Is your retirement roadmap determined by gossip and hearsay, or by math and science? Tune in as Renowned Retirement Specialist Curtis Cloke highlights the differences between new and old strategies and how you might find the best route for you!
The idea of investing separately into three time-specific buckets is simple. Known in the financial world as liability-driven investing, or LDI, the 3-Bucket Approach focuses not on maximizing total asset returns, but on addressing future liabilities, including home mortgage and living expenses, college tuition, healthcare expenses, and—the biggie—retirement income. By assigning a “bucket” to three unique time horizons and identifying expected (and unexpected) liabilities for each, you can use this approach to focus on ensuring the right amount of cash flow when you need it.