Why the 60/40 Portfolio Is Failing Retirees (And What to Do Instead)

Описание: This episode focuses on what retirees (and those within 5–10 years of retirement) should pay attention to in today’s market—and what they should ignore. Jeff’s core message: news cycles and market narratives change fast, but a retirement plan should be built around what you can control—income, protection, and taxes.

Key takeaways:

Don’t let headlines drive decisions. A well-built plan reduces the need to react to volatility, politics, or “market noise.”

Sequence-of-returns risk matters more in retirement than average returns. Even if markets “average” well, the order of returns can derail withdrawals.

The classic 60/40 portfolio has faced challenges. Bonds haven’t reliably cushioned downturns when rates rise, and both stocks and bonds can be “risk assets.”

Modern diversification = purpose-based buckets. Jeff emphasizes separating money needed for income from money earmarked for long-term growth, and using principal-protected tools where appropriate.

Listener Q&A highlights real-life planning. Topics include “Am I ready to retire?”, budgeting for retirement lifestyle, and how to balance cash, risk, and income once paychecks stop.

Tax planning starts early (January matters). The show closes with practical reminders about contribution timing, Roth planning, and building a multi-year tax strategy rather than waiting until December.

00:00 Welcome: Markets, Retirement Income & Taxes
00:45 The Only Things Retirees Should Focus On Right Now
02:15 Trying to Time the Market? Here’s What Usually Happens
04:20 Wall Street vs. Your Retirement: Who Wins?
07:35 The Rule: Don’t Risk the Money You Need

13:13 Is the 60/40 Portfolio Broken in 2026?
13:40 Bonds Didn’t Protect Investors (Here’s Why)
15:55 The “Safe” Side Isn’t Always Safe
18:55 How to Reduce Bond Risk Without Going to All-Cash
22:31 What Real Diversification Looks Like Today

25:28 Listener Q&A: $3M at 71 — Can I Retire Now?
31:10 Your “Retirement Avatar”: What Will You Actually Spend?
34:57 Retired + Heavy in Cash: Invest More or Play Defense?

38:32 The Tax Move Most People Miss in January
39:06 Last-Year Deductions: What You Can Still Do
41:06 Roth Conversions: When It Makes Sense (And When It Doesn’t)
45:35 Why Waiting Until December Can Cost You
46:51 Next Steps: Retirement + Tax Strategy Review
47:52 Disclosures & Legal Notes

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