Episode 251 - The Importance of True Liquidity in Retirement

In this episode, Ryan Burklo discusses the importance of true liquidity in retirement. He explains that while pre-retirement, short-term volatility can be addressed due to a longer time horizon, withdrawals from market-based assets in retirement can compound the effect of market losses and increase the risk of running out of money. Burklo provides an example to illustrate this concern. He suggests setting up a true liquidity fund alongside retirement accounts to have access to funds that are not correlated with the market. Burklo emphasizes the need to set up this fund prior to retirement to manage risks and live a more comfortable life. If you would like to learn more about Quantified Financial Partners, please visit our website www.beerandmoney.net

Takeaways

True liquidity is important in retirement to avoid compounding the effect of market losses and increase the risk of running out of money.
Setting up a true liquidity fund alongside retirement accounts provides access to funds that are not correlated with the market.
It is crucial to set up the true liquidity fund prior to retirement to manage risks and live a more comfortable life.
Having different access to money with different risk profiles gives flexibility in both pre-retirement and retirement.

Chapters

00:00 Introduction: The Importance of True Liquidity in Retirement
04:32 Setting Up a True Liquidity Fund for Retirement