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No. of Recommendations: 1
The phrase "reduce risk" relating to retirement has an inherent danger lots of people ignore or don't grasp. A better thought, in my view, is to swap or change risk.

Generally the reduce risk proponents are saying reduce equities and get bonds. Many people today are retiring with 30 plus years of retirement ahead.



Certainly, over-allocating to bonds could be a mistake. But, the way volatility works for you when accumulating money, it works against you when you're living off your portfolio. So it makes sense to have some volatility mitigation during the drawdown phase, and a bond allocation is one of the ways to do that.

I'm not saying that your post is recommending 100% equities, but for some people following this thread, they might not understand the benefit of reduced volatility even if it comes at the price of lower (average) return.
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