Nine Years…

Today marks the ninth year of The Bedokian Portfolio blog. For this anniversary post, I will touch on our definition of retirement and some updates on our Bedokian Portfolio.

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Definition Of Retirement

Most people reach a stage in their professional lives known as retirement, which is typically defined as leaving one's job and ceasing regular employment. Many view retirement as an opportunity to step away from work routines and spend time differently. However, some may encounter challenges such as difficulty adjusting to new daily structures or uncertainty about how to spend their time, potentially due to a lack of post-retirement planning.

Our definition of retirement consists of two parts: reaching financial independence so that employment income is not required as the main source of funds, and gaining the flexibility to engage in preferred activities, including continued work if desired. For the first part, achieving financial independence often involves alternative sources of cash flow, such as investment portfolios or income-generating assets. The second part is qualitative and it relates to identifying personal goals and experiences previously unattainable due to work commitments.

Continuing to work after retirement remains an option, either for supplementary income or personal fulfillment, but one may choose to leave or change jobs if existing roles become physically or mentally demanding. The objective is to enable a fulfilling post-retirement life distinct from prior work routines. If continued employment is motivated solely by financial necessity or there is no structured plan for retirement activities, then one may not be fully prepared for this phase.

Our Bedokian Portfolio So Far

Despite geopolitical tensions and economic uncertainties, the bull run in the U.S. and our local markets continued, and these greatly contributed to our Bedokian Portfolio (and other portfolios in our Portfolio Multiverse, too). Our Bedokian Portfolio value as of 26 July is just around 8% shy of our 2028 year-end target, around three and a half years later.

As shared in this post we used an annual return of 4% for projection, which I guess for most people is conservative. We would prefer to stick to this number as it acts as a buffer should our portfolio value heads south in later years, and if the portfolio size grows more than expected, the plus point is that we may consider an earlier step-down point.

Cheers to all!