Tag Archives: Asset Allocation

What would the optimal portfolio allocation in gold have been according to Modern Portfolio Theory over several different periods of time? This article has a look at how an investor could have combined gold and equities to enhance risk-adjusted returns.

Fed Chair Bernanke vehemently denies that the Fed “monetizes the debt,” but our research shows the Fed may be increasingly doing so. We explain why and what the implications may be for the dollar, gold and currencies.

Bain & Co., the private equity firm that you might have heard of during the presidential campaign last year, has come out with a fascinating set of projections for the global capital markets...The generality of...the report [is that] the world is awash in money looking for someplace to invest that will earn a return and [that,] over the rest of this decade, the amount of money looking to be invested will grow by about 50%. What does that imply [and how should you therefore invest? This article addresses both issues well.] Words: 1349

MarketWatch's headine last Friday read You Have to Play to Win: U.S. stocks' stellar performance so far in 2012 is remarkable in part for the enemic trading volumns that have accompanied Wall Street's rise, and those on the sidelines, as with the lottery, stand no chance. I believe that this may be the single most deceptive and dangerous financial headline I have ever seen published by such an influential provider of financial information. [Let me explain why I think that is the case.] Words: 1232

Risk inherent to the entire market or market segment is referred to as systematic risk and modern portfolio theory says that a blend of investments has the potential to increase overall return for a given level of risk, and/or decrease risk for a given return that the investor is trying to achieve. The expected risk/return relationship is known as the efficient frontier. [If you have a portfolio of investments then you need to fully understand what all this really means and how you can apply it to your portfolio makeup to enhance returns under any circumstances. Let me do just that.] Words: 1325

Regardless of the size of your financial pyramid, without a core-holding foundation, you are building it on sand. Core holdings are for protection, not for profit. They function as insurance against a catastrophe. [Let me explain.] Words: 754