For this week’s special episode, Adam, Mike, Rodrigo and Richard gathered to explore the building blocks of an ultimate All Weather portfolio. Our conversation included:

• The blind spots of the 60/40 stock-bond portfolio
• Regime dependency and economic shocks
• Diversifiable versus non-diversifiable risks
• How to create an optimal portfolio that can navigate most regimes
• Why Global Risk Parity is the natural starting point for any investor with a long-term view
• Different ways to implement Risk Parity
• Time horizons and rebalancing
• Tactical tilts and the beta-alpha continuum
• Yield as another proxy for risk
• Global Carry as a complement to risk parity beta
• The Existence Proof as a threat to alpha
• Trend following, seasonality, carry, counter-trend, relative value and volatility
• Why one man’s alpha can sometimes be another’s (smart) beta
• Ensembles and thinking beyond traditional factors
• Considering speed and size
• And much more

This is “ReSolve’s Riffs” – live on YouTube every Friday afternoon to debate the most relevant investment topics of the day, hosted by Adam Butler, Mike Philbrick and Rodrigo Gordillo of ReSolve Global* and Richard Laterman of ReSolve Asset Management Inc.

 

*ReSolve Global Inc. refers to ReSolve Asset Management SEZC (Cayman) which is registered with the Commodity Futures Trading Commission as a commodity trading advisor and commodity pool operator. This registration is administered through the National Futures Association (“NFA”). Further, ReSolve Global Inc. is a registered person with the Cayman Islands Monetary Authority.