14 Responses

  1. Happy Easter.



    Are we likely to have the email notifications resolved any time soon? It is no too problematic logging in at end of weekend for the weekly video, but not very efficient to stay on top of intra-week changes.



    Thanks in advance.

  2. Andy / Nick –

    I’ve been a subscriber for a few months, and am feeling evermore comfortable with the communication / cadence / process.

    My next point of curiosity is the min / max allocation % for the major asset classes. I understand EQUITIES will never go below 20%, and I assume DEBT / COMM / GLD can all be 0% as appropriate. But, I do not have a concept of the upper allocation limits.

    Can you speak to the hi / lo allocation ranges we might experience in the 2GB portfolio?

    Thanks.

    /MCS

    1. Depends entirely on circumstances. In deflationary risk off periods it is entirely possible to have an allocation to bonds of 80% and in inflationary regimes to have up to 30% in gold and commodities, with nothing in nominal bonds and a little in TIPs. Something like 1/3 in each gold, Tips and equities. Conversely, in periods of strong growth and low inflation, a 70-80% allocation to equities would seem appropriate. I doubt it could ever go above that because then there would be no margin of safety and the portfolio would be unbalanced and would run big drawdown risk, regardless of the reward.

  3. Hello guys, hope you’re doing great. I’m new around here and my portfolio is very different from yours, I have no equities at all, I have a lot of gold and short term junk bonds. However, I subscribed to invest my money like you guys do. Do you have a recommendation on how to transform my portfolio into yours? I mean, you have equities, but I cannot buy equities right now at these prices. What can I do?

    1. What can I tell you? As your short term bonds mature, slowly shift your allocation towards ours? That is if you don’t want to do it all at once. Your gold is doing great, no need to rush there. And the junk must have a nice yield…I see no reason to dump that either. Consider doing a small amount of switching every month.

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