Accumulation and Distribution Stages

5) The fifth tenet of Valuation-Informed Indexing is that it is important to distinguish between the Accumulation Stage of our investing life-spans and the Distribution Stage of our investing life-spans.

Here is a timely reference for those approaching retirement:

Quote: When valuations are very high, as they are today, the stocks have a substantial downside risk and they are likely to do about the same as a 100% TIPS portfolio.

Numbers for Transition Planning
Numbers for Transition Planning

The general distinction pops up all over the place. Don’t overlook our research sections.

From Current Research B, Keeping In Tune with the Human Element, Updated August 21, 2005. Scroll down to the section about You Can't Count on 7% Articles.
Keeping In Tune with the Human Element

I recommend that you start by reading this short article: Edited: You Can’t Count on 7%: Dollars
Edited: You Can’t Count on 7%: Dollars

Have fun.

John Walter Russell
November 7, 2005