Quote:
Originally Posted by ChiliConCarnage
I don't really think you have an option at this time. We haven't hit negative nominal interest rates like Japan & Europe but we're getting there. A normal US bond fund is already negative real yields.
He's planning to retire at 56, assuming he's healthy he can't be taking a negative drag on 50% of his portfolio. He could easily have 35 years left. Unless it's a mental/emotional crutch, I don't think I'd go above 30%? bonds. Unless you're betting on rates going down, right now most bonds are setting money/purchasing power slowly on fire.
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So what happens if he stays 80% in stocks and we have a major market correction in the next 3 years?
But I do understand what you're saying given his age. He will need his money to continue to work for him over 3+ decades more than likely.