All Weather Portfolio Strategy Explanation Video
The All Weather Portfolio, which was created by Ray Dalio, seeks to offer investors a smoother ride across the economic cycle by investing in asset classes that perform well in both inflationary and deflationary environments. It invests in US stocks, long-term-bonds, intermediate-term bonds, commodities and gold.
Since 2006, this portfolio has returned 5.5% per year, underperforming its benchmark by 1.0%
Year | Portfolio | 60/40 |
2007 | 11.1% | 6.0% |
2008 | -0.4% | -21.0% |
2009 | 1.1% | 17.3% |
2010 | 14.5% | 11.7% |
2011 | 17.6% | 5.0% |
Year | Portfolio | 60/40 |
2012 | 7.1% | 11.0% |
2013 | 0.3% | 17.5% |
2014 | 11.5% | 10.5% |
2015 | -4.2% | 1.1% |
2016 | 7.8% | 8.3% |
Year | Portfolio | 60/40 |
2017 | 10.9% | 14.2% |
2018 | -3.6% | -2.3% |
2019 | 18.2% | 22.0% |
2020 | 16.6% | 14.3% |
2021 | 6.9% | 16.3% |
2022 YTD | -20.0% | -16.9% |