Conserving Client Portfolios During Retirement [Paperback]

CFP William P. Bengen (Author)

Book Description

Publication Date: May 1, 2006

The leading edge of the baby boomer wave will pass through age 60 this year. Retirement looms large for them and the 20-year generation that follows. Although many in the generation have saved to supplement their retirement, they will probably live longer in retirement than any previous generation, so they must grapple with questions about how to manage that money and make it last. The purpose of this book is to present the author's groundbreaking research into this topic, presenting new material as well as an update of the original research in a comprehensive, authoritative form.

Editorial Reviews

Review

As planners confront the dubious task of helping their clients to safely withdraw income for retirement, William Bengen may very well be a luminary. His just released Conserving Client Portfolios During Retirement, a from scratch attempt to confront this dilemma, is likely to take its place in the canon of financial planning literature. Some of the MIT trained rocket scientist cum planner's research has been previously published in the Journal of Financial Planning, but those chapters have been meticulously updated, and there is plenty of new material. Using Ibbottson market data that reaches back to 1926, Bengen deflty dissects the retirement withdrawal dilemma into manageable layers. He arrives at the usual 4.15 percent "safe" withdrawal rate, but then shows how it can be adapted to any number of client profiles. The book's real magic is how Bengen weaves asset allocation, time horizon and other variables into his dynamic and thorough research to suggest formulas and methods, rather than arbitrary answers, for planning any given client's retirement withdrawal strategy. As with any good methodology, the book's findings can be used on the fly to recalibrate a withdrawal strategy for clients whose needs change mid flight. For the bulk of planners, trained more for accumulation than distribution, the book provides more than technical analysis; Bengen suggests intelligent ways to incorporate these strategies into conversations with clients facing these formidable decisions. Especially helpful is Bengen's methodology for predicting the probability of a given strategy's success. Remarkably, Bengen presents his complex findings, clever charts and all, in as tight and succinct a package as one can find in financial literature. --Marshall Eckblad, Financial Planning magazine, July 2006, p. 22

About the Author

William P. Bengen, CFP, is a sole practitioner in El Cajon, California. He is a fee-only personal financial adviser and member of NAPFA, the National Association of Personal Financial Advisors. Bengen received a B.S. from MIT in aeronautics and astronautics. He worked for 17 years with his family-owned soft-drink-bottling franchise firm in the New York metropolitan area, during which he served tenure as president and COO. Bengen migrated with his wife and two daughters to the gentler climes of Southern California, where he began his practice, earning his CFP certification in 1990 and his master's degree in financial planning in 1993. Bengen's articles and quotations have appeared in numerous publications, including the Journal of Financial Planning, Financial Planning magazine, The Wall Street Journal, Kiplinger's, and the NAPFA Advisor. He has presented his research on conservation of client retirement portfolios at financial planning conferences and meetings. Bengen is a member of the Editorial Review Board of the Journal of Financial Planning. He is a co-author of Topics in Advanced Model Rocketry, originally published by the MIT Press in 1973, and recently republished.

Product Details

• Paperback: 168 pages
• Publisher: FPA Press; 1st edition (May 1, 2006)
• Language: English
• ISBN-10: 0975344838
• ISBN-13: 978-0975344835
• Product Dimensions: 8.2 x 5.3 x 0.6 inches
• Shipping Weight: 11.2 ounces (View shipping rates and policies)
• Average Customer Review: 5.0 out of 5 stars  See all reviews (3 customer reviews)
• Amazon Best Sellers Rank: #949,942 in Books (See Top 100 in Books)

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Customer Reviews

Most Helpful Customer Reviews

14 of 14 people found the following review helpful:

5.0 out of 5 stars A must read for retirees, May 7, 2007

By 

R. Linek - See all my reviews
(REAL NAME)   

This review is from: Conserving Client Portfolios During Retirement (Paperback)

Every retiree concerned about making their assets last in retirement should read this book. It is ground breaking research that was originally done in the early 90's with all the data brought up to date combined with much new information that supplement and confirm the so called "4% solution". It will give you a clear understanding of withdrawal rates and how they affect the longevity of your invested portfolio based on real historical market data. It also gives good insight into how various investment vehicles impact overall returns and hence the ability to increase your withdrawal rate. It is a pricey book but if you read it carefully, it is more than worth its price and can provide valuable lessons for the remainder of your life. Though not a book about accumulating wealth, it is a very throughly done research about how to spend your wealth in retirement effectively. Very highly recommended.

13 of 14 people found the following review helpful:

5.0 out of 5 stars A must read for anyone thinking about, approaching or in Retirement, August 16, 2007

By 

M. Giannetto (Monmouth Junction, NJ) - See all my reviews
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This review is from: Conserving Client Portfolios During Retirement (Paperback)

This is an easy review to write so I'll make it short and sweet.

This book is probably worth more to me that every other book I have ever read on retirement planning (and I have read several dozen). Bill Bengen is a genius in the area of retirement planning and a pioneer in developing models to determine sustainable withdrawal rates. His work is considered by others (financial planners included) as the "gold standard". I cannot say enough about how much I learned from reading his book. It's simply a "must read".

You would be remiss (bordering on negligent) in not adding this tremendous work to your library.

4 of 9 people found the following review helpful:

5.0 out of 5 stars Great Advice, January 23, 2007

By 

Dick "Dick" - See all my reviews

This review is from: Conserving Client Portfolios During Retirement (Paperback)

Plenty of good research. Easy to understand. Very helpfull for our retirement planning. A best buy book!