So here goes with a multiasset portfolio in Euros. I already had small holdings of ETFs for China, Latin America and Japan, as well as two sectors, Health and Tech, so I added a few more ETFs and transferred some from my PP to generate a portfolio as follows:PS It seems to me that there are relatively few sane investing strategies that can be considered by a retired or retiring person - a non-gambler. The following come to mind:
The PP and variants - unbeatable in its historic low drawdown, and as good as many other portfolios in terms of return
Stocks and bonds 60/40 or similarly simple as championed by the Bogleheads
Stocks and bonds with other additions such as REITs (but little or no gold), such as Ivy, Larry and so on
Multiasset portfolios such as Merriman and 7-Twelve
Dividend stocks such as the Dividend Aristocrats, living off income from dividends, ignoring capital value, popular on Seeking Alpha.
The above could be managed actively or simply rebalanced.
I am considering multiassets for a complementary portfolio along with my dividend stocks. The other strategies in my view do not provide enough return or variation to make the increased drawdown risk worthwhile: they are not different enough from a PP. With dividend stocks, the drawdown is less important: dividend payouts hold up pretty well even during stock price crashes, and dividend-paying large-cap prices do recover eventually, as shown by the recovery since 2008-9.
EPA:RS2K AMUNDI RUSSEL 2K USA small cap
EPA:CEU AMUNDI ETF MS EUR EU big cap
EPA:MMS LYXOR SMALL CAP EU small cap
EPA:CV9 AMUNDI ETF EU VALU EU Value
EPA:TPXH AMUNDI TOPIX HDG x2 Japan
ETR:SPYX EM SMALL CAP
EPA:ALAT AMUNDI ETF EM LATAM
EPA:CC1 AMUNDI ETF MS CHN x0.5
EPA:TNO LYXOR ETF SX6 TECH
EPA:HLTW LYXOR ETF MSC WHC x2 Health
EPA:MTF LYXOR EUROMTS 15PY Long govt bond
EPA:GBS Gold Bullion Securities Limited
EPA:OILB ETFS OIL SECURITIES LIMITED ETFS BRENT 1MTH
EPA:C33 Lyxor3-5 Govt bonds x4
In summary, there is EU large cap, EU small cap, EU Value, USA small cap (I have USA large cap in a dividend portfolio), Emerging Markets (EM small cap, China and Latin America), sectors Tech and Health, long bonds, gold, oil and short bonds.
In Googlese, EPA is Paris Stock Exchange. Each ETF is about 5% of the total, with the exception of Japan, Health (x2=10%; I had these already) and short bonds (x4=20%) which are there to draw on when stocks everything else is down. I already had a small holding of a China ETF (2%).
This is an experiment as it is only a small percentage of my investments. I wanted to try it as a complement to the PP, especially as the Euro PP in recent years is not performing well. I intend to rebalance once a year, maintaining about 20% in short or relatively short bonds. I am not sure how to rebalance. Use 15-35% bands like the PP? Should I trim Japan and the Health sector ETFs, or just let them ride?
It is similar to the approach of Paul Merriman and Craig Israelsen (7Twelve). Eric@Servo (https://seekingalpha.com/article/401209 ... retirement) on Seeking Alpha goes into some detail on taking an income from a multiasset portfolio.