Great point; I agree. Also a great example of missing an obvious risk; I hadn’t noticed that before linking.
The calculator here allows simulating withdrawal rates by asset allocation, although it only has data back to 1970 so is a bit limited. I get the same safe withdrawal rate (4.3%) for 30 year retirees using either 100% US or 50⁄50 US/ex-US over that time frame. 100% Japan had a 1.5% safe withdrawal rate.
Great point; I agree. Also a great example of missing an obvious risk; I hadn’t noticed that before linking.
The calculator here allows simulating withdrawal rates by asset allocation, although it only has data back to 1970 so is a bit limited. I get the same safe withdrawal rate (4.3%) for 30 year retirees using either 100% US or 50⁄50 US/ex-US over that time frame. 100% Japan had a 1.5% safe withdrawal rate.
That’s quite interesting! What was the stock/bond allocation in your examples that gave you a SWR of 4.3%?
100% in US stocks gives a SWR of 4.3%;