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A safe savings rate

Sun, 03 Jun 2012 19:56:15 GMT

How much of your annual income should you save for retirement? On one hand you can take a conservative approach and assume a very low rate of return.  This is along the lines of what Zvi Bodie argues, and I personally work on the assumption that my portfolio will earn about 3% in real terms which means that I have to save more.  Contrary to Bodie though, I don't invest all in TIPs, instead I have a more typical asset allocation.  The trouble with this method is that you can...

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