Risk of drawing to much from an investment

An investor must preferably not draw more 6% of his investment as an income, otherwise he or she runs the risk of experiencing a reduction of income at an age where it is impossible to do anything about it.

From Greece to Italy

Two thousand years ago, the world was ruled by the Romans.  Across Europe, from East to West, into Africa, and even including England, it amounted to roughly 1 in 4 people alive on the Earth who lived under Roman Law.  The Roman Empire was one of the largest and most enduring.  It is not only because of this central position that Rome played that we have the saying about all roads leading to Rome.  Their engineers were in fact one of the greatest road-builders in human history, building over 80 000km of roads.

So it saddens the history-loving heart to witness what has become of this once great Empire.  Reduced to petty political squabbles, and being amongst the most indebted countries on Earth, forced to defend its best intentions and actions from the marauding bands of bond vigilantes.  To say nothing of course of the plight of their creditors, who sit quivering at the looming prospect of Italy not being able to fund itself.

Yes, in this great financial crisis, it will be in Italy that the endgame will be fought.  So perhaps it is fitting that the saying “being thrown to  the wolves” also originates from the activities held in the Roman Colosseum.  Perhaps we should rather point to another idiom, that of the chickens coming home to roost.  The famous question will perhaps one day be asked : Why did the chicken cross the (Roman) road?  “Why, to get a haircut, of course!” will be the answer.

Source: Atlantic Asset Management