Why are tilters getting throw in with timers in this thread? I think those are very different things. I tilt slightly to US (2/3 US to 1/3 international) because I plan to spend mostly dollars the rest of my life. I think that's a good enough reason and not sure why you seem to equate that decision with market timing 3X leveraged forex puts.Seems like we take great pride in not timing the market and accepting what it gives by not tilting in favor of certain asset classes but most Bogleheads hold a disproportionate % or 100% US equities, don’t hold global bonds, and have timed the market by not holding much in the way of real assets and in particular commodities.
That bet has worked out for 40 years no doubt but it is tilting and timing. If you hold a 60/40 of US stocks and treasuries, you’re under diversified or over exposed to US market risk and inflation. Again, that’s been a good bet but it’s a bet not “holding the market portfolio.” Cullen Roche has done some good writing on this.
[Title edited by admin Alex]
Statistics: Posted by White Coat Investor — Sun Sep 29, 2024 8:38 pm