Apparently, this permanent portfolio will go through the whole economic cycle in regardless the bull or bear market. Nonetheless, it will not bring big win or big losses & it’s only suitable for those passive investors contented to earn probably 8 to 9% on the compounded yearly basis.
For those people who wish to follow this strategy, the whole setup consists to invest the money in 25% stocks, 25% bonds, 25% gold and 25% cash.
Whatever which one goes up to 35% from 25%, gain of 10%, the decision is to sell & take the profit
Whatever which one goes down from 25% to 15%, loss of 10%, the decision is to buy due to discount.
And it only requires rebalancing once in a year.
It’s that simple and easy & wishes that I could be so lazy to be aware of this strategy when I started investing.