New York University
Stern School of Business Conference
May 1st 2008
The Optimal Retirement Withdrawal Strategy
To determine the algorithm, or at a minimum, establish the inputs and the
calculations
necessary for an individual to decide where they would access
money from in retirement.
Twenty-First Securities sponsored a conference that focused on the retirement phase of life rather than the accumulative, investment phase. A principle issue was that the order in which a retiree withdraws funds from her taxable and tax-advantaged retirement accounts can substantially affect the total amount of funds available for spending throughout retirement.
Investment News article on the conference approach and goals.
Conference agenda along with a compilation of listed participants, bios, published papers and presentations used at the conference, additional reading matter and value added contributions from other sources.
was presented.
View the ORP slides and the accompanying notes:
- Power Point Slide Show
- Microsoft Internet Explorer.
To best view the slides using Microsoft Internet Explorer:
- Enable Active X controls when the question is presented at the top browser page before the first slide.
- Raise the lower boundary of the slide area to view the notes that accompany each slide at the bottom of the page..
- All other browsers should use the pdf version.
ORP Challenged: An important question to come out of the conference was: "How much does an optimal withdrawal strategy increase funds available for spending?" To address this question a conventional retirement calculator, compatible with ORP, was constructed. Some experiments were run using the conventional calculator as the control and measuring ORP's improved solutions. Some results are reported here.
Conference sponsor: Twenty-First Securities is a multi-faceted brokerage and investment organization dedicated to achieving superior returns while managing risk.
Twenty-First Securities
780 Third Avenue, 35th Floor
New York, NY 10017-7043
212.418.6000