Two Sides of FI cover image

Never Run Out of Money in Retirement - Use This Free FIRE Calculator!

Two Sides of FI

CHAPTER

How Does the Cape Ratio Work?

The cyclically adjusted price-to-earnings ratio or Cape. Historically the Cape ratio has been negatively correlated with the returns of equities. A high initial Cape ratio signals that retirees should probably be more cautious with their withdrawal rate. The next tab is SCR time series. This tab includes the SWR for all 1,700 plus months used in the simulation.

00:00
Transcript
Play full episode

Remember Everything You Learn from Podcasts

Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
App store bannerPlay store banner