“Normal” retirees have to shift their holdings into low-risk investments because they cannot tolerate volatility, but rich folks have so much stored up that they do two things differently. First, the ultra-rich only need to preserve a fraction of their holdings to maintain their lifestyle. They can tolerate a much higher risk level and so keep much of their investment portfolio—typically well over half—fully engaged in stock and bond markets. Second, the rich are far more likely to realize they can’t take it with them, and there’s no reason to die with $100 million in the bank.
