Avoiding Sequence of Return Risks & The Math That Matters in Retirement

This week’s Common Sense Investing Show delved into the practical realities of retirement planning, emphasizing the importance of clear-eyed math and stress testing your portfolio. Victor McClure and Steve Ringo discussed the critical concept of "sequence of returns," explaining how even a single down year can drastically alter retirement outcomes despite strong average returns. The show highlighted the psychological hurdles retirees face, especially the anxiety of living off assets versus a paycheck, and stressed the value of cash flow and secure income sources. Listeners were encouraged to take advantage of resources like portfolio stress tests and Victor’s book, Common Sense Investing Guide to Retirement, to help avoid costly mistakes and ensure both confidence and comfort in retirement.

The team also addressed timely topics such as the end of the Windfall Elimination/Government Pension Offset. Drawing from recent retirement studies, they noted how more people are retiring earlier—sometimes by choice but often due to health or employer changes—and discussed the financial and emotional implications of such transitions. Throughout the episode, Victor and Steve underscored the necessity of having a written, regularly updated retirement plan that factors in taxes, inflation, market volatility, and changing personal circumstances, so listeners can chart a stable and satisfying path toward their retirement dreams.


For more information about Victor McClure, Steve Ringo and the McClure Capital team, visit https://mcclurecapital.com/