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BUILDING A PORTFOLIO WISELY AND SAFELY

26 July 2009 by Cullen Roche 6 Comments

Excellent article here from the WSJ on building a portfolio by building a macro view and applying the correct puzzle pieces to it.  This is very similar to my own approach:

wise

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Comments
  • Rob

    Now we only need to figure out if we will get a goldilocks, deflation centric or inflation centric economy. I wish I had a three sided coin.

    07/26/2009 at 9:57 AM
  • santo kuma

    It is really interesting. Is “investing” still alive? I thgt the only thing alive is trading. Play it on a daily/short term basis. I am loosing confidence on buy and hold strategy.

    Its interesting to see that portfolio allocation is still written about. Sometimes I wonder if this is still relevant. The basis for this entire topic is historical data and we use it to predict the allocation for maximizing returns. Dont we know that history doesnt repeat?

    TPC, please write your experiences with Portfolio allocations. Guidance would be appreciated.

    07/26/2009 at 1:56 PM
  • Cullen Roche TPC

    Santo,

    Everyone is different. Not everyone can trade a portfolio. Thus, building a well diversified portfolio like this is a good option for a lot of people.

    07/26/2009 at 2:47 PM
  • Cullen Roche TPC

    Yeah Rob, they leave out a vital component: which macro theme are we going to get because if you’re wrong you’re going to be VERY wrong with some of these portfolios.

    07/26/2009 at 2:50 PM
  • CalvinTrager

    A coin has 3 sides, heads, tails, and the edge. I’d pick heads for Inflation, tails for Deflation, and Goldilocks if it stands on the edge (least likely, unless you’re LK.)

    07/26/2009 at 7:42 PM
  • Rob

    Which do you pick?

    07/27/2009 at 6:08 AM