I'm a little surprised this hasn't been brought up yet (Or maybe I missed it and it was determined to be Ho-hum?)Here's a discussion from some people concerned about the inner working of FireCalc & its cousin cFiresim. http://www.cfiresim.com/input.php especially with regards to how bonds were calculated, which lead to Mr Firesim researching it and coming up with a "new and improved" ie more realistic way of calculating a safe withdrawal rate. The results are bad. The new safe withdrawal rates are way lower than FireCalc et al have been telling us.http://www.cfiresim.com/phpbb/viewtopic.php?f=2&t=119FireCalcI used 1 Mil Portfolio split 50/50 stock/long interest rate, .3 fees to test. The 100% SWR for FireCalc is $36,582 Using 5 yr treasuries the SWR is $37,007. Using 30 yr Treasuries SWR was $36,074In FireSim the asset classes are a bit different.Using a 50/50 Stocks/bonds AA the SWR was: $32,530.55Quite a variance. Anybody have anything to say or do you see anything here I missed?
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Rat