- The WSC Inflation Proof Retirement Portfolio (IPRP) is designed to perform reasonably well during a high inflationary market environment.
- The aim is to generate enhanced and stable returns above the average inflation rate and to minimize potential losses, even during times when the overall inflation expectations remain quite low.
- For conservative investors at or near retirement, inflation can be the biggest threat, since many of them have converted much of their portfolio into bonds.
- Fixed income investors searching for a strong alternative in a high inflationary market environment.
- The portfolio balances its underlying assets to create the most diversified portfolio within a given investment universe. This is done by maximizing the diversification ratio, which is the sum of the weighted asset volatility divided by the portfolio volatility.
- For further information, please visit our Seeking Alpha blog or download our article “The Most Diversified Inflation-Proof Retirement Portfolio!” as pdf-file.
Favourable Market Environment:
- High inflationary market environment.
- Low correlation between asset classes.
Challenging Market Environment:
- Low inflationary market environment.
- High correlation between asset classes.
- The allocation of the portfolio is updated on the last Friday of every month.
- The performance calculation is based on the assumption that a new allocation advice is executed at the closing price on that day. No rebalancing is made in between.
- 20% Dividend Stocks (DVY)
- 20% Gold (GLD)
- 60% TIPS (TIP)
- The performance and risk figures are updated on a weekly basis. For further information please visit our FAQ page.