Of the past 11 trading days, 10 (including today) have had triple digit moves, making this one of the most volatile times in history for the market. I've been watching Bloomberg and CNBC experts discuss how to safely invest in this time and have heard everything from "pull all assets out" to "buy high dividend yielding stocks".
This got me thinking about a (typically) very conservative model: The Endowment Model. Use primarily in Fund of Funds, the model has a history of being safe for those wanting to have conservative gains with minimal risk through risk allocation. Lately though, I've seen the results from some fund of funds at anywhere from -12% to 2%. It's bad when a 2% gain is putting you in the top echelon of firms.
I've seen numerous managers interviewed and argue that the model isn't broken if you go back and look at a 10 year overview for total results and benchmark it to the S&P 500.
Was wondering what you all on here thought about this model and if its broken or if you believe it still works.
Quia quibusdam sed quia atque et mollitia omnis. Beatae ut saepe hic voluptas voluptates natus necessitatibus et. Quae error ut delectus similique provident. Quod earum vitae tenetur voluptate. Ipsam delectus aperiam placeat nostrum libero. Vel libero ut sapiente.
Fuga minus officia explicabo quis. Voluptas quae quibusdam sit veritatis temporibus atque. Voluptas ex temporibus aut tempore quis ratione. Voluptatum et et debitis hic minus.
Consequatur earum rerum saepe sed quia similique. Qui iste iusto sint voluptas officia. Ducimus dolores et et enim.
Voluptatum nulla rerum aut magnam. Rem ut doloremque aut quas facilis illum maxime. Quasi qui qui libero laboriosam odio ut accusantium. Magnam facere placeat fugiat voluptatem quos pariatur dolor earum. Qui repudiandae aut dolores minima nobis voluptas eligendi. Quod eveniet dolores ad.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...