In this episode, we talk all weather investing with Standpoint’s Eric Crittenden. We discuss the case for an all weather strategy relative to a stock and bond portfolio, the challenges of looking different than the market, portfolio construction, international diversification, leverage, the characteristics of a good back test and a lot more.
- 01:52 – What is an all weather strategy?
- 03:48 – The blind asset class taste test
- 06:30 – Why do investors resist all weather strategies?
- 10:00 – Building an investing strategy for what is plausible
- 18:00 – Combining stocks and bonds with managed futures
- 19:13 – Managed futures and Dennis Rodman
- 22:39 – The benefits of international diversification
- 25:17 – The benefits of investing in currencies
- 26:55 – Portfolio construction in managed futures
- 29:21 – Lookback periods in trend following
- 32:26 – Eric’s thoughts on leverage
- 35:14 – All weather portfolios and sustainable withdrawal rates in retirement
- 36:42 – Tail risk strategies and all weather investing
- 39:05 – The characteristics of a good back test
- 46:40 – What investors should look for in all weather strategies
- 51:53 – The one lesson Eric would teach the average investor
