I just checked my last 401k statement that happened to end right before I implemented the Permanent Porfolio, and the results aren't pretty. The CAGR was 3.23%. And the volatility was brutal. We're talking one month drops of 15% or more!
Since I've implemented the PP in this account, the performance has been exactly what the PP provides: nice smooth returns, and it's up 5.24% since June! It's a wonderful and very personal reminder about how not trying to beat the market can make you very dramatically beat the average investor, and you may accidentally beat the market in some years anyway.
Human behavior is economic behavior. The particulars may vary, but competition for limited resources remains a constant.
- CEO Nwabudike Morgan
Pointedstick wrote:
I just checked my last 401k statement that happened to end right before I implemented the Permanent Porfolio, and the results aren't pretty. The CAGR was 3.23%. :( And the volatility was brutal. We're talking one month drops of 15% or more!
Since I've implemented the PP in this account, the performance has been exactly what the PP provides: nice smooth returns, and it's up 5.24% since June! It's a wonderful and very personal reminder about how not trying to beat the market can make you very dramatically beat the average investor, and you may accidentally beat the market in some years anyway.
The PP can have many subtle positive effects on an investor.
It can give you a sense of confidence as an investor that you may never have felt before. It can also make you feel much more independent when you realize it is no longer necessary to even pay attention to financial news. I now flip past CNBC when changing channels in the same way that I flip past the Kardashian show.
For someone who knows nothing about investing except angst and uneasiness, the PP can provide an enormous sense of relief. I've tried it both ways, and I like life with the PP a lot better.
Q: “Do you have funny shaped balloons?”
A: “Not unless round is funny.”
And the volatility was brutal. We're talking one month drops of 15% or more!
