Do You Have a Team?

There's a whole other component of risk called risk capacity, meaning you just might not have the time to recover if it takes a long time for a market to recover. Especially if you're living off of these resources in retirement,. pay attention to that second component of risk, which is risk capacity. If you look at the chart on the screen right now, if you think back to 2008, great recession, market lost almost 40%. Instead of having to make 67% to get back to break even, you'll have to make 25%. Again, at 9% average rate of return, you're back to breaking even in two and a half years.