Our Best Investment Portfolio Examples for Savers and Retirees

This series of portfolios from Morningstar's director of personal finance Christine Benz can help investors reach their financial goals. [Morningstar](?utm_source=eloqua&utm_medium=email&utm_campaign=newsletter_improvingfinances&utm_content=51176&elqTrackId=2a871bf09ba54cce80d673b1a22bd479&elq=43215f3e2a0c40678eeda7f8478b7f4d&elqaid=51176&elqat=1&elqCampaignId=25686) [Improving Your Finances] Improving Your Finances with [Christine Benz]( [Christine Benz] In contrast with 2022, when cash was the only asset type in [my Model Bucket Portfolios]( landed in the black, every holding in all six of the portfolios delivered a positive return in 2023. (For my core retirement portfolios, there are [three mutual fund portfolios]( exchange-traded fund portfolios](. There are also portfolios geared toward retirees’ taxable accounts—[a series consisting of traditional mutual funds]( composed of ETFs]( Those 2023 winnings provide an opportunity for investors to rebalance, trimming appreciated equity holdings and replenishing cash and bond holdings that may have slipped below their target allocations. I provided [a complete look at the portfolios’ performance this week]( and also shared some thoughts on how retirees can maintain their own Bucket Portfolios following 2023’s rally. Elsewhere on the retirement front, [Susan Dziubinski and I discussed some of the key takeaways]( from the [withdrawal rate research]( that Amy Arnott, John Rekenthaler, and I collaborated on in late 2023. Our headline finding was that a safe starting withdrawal rate for new retirees is (drumroll please) 4%, higher than the safe withdrawal rate in our 2022 research (3.8%) and meaningfully better than the 2021 number of 3.3%. And for retirees who would like to wring an even higher spending amount from their portfolios, [Amy delved into how flexible withdrawal systems may be able to help](. Also, retirement aficionados, mark your calendars for next Tuesday, when the three of us will be discussing the research in [a LinkedIn Live event]( registration is required.) Another conclusion from that research was that retirees needn’t push the pedal to the metal with equities to enjoy a high starting withdrawal percentage. In fact, the highest safe withdrawal percentages corresponded with a pretty conservatively positioned portfolio. John Rekenthaler delved into the assertion that stocks will always beat bonds [in this useful article](. Finally, long-term care is an easy topic to avoid. If you’ve had experience with loved ones who have needed care, you no doubt found the experience stressful and depressing; pondering our own incapacity isn’t pleasant, either. And the cost! All the same, I hope that you’ll listen to [the conversation that Amy Arnott and I recently had on the topic with Howard Gleckman, an expert on aging](. He helped us examine the long-term-care problem from all angles: the role of cognitive decline, where people receive care, caregivers, and of course the financial piece. I think you’ll find it well worth your time. With warm regards, Christine Benz [Our Best Investment Portfolio Examples for Savers and Retirees]( This series of portfolios from Morningstar's director of personal finance Christine Benz can help investors reach their financial goals. [Discover More]( Share: [facebook]( [twitter]( [linkedin]( ADVERTISEMENT [media]( [media] [Tax-Deferred Retirement-Bucket Portfolios for Mutual Fund Investors]( These portfolio mixes are geared toward retirees with different time horizons and risk tolerances/capacities. [Show Me More]( [Tax-Deferred Retirement-Bucket Portfolios for ETF Investors]( These portfolio mixes are geared toward retirees with different time horizons and risk tolerances/capacities. [Explore Now]( [3 Tax-Efficient 'Bucket' Portfolios for Retirees]( Our model portfolios are designed to facilitate in-retirement cash flows—and to limit Uncle Sam’s take. [See Portfolios]( [3 ETF Retirement Bucket Portfolios for Taxable Accounts]( These tax-efficient portfolios are geared toward retirees who are seeking simplicity and balance. [Read More]( [How Did the Bucket Portfolios Perform in 2023?]( The portfolios thrived in the ‘everything rally,’ but defensive attributes held back relative returns. [Find Out Here]( [The Best Flexible Strategies for Retirement Income]( Is a more dynamic approach to retirement spending right for you? [Get Strategies]( [Stocks Have Not Always Beaten Bonds]( How relevant are the experiences of other countries and other eras? [Should You Care?]( [Howard Gleckman: ‘We Pretend This Isn’t a Problem’]( An expert on aging discusses long-term care in the U.S., including the toll on caregivers, innovations in Alzheimer’s disease treatment, and the financial ramifications for older adults. [Listen Now]( [Retirees: Here’s What Your Portfolio Withdrawal Rate Should Be in 2024]( Guaranteed income sources like Social Security and annuities can impact portfolio spending. [Watch Here]( Listen Now Get the latest investing insights and market updates with [Morningstar’s podcasts]( available on your iPhone, iPad, Android, PC, or smart speaker. Stay connected: [twitter]( [facebook]( [linkedin]( [instagram]( [YouTube]( [Apple News]( [View online]( | [See all newsletters]( | [Share your feedback]( [Unsubscribe]( from this newsletter. Or update your [email preferences](. © 2024 Morningstar, Inc. All Rights Reserved. 22 W. Washington St. Chicago, IL 60602