Search found 219 matches

by Hal
Tue May 24, 2011 7:30 am
Forum: Permanent Portfolio Discussion
Topic: PP for Old Age Pensioner
Replies: 17
Views: 4280

Re: PP for Old Age Pensioner

We do not seem to have the age of the pensioner.  For my elderly mother I do not want to be responsible for any loss even temporary of capital.  Anything volatile is therefore out.  At my suggestion all her savings have been fed gradually into the UK equivalent of I-Bonds. Thanks for the suggestion...
by Hal
Mon May 23, 2011 6:31 pm
Forum: Permanent Portfolio Discussion
Topic: PP for Old Age Pensioner
Replies: 17
Views: 4280

Re: PP for Old Age Pensioner

What is the investment objective of the $20K for the pensioner?  Income?  Preservation of capital? PRPFX declined 25% in value when the S&P 500 declined 50% during the depths of the financial crisis (I presume the 4x25% version declined in a similar fashion). I think the objective is more capital p...
by Hal
Sun May 22, 2011 9:34 pm
Forum: Permanent Portfolio Discussion
Topic: PP for Old Age Pensioner
Replies: 17
Views: 4280

Re: PP for Old Age Pensioner

Hi MediumTex,

She has no debt and the (very modest) house is paid for.
Other than the 20K, no other assets.

Hal
by Hal
Sun May 22, 2011 8:59 pm
Forum: Permanent Portfolio Discussion
Topic: PP for Old Age Pensioner
Replies: 17
Views: 4280

PP for Old Age Pensioner

Hello All, Just after some opinions regarding the PP for an old age pensioner with a small amount of funds. Would it make sense to set up a PP with around $5000 in each of the four investment categories (20K total). After being asked about this, I am wondering if it wouldn't be just as effective to ...
by Hal
Thu May 19, 2011 9:57 pm
Forum: Gold
Topic: How to hold physical gold / silver
Replies: 32
Views: 7684

Re: How to hold physical gold / silver

After asking a few people whose parents lived through the 30's Depression and WW2 their view was: "Gold and Silver are great for preserving wealth so it can be used after a crisis, however when the SHTF you want food to trade" They got out of Europe with enough gold coins to start their life again, ...
by Hal
Wed May 18, 2011 7:01 pm
Forum: Gold
Topic: How to hold physical gold / silver
Replies: 32
Views: 7684

Re: How to hold physical gold / silver

Thanks for the ideas,

As a beginner to the PP, is the gold/silver holding an investment (in which case larger size coins/ bars would be more suitable) or is it insurance in case fiat currency becomes worthless (in which case small silver 1 oz coins would be more useful)?

Hal
by Hal
Sun May 15, 2011 6:53 pm
Forum: Gold
Topic: How to hold physical gold / silver
Replies: 32
Views: 7684

Re: How to hold physical gold / silver

Thanks for the comments, However......  the Perth Mint sells small 1 oz bars, or 1 oz gold coins, so it was really a choice between those! If I had 400 oz bars I would be off living somewhere in the Pacific Islands  :) (definitely not working!). With the silver, I was thinking of getting 10 oz bars,...
by Hal
Sat May 14, 2011 4:54 pm
Forum: Gold
Topic: How to hold physical gold / silver
Replies: 32
Views: 7684

How to hold physical gold / silver

Hello All, I am in the midst of setting up the gold section of the permanent portfolio and was interested in your opinions. At the moment I have some unallocated gold / silver at the Perth Mint and wish to take delivery. Harry recommended 1 Oz gold coins.  However, the fabrication cost for a coin is...
by Hal
Sat May 14, 2011 4:11 pm
Forum: Bonds
Topic: Bonds 10 year Japan/Australia
Replies: 4
Views: 2706

Re: Bonds 10 year Japan/Australia

Thanks Clive, It makes sense now. If you hold to maturity, the yield is the main factor. Therefore, if you get similar yields between, say 5 and 10 year bonds, the shorter dated bonds give more flexibility. And you are ready to take advantage of higher yields on longer dated bonds if the opportunity...
by Hal
Sat May 14, 2011 2:35 am
Forum: Bonds
Topic: Bonds 10 year Japan/Australia
Replies: 4
Views: 2706

Re: Bonds 10 year Japan/Australia

Thanks for the extra infromation Clive, I am finally starting to understand the bond concept, especially the holding to maturity compared to the trading approach. Just two queries; 1. When you have to rebalance the portfolio, do you simply sell off the bonds that have had the highest increase in val...
by Hal
Tue May 10, 2011 5:52 am
Forum: Bonds
Topic: Bonds 10 year Japan/Australia
Replies: 4
Views: 2706

Re: Bonds 10 year Japan/Australia

Thanks for the most informative posts! I should have been more careful with my terminology. I was meaning a deflationary depression in the first post. Clive, it makes sense now that I realise there is a significant difference between holding to maturity compared to trading LT bonds. When it comes to...
by Hal
Tue May 10, 2011 2:53 am
Forum: Bonds
Topic: Bonds 10 year Japan/Australia
Replies: 4
Views: 2706

Bonds 10 year Japan/Australia

Hello all, After recently coming across this site I have been reading the Bogleheads Thread about the Permanent Portfolio. In this, it discussed that mid range bonds (10 year) at an allocation of 50% perform very similar to the 25% Cash, 25% 30 year bonds method. This is especially relevant when you...