Post
by MachineGhost » Sat Oct 10, 2015 2:51 pm
Here's some comparison stats since 1989:
Buy and Hold S&P 500: 10.31% CAGR, Net Profit: $1,533,071.92
60% Bonds/40% Stocks: 10.00% CAGR, Net Profit: $1,413,755.83 <-- Outperformed 100% Equity in Great Bond Bear (If Leveraged)
60% Bond/30% Stock/10% Gold: 9.42% CAGR, Net Profit: $1,217,727.22 <-- Risk Parity Proxy, Nearly Matches 100% Equity at Half Risk
40% Stock/30% Bonds/20% Gold/10% Cash: 8.82% CAGR, Net Profit: $1,038,843.42
40% Bonds/30% Stock/20% Gold/10% Cash: 8.65% CAGR, Net Profit: $992,412.50
35% Bonds/25% Stock/20% Gold/20% Cash: 8.14% CAGR, Net Profit: $862,454.38 <-- Risk Parity PP with Harry Browne PP Risk
Harry Browne PP: 7.71% CAGR, Net Profit: $764,654.12
That cash and gold sure does kill the PP.
Last edited by
MachineGhost on Sat Oct 10, 2015 4:14 pm, edited 1 time in total.
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