Permanent Portfolio in Europe (follow-up)

General Discussion on the Permanent Portfolio Strategy

Moderator: Global Moderator

User avatar
frugal
Executive Member
Executive Member
Posts: 894
Joined: Sat Nov 10, 2012 12:49 pm

Re: Permanent Portfolio in Europe (follow-up)

Post by frugal » Sun Mar 04, 2018 5:20 am

frugal wrote:
D.J. wrote:@frugal: I am comfortable with currency risk at 20% in USD, for the benefit of having exposure to US economy.

@WhiteElephant: If that's concerning local taxes, we have a fixed capital gains tax on everything so that does not affect me.

@stuper1: Thanks, good catch! I've changed that to iShares Treasure 20+ (TLT).

I've also added C3M (Amundi short-term bonds EUR) and SHV (iShares short treasury bonds USD) for cash allocation.
hi

what if one day 3 USD = 1 EUR ? (changed)

Do you think USPP will do better than EUPP ? Why?

Regards
D.J.
Junior Member
Junior Member
Posts: 10
Joined: Sat Mar 03, 2018 6:57 am

Re: Permanent Portfolio in Europe (follow-up)

Post by D.J. » Sun Mar 04, 2018 6:03 am

In that highly unlikely event, I would lose ~14% of the portfolio (but I'm sure the EU part would grow that much more as a consequence). I don't see any of those two extremes happening. That said, if I would have to bet on likelihood, I'd say it's far higher for the EUR to get devalued against the USD than vice-versa.
User avatar
frugal
Executive Member
Executive Member
Posts: 894
Joined: Sat Nov 10, 2012 12:49 pm

Re: Permanent Portfolio in Europe (follow-up)

Post by frugal » Sun Mar 04, 2018 11:18 am

D.J. wrote:In that highly unlikely event, I would lose ~14% of the portfolio (but I'm sure the EU part would grow that much more as a consequence). I don't see any of those two extremes happening. That said, if I would have to bet on likelihood, I'd say it's far higher for the EUR to get devalued against the USD than vice-versa.
I agree

do you have it in the same broker?

or one in US broker and another in EU broker?

Regards
D.J.
Junior Member
Junior Member
Posts: 10
Joined: Sat Mar 03, 2018 6:57 am

Re: Permanent Portfolio in Europe (follow-up)

Post by D.J. » Sun Mar 04, 2018 2:04 pm

Same broker. Haven't looked into other options yet. Need to start investing, then when the portfolio grows so will the diversification for all elements. :)
Post Reply