I am not restricting myself to only equities but looking at all asset classes. For example, I can buy rental properties and use rental cash flow to pay the mortgage and I think, you can look for low single digit returns now and low single digit price appreciation. At this point of housing cycle I can be reasonably certain the price fluctuations are not going to be beyond 5%. Ofourse you can argue unlike equities you don't see the quote every day so you don't really know the drawdown or volatility. This is just one example.While 30% drawdown may seem normal but for my retirement funds that is unacceptable, especially when I am looking at the entire portfolio. I don't have exhaustive study to prove but volatility is not really required to generate above average returns and especially average returns.My IRA accounts for the last few years haven't experienced more than -3% swing per quarter or month and has achieved over 8% return annually. All the while I have maintained a minimum of 20% cash. Of course this required active management. That is what I am trying to avoid.