The Effect of Interest Rates on Risk Parity Portfolios

3min Snip

00:00

Play full episode

Summary

Transcript

Episode notes

Frank: I've been listening to your podcast for months now and have learned a lot. Michael Kitzis has a December 2013 article on risk parity portfolio, says volatility is something that can and should be managed. And second, any opinion on Bill Bernstein's new book and recommendations of holding only short term treasuries? Frank: Well, these are two very interesting topics. So I'm glad you raised them. Let's talk about the Kitzis article first.

In this episode we answer an email from Judy. We discuss a 2013 Michael Kitces article about risk parity, which aspects we have incorporated and which we have not (and why), and then talk about an interview of William Bernstein about his new book and some related thoughts and ramifications about bonds, crystal balls, annuities and other things. (Note: I think I said it was the 4th edition, but its really just the 2d.)

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:

2013 Michael Kitces Risk Parity Article: Microsoft Word - Kitces Report November-December 2013 - RISK PARITY - FINAL

Morningstar Long View Interview of William Bernstein: Bill Bernstein: Revisiting The Four Pillars of Investing | Morningstar

Morningstar Long View Interview of Aswath Damodaran: Aswath Damodaran: A Valuation Expert’s Take on Inflation, Stock Buybacks, ESG, and More | Morningstar

Factor Investing Book: Your Complete Guide to Factor-Based Investing: The Way Smart Money Invests Today by Andrew L Berkin | Goodreads

Support the show