Sequence Rate of Return Risk
Submitted by Levy, Daniel & McGee Wealth Management on July 13th, 2020During the early years of your retirement, be extra conservative when drawing income from your investments. The reason is because a drop in the market value of your portfolio, when you begin taking withdrawals, could have a devastating impact on the future value of your investments. This is referred to as the sequence rate of return risk, and is unique for income investors.