What would you put in a 100-year portfolio?
“The optimal portfolio, since 1929, included risk weighted combinations of Domestic Equity (24%), Fixed Income (18%), Active Long Volatility (21%), Trend Following Commodities (18%), and Physical Gold (19%). This allocation is highly unorthodox compared to a Traditional Pension Portfolio dominated by equity Linked Assets (73%) and Fixed Income (21%).”
USAGOLD note: “On a long enough timeline every strategy sucks,” quips RCM Alternatives on Artemis’ approach to the 100-year portfolio. That explains the 19% portfolio commitment to physical gold, the portfolio inclusion for all seasons.
Repost from 2-24-2020