Is It Time For PRPFX To Shine?

Discussion of funds that implement the Permanent Portfolio strategy

Moderator: Global Moderator

Post Reply
User avatar
MachineGhost
Executive Member
Executive Member
Posts: 10054
Joined: Sat Nov 12, 2011 9:31 am

Re: Is It Time For PRPFX To Shine?

Post by MachineGhost » Sat Jun 06, 2015 9:00 am

Desert wrote: We should start an all world fund that just buys everything.  As you said, other than the original purchases, we wouldn't have to do anything.  Just sit back and count those ER dollars flowing in.
Cullen has since updated (Jan this year) and simplified the global financial asset portfolio:

[align=center]Image[/align]
"All generous minds have a horror of what are commonly called 'Facts'. They are the brute beasts of the intellectual domain." -- Thomas Hobbes

Disclaimer: I am not a broker, dealer, investment advisor, physician, theologian or prophet.  I should not be considered as legally permitted to render such advice!
User avatar
sophie
Executive Member
Executive Member
Posts: 1959
Joined: Mon Apr 23, 2012 7:15 pm

Re: Is It Time For PRPFX To Shine?

Post by sophie » Sat Jun 06, 2015 10:08 am

That's the problem with the Boglehead portfolios.  How often do they get "adjusted" in response to the latest thinking about what an optimal portfolio should be?  Which probably involves a healthy dose of market timing, which could also be described as selling low and buying high.

I'm purposely trying to blind myself to the flood of recommended portfolios, to keep myself from tinkering with simple 3 fund lazy portfolio I set up in my 403b.  I wish Vanguard had an autorebalance feature the way TIAA CREF does, so I wouldn't have to do any monitoring other than to log in occasionally to get messages and record the balance for my asset spreadsheet.
"Democracy is two wolves and a lamb voting on what to have for lunch." -- Benjamin Franklin
User avatar
MachineGhost
Executive Member
Executive Member
Posts: 10054
Joined: Sat Nov 12, 2011 9:31 am

Re: Is It Time For PRPFX To Shine?

Post by MachineGhost » Sat Jun 06, 2015 11:18 am

sophie wrote: That's the problem with the Boglehead portfolios.  How often do they get "adjusted" in response to the latest thinking about what an optimal portfolio should be?  Which probably involves a healthy dose of market timing, which could also be described as selling low and buying high.

I'm purposely trying to blind myself to the flood of recommended portfolios, to keep myself from tinkering with simple 3 fund lazy portfolio I set up in my 403b.  I wish Vanguard had an autorebalance feature the way TIAA CREF does, so I wouldn't have to do any monitoring other than to log in occasionally to get messages and record the balance for my asset spreadsheet.
FWIW, Vanguard came out with a global financial asset portfolio that was virtually the same as what Cullen did, so I think we can safely say either one is a true passive global financial portfolio that never needs changing or rebalancing.  So we add cash and real assets in the PP and this is our active approach vs the passive reference.  I'm tempted to invest in the global financial portfolio just to be a masochist (I don't believe in market-cap weighting).
"All generous minds have a horror of what are commonly called 'Facts'. They are the brute beasts of the intellectual domain." -- Thomas Hobbes

Disclaimer: I am not a broker, dealer, investment advisor, physician, theologian or prophet.  I should not be considered as legally permitted to render such advice!
HB Reader
Executive Member
Executive Member
Posts: 336
Joined: Fri May 07, 2010 7:34 pm

Re: Is It Time For PRPFX To Shine?

Post by HB Reader » Fri Jun 26, 2015 3:45 pm

Does anyone recall any postings showing the annual results of a pairing of PRPFX with EDV or TLT (say 90/10 or 85/15)?

I thought I had seen one or two, but can't seem to find them.
User avatar
mathjak107
Executive Member
Executive Member
Posts: 4456
Joined: Fri Jun 19, 2015 2:54 am
Location: bayside queens ny
Contact:

Re: Is It Time For PRPFX To Shine?

Post by mathjak107 » Fri Jun 26, 2015 4:29 pm

bndx does not have enough ooomph when called upon to fly fighter cover for a portfolio. it can't really do the heavy lifting  long term treasury's can.

about the best thing you can say for it is it isn't stock. it may not take away a whole lot in a downturn but it can't add much either.

while bnd was up a bit in 2008 many other total bond funds were down as they acted more like stocks then bonds.
User avatar
MediumTex
Administrator
Administrator
Posts: 9096
Joined: Sun Apr 25, 2010 11:47 pm
Contact:

Re: Is It Time For PRPFX To Shine?

Post by MediumTex » Fri Jun 26, 2015 9:22 pm

HB Reader wrote: Does anyone recall any postings showing the annual results of a pairing of PRPFX with EDV or TLT (say 90/10 or 85/15)?

I thought I had seen one or two, but can't seem to find them.
I believe it was close to the end of the massive PP thread over on the BH forum.
Q: “Do you have funny shaped balloons?”
A: “Not unless round is funny.”
Post Reply