Episode 248: Crazy Rising Rate Funds, Levered Constructions, Correlation Data Anomalies And Portfolio Reviews As Of March 24, 2023
Risk Parity Radio
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How to Hedge Interest Rate Risk With New ETFs
The new 5050 portfolio is either underweight 21% or overweight 33%, depending on whether you count the leverage in the 2x 2x long currency ETFs. CCOR omitted for back testing purposes. Below is a back test of the new 5050 portfolios against the S&P and my default accumulation portfolio of similar structure. All these are constructed a little bit differently, although they do all or are all highly correlated because they do tend to go up in value substantially when interest rates going up.
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