There was an asset allocation thread on the forums and I suggested the bucket approach to retirement spending would take on less risk than the aggressive equity portfolio mentioned.

Here is the bucket approach:

You create different pools of money. The most common I have heard is three.

There is a cash bucket. This is where "next years expenses" are and more than likely is 2-3 years expenses, and this is a cash account/taxable account.

There is an income bucket. The goal of this bucket is to replenish the cash bucket. The general goal is to have the interest and dividends from this bucket replenish bucket #1, and have bucket #2 grow in value at a moderate amount (maybe 4% paid in interest and appreciation of 2-3% per year). This bucket is probably allocated around 20-80 to 40-60 (stocks-bonds).

The third bucket is a growth bucket. The goal is to assign any volatile assets to this bucket, and only withdraw from this bucket in two cases:
1) must be an UP year in the market
and
2) bucket 2 needs more money to allow the income generation to keep up with inflation. It's possible this allocation is 100% equities, or it could be a stable value portfolio with stocks, bonds and commodities.

A person would assign 2-3 years expenses to the cash bucket
A person would assign enough money to second bucket to generate the income needed.
The remaining money is allocated to bucket 3.

Bucket 3 is kept in tax defferred or tax free accounts as long as possible.

Bucket 2 is tax defferred and taxable. RMDs would be taken from bucket 2.