Who Ate Joe’s Retirement Money? Sequence Risk and its Insidious Drag on Retirement Wealth
Wade D. Pfau
Defined Contribution (DC) plan participants are haunted by an invisible risk called sequence risk (sometimes called sequence-of-returns or path dependency risk), that is, getting the “right” returns but in the “wrong” order. Sequence risk in the retirement phase has been studied extensively.
Chiappinelli, Peter and Thirukkonda, Ram, "Who Ate Joe’s Retirement Money? Sequence Risk and its Insidious Drag on Retirement Wealth" (2015). In the News. 362.