Author Topic: Asset allocation/yield calculator  (Read 727 times)

Captain Cactus

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Asset allocation/yield calculator
« on: October 04, 2021, 01:05:00 PM »
Hello,

Tried to find something online but couldn't so I figured I'd try here.  I'm looking for an online calculator that would allow my mother to enter in various asset allocations, dollar amounts, etc... to get a sense of what her monthly/annual income might be be given the asset allocation/dollar amount entered.  This will help her visualize how aggressive she could be, taken into account her social security income and her cost of living, etc...

Any recommendations?

Financial.Velociraptor

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Re: Asset allocation/yield calculator
« Reply #1 on: October 04, 2021, 01:21:10 PM »
Is she against selling shares for income?  Sounds like you are looking for truly passive income (total return includes capital gains/losses!)  If she is dead set against selling investments, her risk tolerance is probably not suited to the stock market and she would be better off with an insurance company annuity.  These can be structured to support RMDs.  That is what I did with my Dad's money.  We had several talks about investing a portion for growth and his only criteria was "it can NEVER go down. It is everything I've worked for all my life!"   Return is an abysmal 3% or so but it doesn't go down with the broad market in a crash.  It is "enough" with SS to permit him a modest but comfortable lifestyle where he buys a new vehicle (cash) every 7 to 10 years or so.  And he can never "run out of money". 


Captain Cactus

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Re: Asset allocation/yield calculator
« Reply #2 on: October 04, 2021, 01:42:58 PM »
Hey thanks...I actually found what I was looking for right on Vanguard!  Who knew!

boarder42

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Re: Asset allocation/yield calculator
« Reply #3 on: October 04, 2021, 01:55:13 PM »
https://www.portfoliovisualizer.com/

quite a few options here from monte carlo to actual backtest.

Rob_bob

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Re: Asset allocation/yield calculator
« Reply #4 on: October 04, 2021, 04:27:01 PM »
Is she against selling shares for income?  Sounds like you are looking for truly passive income (total return includes capital gains/losses!)  If she is dead set against selling investments, her risk tolerance is probably not suited to the stock market and she would be better off with an insurance company annuity.

I don't really think that says much about her risk tolerance.  I don't sell shares for income and I'm about 97% equities and 3% cash.  When I don't need to sell anything to pay the bills stock price volatility means less to me.