Co-produced by Stanford Chemist. This article was originally released on December 14th, 2019.
The bucket strategy allows an investor to take advantage of higher-risk assets, while simultaneously making sure a retiree has enough cash for immediate needs. This isn't a new strategy or one that is hard to understand at all. It allows for three separate 'buckets' or portfolio allocations; short-term, intermediate-term and long-term needs. This approach can be most effective and least confusing if three accounts are set up. This isn't a must but it helps separate assets in an efficient manner. In