketing, and copy editing. Driven and motivated, Lauren holds a bachelor's degree in English and is an avid reader.