Search found 119 matches

by Kevin K
Mon Oct 19, 2009 4:12 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

I'm with you Lbill but I don't think any of us are going to change each other's minds about this. Investing according to global market capitalization, to me, is simply not playing favorites in a world where as we have certainly seen in the past ~18 months all markets are interlinked. If you're tryin...
by Kevin K
Fri Oct 16, 2009 7:28 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

I seriously considered VT for the equity allocation and may kick myself one day for not embracing its elegant simplicity. In the end, since I am mostly investing in a taxable account and can choose anything, I decided on a more complex 5 fund approach very much along the lines of what Trev H recomme...
by Kevin K
Wed Oct 14, 2009 8:00 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

The gold piece on your blog is fantastic Craig! I hereby nominate you and Medium Tex for some sort of sainthood for the fantastic job you do in taking Harry Browne's work into the 21st century. I really appreciate it.

Kevin
by Kevin K
Wed Sep 30, 2009 2:57 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

"Past performance should not be seen as an indicator of future growth because more often it isn't. If gold and LTB's are amongst the highest performers over the last 30 years, then expecting that relative out-performance to repeat over the next few decades is perhaps a little optimistic at best." Ma...
by Kevin K
Wed Aug 26, 2009 9:38 am
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Thanks for the interesting comments, Tramper Al and Lbill. With respect to the T Bond I'm attached to, I think at a certain point I will just reclassify it as cash. It certainly seems ludicrous to cash it in given what MMs and CDs are paying. RE: the gold and silver ETFs, it just underscores Browne'...
by Kevin K
Sat Aug 22, 2009 9:42 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Hi Medium Tex-

Yes, about 65K, which just makes me all the more reluctant to sell it. Still I know the PP strategy requires selling your 30 year bonds when they have 20 years left on them and this one has 14 years left.

Kevin
by Kevin K
Sat Aug 22, 2009 6:56 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

A couple of unrelated question on the long-term Treasuries: 1. I can buy individual bonds in the aftermarket through Schwab without paying a commission. I assume I just buy a recent 30 year bond? 2. I have 50K tied up in a 30 year Treasury I bought long ago. It matures in 2023 so according to the PP...
by Kevin K
Sat Aug 22, 2009 5:45 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

I did a lot of research on this and for me the choice came down to Bullionvault or Goldmoney (.com). I chose Bullionvault due mostly to easier funding options (you don't have to pay for a wire transfer and can use online bill pay), and I use that for physical gold (40% of my gold allocation) and CEF...
by Kevin K
Mon Jul 20, 2009 2:03 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Thank you glaser1873 and Clive for your thoughtful, helpful responses. Much appreciated.

Kevin
by Kevin K
Mon Jul 20, 2009 9:12 am
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

From what I gather even those who consider themselves "PP purists" aren't above a little bit of tweaking of the portfolio (e.g. a small allocation to international equities, or substituting ST Treasury bonds for MM funds to bump the yield of the cash portion). As someone in the process of converting...
by Kevin K
Fri Jul 17, 2009 5:26 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Thanks for this Roy. I'm sorry I even brought up Wellesley but at least it gave you a great opportunity to remind us of just how easy it is to choose a simple index fund portfolio that will do the same job without style drift or manager interference.

Thanks!
by Kevin K
Fri Jul 17, 2009 4:23 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Thanks MediumTex for your thoughts (and for so many great posts in this thread - I'm truly grateful!). I've had similar thoughts, especially because the stock allocation is entirely dividend oriented, and as we know dividends are pretty much a thing of the past unless you get into exotic sector stuf...
by Kevin K
Fri Jul 17, 2009 2:48 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Thanks Lbill for all the backtesting! To me there are at least two questions about the % allocation to gold going forward. One, as you say, is accounting for the one-time effect of gold becoming legal for private citizens to own starting in 1974. We've seen a more than 35x increase in the value of a...
by Kevin K
Thu Jul 09, 2009 1:10 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

With respect to MarcMyWord's question: I've just instituted the PP and yield completely to CraigR, Medium Tex and the other vastly more knowledgeable posters here about the details, but I humbly disagree with using PRPFX because its allocation is NOT the Permanent Portfolio. Not only will the ER eat...
by Kevin K
Wed Jul 01, 2009 4:19 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

From what I can tell this is true of GLD and IAU but not of the closed-end funds CEF and GTU. The latter clearly do own the physical metal to back up their share price but from the most important difference between them and owning metal in a safe deposit box or the equivalent via, say, Julias Bauer ...
by Kevin K
Wed Jul 01, 2009 12:56 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

gold allocation in the PP

I'm in the process of instituting the PP and the only problematic area for me is the gold. I've followed up on all the links and done a lot of poring over prospectuses (prospecti?) for GLD and IAU. While we maintain a U.S. mailing address my wife and I live in Mexico full-time, so needless to say co...
by Kevin K
Sat Jun 27, 2009 2:10 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Hi Don, I have read all of the previous posts in both threads carefully. The FTSE All World Index used for VT covers domestic, developed international and emerging markets according to their market caps so it's not directly comparable with the other allocations mentioned. I guess one would need to r...
by Kevin K
Sat Jun 27, 2009 12:38 pm
Forum: Investing - Theory, News & General
Topic: Updated Modification of Harry Browne Permanent Portfolio
Replies: 3555
Views: 1395989

Back to the stock allocation discussion if you don't mind. I have limited access to Vanguard funds through Schwab and it'll be awhile before I can get switched to Vanguard. I can buy VFINX, VISVX and VTRIX but can't access VFSVX (I think these are the funds for the LB/SV/ILV/ISB split). Alternativel...
by Kevin K
Fri Jun 26, 2009 9:14 am
Forum: Investing - Theory, News & General
Topic: Matrix Redux: The Larry-Browne Permanent Portfolio
Replies: 66
Views: 108762

your thoughts on VT for stock portion of the PP

Thanks to everyone who posted on both this thread and the previous 21 page epic. I've learned a lot. As a recent refugee from a 10 "slice" DFA equity portfolio I am eager to make my stock allocation "as simple as possible but no simpler." I'm tempted to just put everything into the new-ish Vanguard ...