y question is, if stocks can reasonably be expected to appreciate 10% per year and inflation is roughly 3% or less why couldn't I withdraw say 7.5% per year and still have some appreciation and a margin of safety?This might be true if your portfolio returned 10% consistently every single year. Unfortunately, you'll never be able to get this kind of consistency. By having forced withdrawals at too high a rate, you wind up damaging your portfolio during the down years. Too many down years and your portfolio is destroyed.Also, you should hopefully have some holdings outside of stocks, such as bonds, which will give you a lower yield.
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