Fantastic article - balanced, clear logic and very well argued with excellent evidence. Much food for thought and has certainly got me thinking about my portfolio balance! Thank you so much for writing and sharing this.
Well said. Stick to the plan. If you don't have a plan, make one for the long term and stick to it. You should have considered that things like last week happen now and then. They'll happen again
Great article. I have felt more isolated over the years as I also agree the "fiscally conservative/socially liberal Republicans from the 1980’s and 1990’s" are going extinct.
It's also really interesting to consider personalities and tolerance for volatility in investing choices. Something I've been thinking about a lot... if I'm cut out to endure a 60+ percent drawdown.
What would you recommend to someone just starting out who has about 80% stocks / 20% cash position in their IRA and is looking to reallocate into the Weird Portfolio? Rip the band-aid off and rebalance all at once? Or rebalance over some period of time? Thx!
The weird portfolio isn’t the only answer, so I would absolutely evaluate other portfolios to see what else is out there. For taxable accounts, you should consult a tax advisor to see what the tax implications would be. Another good rule of thumb with these portfolios is to only change a portfolio at an all-time high to prevent yourself from reacting to fear and then intellectually justifying it.
Once a year is generally what I do in my retirement accounts. Rebalancing bands are another decent method - i.e., one asset rises or falls by 25% or more and then rebalancing kicks in.
Fantastic article - balanced, clear logic and very well argued with excellent evidence. Much food for thought and has certainly got me thinking about my portfolio balance! Thank you so much for writing and sharing this.
Thank you! Glad you found it helpful.
Great work VSG, thank you
Thanks!
Doing nothing is often the hardest, but often that is the best medicine. Good Article.
Well said. Stick to the plan. If you don't have a plan, make one for the long term and stick to it. You should have considered that things like last week happen now and then. They'll happen again
Great article. I have felt more isolated over the years as I also agree the "fiscally conservative/socially liberal Republicans from the 1980’s and 1990’s" are going extinct.
It's also really interesting to consider personalities and tolerance for volatility in investing choices. Something I've been thinking about a lot... if I'm cut out to endure a 60+ percent drawdown.
Thanks for writing! Really enjoyed it.
What would you recommend to someone just starting out who has about 80% stocks / 20% cash position in their IRA and is looking to reallocate into the Weird Portfolio? Rip the band-aid off and rebalance all at once? Or rebalance over some period of time? Thx!
The weird portfolio isn’t the only answer, so I would absolutely evaluate other portfolios to see what else is out there. For taxable accounts, you should consult a tax advisor to see what the tax implications would be. Another good rule of thumb with these portfolios is to only change a portfolio at an all-time high to prevent yourself from reacting to fear and then intellectually justifying it.
Great article, it's really a sad time for free market guys like us…
Regarding the Weird Portfolio have you ever considered the value factor also for large caps?
For my portfolio I was evaluating a version with global large cap Value ETF (developed + emerging markets) and international small cap value
How often do you recommend rebalancing? Once a year to avoid short-term capital gains tax? Another frequency?
Once a year is generally what I do in my retirement accounts. Rebalancing bands are another decent method - i.e., one asset rises or falls by 25% or more and then rebalancing kicks in.
Liked the dig on Youngstown where I was born. My father worked for the Youngstown Sheet & Tube…now long gone.