Category Archives: 4% SWR

Safe Withdrawal Rate Experiment – Month 30 – June 2017

So I’ve been running an experimental portfolio for, blimey, nearly two and a half years now.  The idea was to start with a fund of £625k and then withdraw 4% annually, in monthly instalments, just to see what happens.  The would give someone £25,000 a year to live off. Historic investigations concluded that a 4% withdrawal rate gives a reasonable chance… Read more »

Safe Withdrawal Rate Experiment – Month 16 – April 2016

April 2016 - Safe Withdrawal Rate Experiment - Comparison to alternative portfolio

I was away for most of April on holiday, hence the general lack of updates round ‘ere.  Let’s see how the ‘safe withdrawal rate’ experiment portfolio got on.     The standard recap We are now 16 months into my experiment, where Mr Z in Parallel Universe Number 1 pulled the trigger on early retirement.  This is a completely fictitious portfolio. It will hopefully give some… Read more »

Withdrawal experiment – Month 14 – February 2016 – Capitalism didn’t collapse!

Ah sunny Saturday mornings.  The perfect time to draw the curtains and tap some shit into Excel and then WordPress 🙂  (EDIT:  Mr Z ended up in the sunshine for a couple of hours sanding bits of wood, restoring an old metal crate from the 1940s, scraping his knuckles, swearing and having a good time) I start this post just… Read more »

Withdrawal experiment – Month 13 – January 2016

Whoa!  We are at the end of January already, 2016 is chugging along at quite a pace.  With the month finishing on Sunday I decided to get ahead of myself by updating the numbers for this on Friday with a couple of beers.  Then I broke everything.  A Saturday morning  rattling through the numbers and everything was working again.  Blimey,… Read more »

SWR 4%: An ongoing thought experiment – November Update

Ohhhh yeah, roll on the weekend.  And what better way to start than with thinking about a fake portfolio.    The standard recap Back to the beginning.  We are now eleven months into the experiment where Mr Z in Parallel Universe Number 1 pulled the trigger on early retirement.  This is a completely fictitious portfolio and just a little experiment, hopefully giving some insight… Read more »

SWR 4%: An Investigation. Month 5

Recap Back to the beginning.  It’s now a whole five months into the experiment where Mr Z in Parallel Universe Number 1 pulled the trigger on early retirement.  This is a completely fictitious portfolio and just a little experiment for me, hopefully giving some insight on what it would actually be like through the ups and downs of living off an investment portfolio. Each… Read more »

SWR 4%: An Investigation. Month 4

Recap It’s now a whole four months into the experiment where Mr Z in Parallel Universe Number 1 pulled the trigger on early retirement.  This is a completely fictitious portfolio and just a little experiment for me, hopefully giving some insight on what it would actually be like through the ups and downs of living off an investment portfolio. Each month I am going… Read more »

SWR 4%: An investigation. Day 0

While munching on a bacon sandwich and sucking down some tea I was pondering the 4% withdrawal rate.  Would I be brave enough to trust it? Lets rip through the fabric of reality into a parallel universe (where creepily the markets are exactly the same).  Mr Zombie has spent less, saved more and has come to the conclusion that now… Read more »