Comments on: The Average Return Fallacy http://blog.canadian-dream-free-at-45.com/2009/08/26/the-average-return-fallacy/ Wed, 08 Feb 2012 17:31:40 +0000 hourly 1 http://wordpress.org/?v=3.1 By: Canadian Dream http://blog.canadian-dream-free-at-45.com/2009/08/26/the-average-return-fallacy/comment-page-1/#comment-32241 Canadian Dream Wed, 02 Sep 2009 12:08:04 +0000 http://blog.canadian-dream-free-at-45.com/?p=926#comment-32241 EoW, You have a few options on how to handle it. You can save less than you can to hold some in reserve in case you don't need it. Or pick a lower return average than you expect to get. If you expect 6% perhaps choose 4% that way you should be exceeding your goals most of the time. Beyond that there isn't a lot of adjustments you can do. Save and wait for the right time when it comes. Tim EoW,

You have a few options on how to handle it. You can save less than you can to hold some in reserve in case you don’t need it. Or pick a lower return average than you expect to get. If you expect 6% perhaps choose 4% that way you should be exceeding your goals most of the time.

Beyond that there isn’t a lot of adjustments you can do. Save and wait for the right time when it comes.

Tim

]]> By: Evolution of Wealth http://blog.canadian-dream-free-at-45.com/2009/08/26/the-average-return-fallacy/comment-page-1/#comment-31977 Evolution of Wealth Sat, 29 Aug 2009 14:33:31 +0000 http://blog.canadian-dream-free-at-45.com/?p=926#comment-31977 I think you make some good points in your post. My question is, is luck the only way to plan? You said you might be above or below the 5% and then how to adjust if you are below. Is there a better way to plan? A way to make sure you are above the 5% rather than just runing projections that can never happen (i.e. 5% straight line return)? I think you make some good points in your post. My question is, is luck the only way to plan? You said you might be above or below the 5% and then how to adjust if you are below. Is there a better way to plan? A way to make sure you are above the 5% rather than just runing projections that can never happen (i.e. 5% straight line return)?

]]> By: Weekly Dividend Investing Roundup – August 29, 2009 | The Dividend Guy Blog http://blog.canadian-dream-free-at-45.com/2009/08/26/the-average-return-fallacy/comment-page-1/#comment-31964 Weekly Dividend Investing Roundup – August 29, 2009 | The Dividend Guy Blog Sat, 29 Aug 2009 11:02:45 +0000 http://blog.canadian-dream-free-at-45.com/?p=926#comment-31964 [...] The Average Return Fallacy [...] [...] The Average Return Fallacy [...]

]]> By: Friday’s RR Top 5 | Realizing Retirement http://blog.canadian-dream-free-at-45.com/2009/08/26/the-average-return-fallacy/comment-page-1/#comment-31915 Friday’s RR Top 5 | Realizing Retirement Fri, 28 Aug 2009 12:02:04 +0000 http://blog.canadian-dream-free-at-45.com/?p=926#comment-31915 [...] Canadian Dream: Free at 45 writes about The Average Return Fallacy [...] [...] Canadian Dream: Free at 45 writes about The Average Return Fallacy [...]

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