The problem with that strategy is you're only going to get around 4% to "live off the income". Which is fine if you've got the money. If this woman had $1,000,000 and wanted $40,000/yr then she'd be laughing. But since she'll be withdrawing principle every year the fluctuations of a 100% stock portfolio aren't ideal (see 2008, and 2001, and 1982....). I've owned mutual funds for the past 10 years and I've made over 50% (not ideal given the time frame but I've doubled since the 2008 drop). She clearly just has bad funds.