Why buy 25yr bonds? Just buy 30. No laddering needed for the Bond portion of the PP.

You can consider laddering your Cash portion.

My understanding is that in a flat market, XIV will do very well. But in a situation where stocks are dropping, won't holding XIV magnify your losses?

kbg, does your personal mix still include XIV? If so, can you describe how much what this is supposed to add to the leveraged PP?
I'm sure you've already explained this but I am having a hard time finding the post in this thread...

Hasn't kbg already shown that for trending non/inversely correlated assets, the decay actually works in your favor? I'd be most worried when all PP assets are in a sideways market.

Let me try another way of explaining my point: ... If you reworked your excellent website such that all backtesting results started in 1975, the results of *comparisons* of various portfolios would change dramatically. ... Tyler has a graph that actually tracks Start Date Sensitivity https://portfo...

Answers to many of these questions used to be listed in the full Cash FAQ on crawlingroad.com, but it seems like all of that material has been removed. The best way to get get the details on the Permanent Portfolio is probably by reading Craig and MediumTex's book. https://www.amazon.com/Permanent-P...

This message states that Fidelity does add a markup to bonds purchased on the secondary market. I assume this is placed on the Bid/Ask price listed.

https://www.fidelity.com/about-fidelity ... -investors

I was once told by a forum member named Joe that commissions aren't the only type of charge. Brokerages can also apply a markup on treasury transactions. I am also with Fidelity and am not exactly sure if they apply markups to treasuries on the secondary market. For that reason, it may be slightly b...

jafs wrote: I still don't buy it, though, even conceptually.  Banks have to have more money coming in than going out, since they're in business to make money, not to lose it or just break even.

You should read this: http://www.relfe.com/wp/money/want-earth-plus-5/

Thanks, Jake! Just grabbed a copy and am enjoying it so far!

Eh? Google Finance shows +6.19% YTD
https://www.google.com/finance?q=MUTF%3 ... 2AaAg5HwBQ

Not sure why Google Search shows -6.58%.

I don't really understand the fuss... Those charts make it look like the Japanese and Swedish PP are GREAT investments!

MangoMan wrote: Btw, why does your post count show '2'? At one point you had around 30 posts IIRC.

It looks like a bunch of his posts were deleted. Not sure why.

You could play with this idea at Tyler's www.portfoliocharts.com
Just go to the calculator section and put in whatever asset allocation you would like to backtest.

For bonds, similar: 1. Directly held 2. TLT 3. Non-treasury Non-treasury bonds are really not appropriate when building the PP for a variety of reasons. https://web.archive.org/web/20160324133409/http://www.crawlingroad.com/blog/2009/02/09/permanent-portfolio-25-bond-allocation-faq/ Everything else...

Under-performance can be either due to larger than average losses or lower than average gains. Using absolute momentum could give rise to a situation where lordmetroid is out of an asset that is gaining due to not hitting a certain trigger, correct? Investing is totally personal and while you might ...

The main draw of the PP is it's incredibly low volatility. This psychological benefit helps us stick with it (not change strategies) when it under-performs because we know it provides safety under different economic conditions. You've already switched portfolios multiple times so I am wondering if y...

I am really uncomfortable holding gold and long bonds in another currency. As far as I know gold is gold, doesn't matter what currency the etf uses. The returns are the same when converted to your own currency. Holding IAU doesn't expose you to any currency risk. I agree with the others, stick with...

You are very correct. Thanks for not taking offense at my comment :) Some other thoughts: 1. Can you implement a US Permanent Portfolio from Sweden? You already hold Gold and US Long Bonds so you are only missing the US Stocks portion; maybe you can find an appropriate index fund. User LC475 believ...

After a year of passive investment using the Permanent Portfolio I frew tired of loosing my hard earned money. So in November I switched to an Absolute Momentum Portfolio and begun worrying about my money on a daily basis. When the market tanked at the beginning of the year I sold. The following da...

There is no approach with PP assets that will avoid all tax issues. You could hold the entire PP in an HSA. Contributions, earnings, and withdrawals are tax-free  ;) I just re-read the question and I think we're getting off topic here. Is the OP just asking if rebalancing in a tax-deferred account ...

Almost all portfolio backtesting research ignores taxes since those are very much dependent on individual circumstances. You can just take the results from www.peaktotrough.com and assume they are for a tax deferred account.

ZedThou wrote: I will see it in a week or two, trying to avoid crowded theaters.

In the meantime I am trying to avoid any spoilers...

Maybe avoid clicking on threads titled "Star Wars" 

I might not be reading your charts correctly, but couldn't expected out-performance of the 3x Parity PP and the Tilt PP relative to the HBPP be due to not having a cash/short term treasury component?

The following is my opinion only:

Dissenting opinions = fine
Thread jacking = Depends on the circumstance. Sometimes it happens accidentally and often times not a big deal.
Purposely thread jacking every thread = Absolutely not fine and ban-worthy