David Blanchett

Risk is traditionally defined as volatility, but that only describes one aspect of risk. Not owning an asset that subsequently outperforms could trigger an emotional response, such as regret, that resembles a reaction to more traditional definitions of risk.
INSIGHTS FROM CFA SOCIETY SINGAPORE

Considering regret in optimal asset allocation for portfolios

Assets that inspire the most regret tend to be more speculative in nature. Risk levels may rise when regret is taken into account in portfolios

Retirees typically have some ability to adjust their spending and withdrawals to prolong the life of their portfolios.
INSIGHTS FROM CFA SOCIETY SINGAPORE

Redefining the retirement income goal

Greater flexibility needs to be built into tools and metrics that advisers use to advise clients