Why would anyone invest in these funds?

Discussion in 'Trading' started by Maverick1, Oct 30, 2017.

  1. srinir

    srinir

    #111     Nov 3, 2017
  2. alexpun

    alexpun

    Well I have used this calculators long ago. That's why I always question people when they bring up "terrible" Nikkei's return. Nikkei is actually go up more than S&P when both are denominated with yen or dollar.
     
    #112     Nov 3, 2017
    comagnum likes this.
  3. srinir

    srinir

    Getting back to the main point about the thread, even with that spectacular return of Nikkei over 40 years investor couldn't survive less than 2% safe withdrawal rate over 30 years.

    That is the power of diversification. Same investor with few international stocks and bonds along with their own country bonds would have fared much better.

    Anyway yesterday's article from RA probably relevant to this thread
    http://bit.ly/2zduV5B
     
    Last edited: Nov 4, 2017
    #113     Nov 4, 2017
  4. Daal

    Daal

    You know, by this logic, gold has no place in a portfolio which is ridiculous
     
    #114     Nov 6, 2017
  5. 777

    777

    Ray Dalio has some gold as a diversifier/insurance even though he sees bets with higher expected value.

    Protecting large amounts of money against tails is important to some rational people.

    Buffett, who I greatly admire as an investor/speculator and as a person, handles things differently and does not own gold.

    However, Buffett thinks a lot about risk and tail risk.
     
    #115     Nov 11, 2017