Replies to post #46489 on A.I.M. Users Bulletin Board (AIMUSERS)

[ls7550]

Hi Tom

He thinks he has it tough!!! I have a Triple Mandate!
1) Price Appreciation over Time
2) Dividend Capture over Time
3) Profitable Volatility Capture over Time

That's where the 3X leveraged funds don't cut it. No #2, Questionable #1 while working #3 as hard as possible. Plus high annual expense ratios.

2x half weighted works fine for me for price appreciation ... PV

Dividends ... and SWR drawn from total returns works great. 4% SWR = 4% of the initial portfolio value drawn as a DIY 'dividend', increase that amount each year by inflation as the amount drawn in subsequent years = regular inflation adjusted income/dividend

Yearly rebalancing back to 50/50 is a reasonable add-low/reduce-high mechanical trading method.

Yes the expense ratio is high, but when just 50% weighted that cost is more acceptable.

Another benefit is that when paired with physical in-hand gold, then total portfolio counter-party risk is reduced.

For 3x, just scale down the weighting to a third ... PV

Clive