Portfolios

There are only 4 kinds of capital markets and you can win if you can find 4 uncorrelated assets for each phases of the market which make more money in their respective cycles than they lose during other phases. Here's an example (I have a better one - DM me if you want to see it): 1. Rising rates (inflation): Rising rates means USD is in demand ($UUP) 2. Falling rates (deflation): Money is shifting away from bonds to stocks but there will be winners and losers in this market. Managed long/short (e.g. $QLEIX) is a good idea. 3. Flattened high-rates (recession): Buy gold/commodities ($LCSIX) or consumer-stapes/utilities 4. Flattened low-rates (prosperity): Buy growth stocks ($VOOG or $PGTYX)

GMP x2

Global Market Portfolio

Inspired by Taleb's Barbell. We put 5% in 3x leveraged risky bets (TECL,USD,FAS,CURE) and rest 95% in super safe (e.g. low vol. SVARX, anti-beta BTAL, commodities LCSIX and dollars UUP and gold UGL)

This is a leveraged alternative to the classical [40/60 Portfolio](/portfolio/stocks-bonds-40-60). It is implemented without borrowing money at the portfolio level but using leveraged ETFs. Note that leveraged ETFs may involve a substantial risk of loss and are not suitable for all investors.