Bad allocation gives you two wars at once, in Afghanistan and Iraq, and domestic financial meltdown.
This explanation is not convincing, since selecting a subset of fair allocations is formally equivalent to defining a full-blown albeit coarse ranking, with "good" and "bad" allocations.
To the investor already in REITs, it's probably not a bad idea to be on the lighter side of allocation.
Ren Cheng, chief investment officer for Fidelity's global asset allocation group, said he believed Fidelity had received a bad grade for risk because PlanSponsor had used a benchmarking system that unduly rewarded conservative investing.
"If you have a bad sequence of returns early in retirement, you would have a lower stock allocation when you are most vulnerable to losses," Mr. Pfau said, referring to their approach.
But if you don't trust yourself to make an allocation decision and stick to it, a target fund is not a bad idea.
"If you're in the right asset allocation," says Chalk, "[and] if you know why you're in the asset allocation you're in, I don't think letting it be is a bad thing at all".
Note that a suboptimal allocation leads to very different values of the cell radius of the different services, and hence to a bad estimation of the final radius.
That's a bad, bad, bad unit.
