Actually, yes I believe it did.

Not in his book perhaps but it was suggested in an article online where he suggested replacing bonds with alts which can provide the ballast against poor equity returns.

cheezit wrote: ↑Wed Jul 08, 2020 8:14 am Here's what QSPIX has done when added to a 3-fund portfolio:

Fig. 1 - the effect of QSPIX in a portfolio. Volatility is reduced due to the low correlation of alts to stocks and bonds, but return is reduced due to the very poor performance of alts over the last 2 years.

Neat trick by reducing equity exposure and claiming QSPIX has reduced volatility, but your claim simply is false as evidenced by the numbers. A better result was achieved by using bonds alone.

VT 60% /BND 40%

5.49% CAGR

8.23% StDev

0.58 Sharpe Ratio

VT 60% / BND 30% / QSPIX 10%

4.90% CAGR. <--- lower returns

8.27% StDev <--- higher StDev

0.51 Sharpe Ratio

-------------------------

VT 55% /BND 45%

5.40% CAGR

7.59% StDev

0.62 Sharpe Ratio

VT 55% / BND 35% / QSPIX 10.00%

4.82% CAGR. <--- lower returns

7.62% StDev < --- higher standard deviation

0.54 Sharpe Ratio

Note:

Jan 2014 - Jun 2020 (life of QSPIX)

Neat trick by reducing equity exposure and claiming QSPIX has reduced volatility, but your claim simply is false as evidenced by the numbers. A better result was achieved by using bonds alone.

VT 60% /BND 40%

5.49% CAGR

8.23% StDev

0.58 Sharpe Ratio

VT 60% / BND 30% / QSPIX 10%

4.90% CAGR. <--- lower returns

8.27% StDev <--- higher StDev

0.51 Sharpe Ratio

-------------------------

VT 55% /BND 45%

5.40% CAGR

7.59% StDev

0.62 Sharpe Ratio

VT 55% / BND 35% / QSPIX 10.00%

4.82% CAGR. <--- lower returns

7.62% StDev < --- higher standard deviation

0.54 Sharpe Ratio

Note:

Jan 2014 - Jun 2020 (life of QSPIX)