Alternate Portfolio Advice

There were a couple videos posted in the PoF Facebook group which I found very illuminating, They were the tail of 3 brothers each of who retired 3 years apart 1997, 2000, 2003. The videos look at the SOR results, The discussion is by professional money managers and discusses management techniques to avoid failure.

Here is the first video with Mark Cortazzo and Mary Beth Franklin. Cortazzo is one of those dreaded AUM managers, see if his advice sounds dreaded to you! Franklin made her mark as a Social Security expert, who knows how to make SS give up every last dime using various claiming strategies.

In the second video Cortazzo reviews the fate of the brothers in 2018. If you watch video 1 do not miss video 2. It validates all of my mumbo jumbo about risk management.

If you were Mr Retire in 2000 would your plan have had the chops to survive?

4 Replies to “Alternate Portfolio Advice”

  1. Great videos. I think this retirement planning is vital.

    Interesting that he uses high dividend payers as part of his strategy. We get an extremely favourable tax credit in Canada when we use these.

    They highlight the ability to use different levers to guard the portfolio during market downturns.

    I think you and I have put in as many options as possible. If it all goes to pot, I will sell some of my hard assets such as my secondary home.

    But I also have the ability to live extremely frugally for funsies. I would not have any issue with spending less.

    1. There are no articles on FIRE failure, so you have to pick material when it happens along. The thing is if you have good early protection the end will take care of itself. Brother #2 had no early protection.

  2. Thanks for sharing.
    Good solid advice.
    Too many newbies that blog have never been through a big market decline. They are not going to enjoy the ride.
    I hope some will heed good advice like in these videos.

    1. I lived through the market decline in 1973-75 with oil embargo and wage price controls. I was in college investing in commodities then and I was in med school in 81 when the cost of my tuition doubled every year due to 13% inflation. Think about your med school tuition doubling every year. Freak you right out! Like Dylan said it’s a hard rain gonna fall. I hope that never happens again. It’s confirmation bias I know but these vids talk about some of the same risk avoidance schemes that I’ve been working out. If a guy like Cortazzo is speaking my lingo I find it pretty validating.

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