Retirement is a milestone that many workers dream of, but making the transition smoothly requires smart financial planning. Retirees must consider their life expectancy, inflation, recurring costs, and other factors to ensure their savings last. However, a new study challenges the standard advice on how best to invest during retirement.

Researchers from the University of West Florida looked at five different investment “glide paths” to see how they would hold up against market swings and other risks. Their findings suggest that a different approach might work better than the traditional advice most financial advisers give today.

Gradually more cautious

The standard strategy is a “decreasing glide path,” where retirees reduce their exposure to stocks as they age, moving into safer bonds over time. One common rule is to subtract your age from 100 to get your recommended stock percentage, which means that by age 100, you’d be entirely in bonds.

But the study points in another direction. The researchers suggest that an “increasing glide path,” which raises the portion of stocks over time, might be the better option for retirees who have Social Security income as a backup.

The thinking here is that retirement portfolios are most vulnerable in the early years, when big losses could seriously harm long-term income. Starting with a conservative investment mix protects against this risk. Later in retirement, when income needs are more predictable, retirees can afford to add higher-risk investments with better growth potential.

The researchers note that most advisers are still wary of this approach. But retirees could benefit from asking their advisers about it, especially given the study’s findings.

Shifting balance

The study also explored how Social Security changes the stock-bond balance in a portfolio. Since Social Security offers steady income, retirees don’t need to rely as heavily on investment income, which lets them focus more on building wealth.

For retirees who want to leave an inheritance, this strategy is especially useful. A portfolio that factors in guaranteed income like Social Security can start with a higher stock allocation, even for cautious investors.

The paper uses computer simulations to test thousands of scenarios, exploring the effects of different withdrawal rates, initial savings, risk tolerance, and inheritance goals. By comparing five glide paths—including rapid and slow increases and decreases, as well as a constant approach—the study makes a case for rethinking how retirees can invest to maximize both income and security in their later years.