Risk Parity Radio

Episode 274: The Pitfalls of Retirement Calculators and Being Unrealistically Conservative, AI Musings And Portfolio Reviews As Of July 7. 2023

Jul 9, 2023

39:06

AI Chapters

Episode notes

Introduction

2min

The Importance of a Risk Parity Style Portfolio Calculator

4min

The Problems With Calculators

3min

How to Use a Crystal Ball to Calculate Returns

2min

How to Use a Crystal Ball to Predict Future Returns

3min

How to Use Financial Calculators

2min

The Importance of Reducing Your Spending

1min

The Probability Effect and the Sequence of Returns Risk

2min

How to Use Calculators to Get Results That Are Not Making AnySense

2min

10.

The Risk Parity Style Portfolio

2min

11.

The Top 5 Regrets of Dying

2min

12.

How to Avoid Myopic Fixation on Finances

2min

13.

The Importance of Ergoticity in Investment Philosophy

2min

14.

The Importance of Market Deficiency

2min

15.

Artificial Intelligence and the Future of Personal Finance

2min

16.

Portfolio Reviews of the 7 Sample Portfolios

3min

17.

The Leveraged Portfolio: How to Balance Your Portfolio

2min

18.

Risk Parity Radio: Happy Happy Joy Joy

2min

In this episode we answer questions from Shplendid Spencer, Russel and MyContactInfo. We discuss the pros and cons of online calculators and how they are commonly inadequate and/or misused, why being conservative beyond realistic possibilities is probably not a good idea overall, and an article by Aswath Damodaran about Nvidia, the chip industry and the implications of AI for DIY investing. CORRECTION: I said the Heat Map calculator was at Portfolio Visualizer -- it's actually at Portfolio Charts at the link below.

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:

Spencer's Tool Link: Rich, Broke or Dead? Post-Retirement FIRE Calculator: Visualizing Early Retirement Success and Longevity Risk - Engaging Data (engaging-data.com)

Similar Portfolio Visualizer Analysis Tool: Asset Liability Modeling (portfoliovisualizer.com)

Tyler on Security Analysis Podcast: Tyler (@PortfolioCharts): The Amazing Power of Uncorrelated Assets (securityanalysis.org)

Portfolio Charts Heat Map Tool: HEAT MAP – Portfolio Charts

Article on The Top Five Regrets of the Dying: The Top Five Regrets of the Dying - Wikipedia

List of Cognitive Biases: The Prospecting Lens - Prospecting Mimetic Fractals

Aswath Damodaran Article: Musings on Markets: AI's Winners, Losers and Wannabes: An NVIDIA Valuation, with the AI Boost! (aswathdamodaran.blogspot.com)