15-50 Rule of Investing

I first heard this investing principle from finance YouTuber Andrei Jihk.

The principle goes that if you plan to live for at least 15 more years, then 50% of your investing portfolio should be in stocks.

And for people trying to understand how much money they can have in retirement and not run out of money, the 4% rule (or 4.5% rule) states that you can withdraw 4-4.5% of the value of your investing portfolio and never run out of money in the account. 

If you have $1 million in a retirement portfolio, using the 4% rule, you could withdraw $40,000-45,000 per year.

Dividend investors also like to get to a magic number of having their portfolio yield about 4% in dividends. This alloes an investor to theoretically live off the dividends and not need to sell the stocks.