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What's the safe withdrawal rate danger zone?

Summary by Monevator
This is part two of a series about the safe withdrawal rate (SWR) for a portfolio in drawdown, and how to improve it. Unfortunately I set the cause back a bit in the first part, when I showed that the UK safe withdrawal rate is quite dismal – just 3.1% for 30-year spans, versus the commonly cited and far cheerier 4% rule that’s derived from US data. On the other hand, it’s possible to argue that all safe withdrawal rate strategies are excessivel…
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Monevator broke the news in on Tuesday, April 22, 2025.
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