Risk Paroty Portfolios in the 19 Seventies?

5min Snip

00:00

Play full episode

Summary

Transcript

Episode notes

Portfolio visualizer and portfolio charts are great for back testing numerous asset classes to the 19 seventies. i am curious about back testing a risk paroty portfolio for early retirement years like 19 29, 19 37, 19 65, 19 66 and 19 68. I read erne's article about the benefits of adding ten to 15 % gold, though, and it seems his estimate for the golden butterfly's performance going back to the 19 twenties was that in the worst year, which happened in the 19 thirties,. This result could be interpreted as good or bad, depending on if the retire didn't mind portfolio depletion versus wanting to preserve more of their initial investment. But the four point

In this episode we answer questions from Alexi, Vaughn, Yamini, Jamie (x2) and Adam. We discuss merger arbitrage as an asset class, the Macro-Allocation Principle applied to an accumulation portfolio, the benefits of investing in insurance companies, tail risk parity and the my favorite science paper and considerations about the lack of really old data.

And THEN we our go through our weekly portfolio reviews of the seven sample portfolios you can find at Portfolios | Risk Parity Radio.

Additional links:

Alexi's podcast reference: Why Merger Arb Works (aqr.com)

Alexi's correlation analysis of merger arbitrage funds: Asset Correlations (portfoliovisualizer.com)

Artemis Capital Research Page: Research & Market Views — Artemis (artemiscm.com)

Artemis Hawk and Serpent Paper: DocSend

Correlation Analysis of Insurance ETFs: Asset Correlations of KBWP (portfoliovisualizer.com)

Tail Risk Parity Paper: Tail Risk Parity (alliancebernstein.com)

More Is Different Science Paper: anderson72more_is_different.pdf (tamu.edu)

Kitces Article re 4% Rule: Can Morningstar's Withdrawal Rate Report Refute The 4% Rule? (kitces.com)