Risk Parity Radio

Risk Parity Radio

Podcast af Frank Vasquez

Risk Parity Radio is a podcast about investing located at www.riskparityradio.com.  RPR explores risk-parity style portfolios comprised of uncorrelated or negatively correlated asset classes -- stocks, selected bonds, gold, managed futures, and other easily accessible fund options for the DIY investor.  The goal is to construct portfolios that are robust and can be drawn down on in perpetuity, and to maximize projected Safe Withdrawal Rates regardless of projected overall returns.

Prøv gratis i 7 dage

99,00 kr. / måned efter prøveperiode.Ingen binding.

Prøv gratis

Alle episoder

439 episoder
episode Episode 437: Wallowing In Your Generosity, Listener Portfolios, And Longer Retirements artwork
Episode 437: Wallowing In Your Generosity, Listener Portfolios, And Longer Retirements

In this episode we answer emails from Ron, Michael, Jaime and Clare.  We discuss all the generosity bestowed on us and our charity, including the McKenna Man portfolio, a listener's personal portfolio and two-year experience, portfolio longevity issues and common myths thereabout, tax considerations and how to really enjoy retirement after accumulation. Links: Father McKenna Center Donation Page:  Donate - Father McKenna Center [https://fathermckennacenter.org/how-you-can-help/donate/] Michael's Portfolio (unlevered) vs. a 70/30 since 2022: testfol.io/?s=fW46hjKw65M [https://testfol.io/?s=fW46hjKw65M] Breathless AI-Bot Summary: Money can buy you more wealth, but it can't buy you more time. This fundamental truth frames our deep dive into the stories of listeners who've transformed their financial futures through risk parity investing. We begin with Ron's creative McKenna Man Portfolio – a 100% equity allocation that makes quarterly charitable distributions while still growing steadily. Michael shares his journey from traditional investing to a risk parity approach that delivers impressive returns with dramatically lower volatility, proving these principles work in real-world applications. The heart of this episode tackles a question many struggle with: how to plan for extremely long retirement periods of 50+ years. Contrary to popular fear-mongering that suggests dramatically lower withdrawal rates, we explore research showing withdrawal rates tend to flatten over extended timeframes. Variable withdrawal strategies that adjust based on actual spending needs rather than rigid CPI increases can support withdrawal rates only slightly lower than traditional 30-year plans. For those concerned about longevity risk, slight adjustments to equity allocations or implementing rising equity glide paths provide additional security without sacrificing quality of life. Perhaps most powerful is Claire's story of transitioning to a work-optional lifestyle at 56, using risk parity principles to escape a high-pressure career and create space for relationships and experiences. Her wisdom cuts through financial noise with crystal clarity: "Don't worry about running out of money, worry about running out of time." When we reflect on Bronnie Ware's "Five Regrets of the Dying," none involve wishing for more wealth. They center on authentic relationships, self-expression, and allowing more happiness – precisely what proper financial planning should ultimately enable. The purpose isn't maximizing wealth, but confidently answering "how much is enough" so you can stop playing the accumulation game and start truly living. What would your life look like if financial fears no longer dictated your choices? Join our community at riskparityradio.com to continue the conversation. Support the show [https://www.riskparityradio.com/support]

10. jul. 2025 - 33 min
episode Episode 436: Your Fear of Running Out of Money May Be Something Else And Portfolio Reviews As Of July 4, 2025 artwork
Episode 436: Your Fear of Running Out of Money May Be Something Else And Portfolio Reviews As Of July 4, 2025

In this episode we explore one big long answer to an email from Bob about why people refuse to spend money in retirement despite having more than adequate resources.  We touch on the math and psychology of the Possibility Effect and how to use Base Rates to overcome that, what the numbers say you really should be afraid of, how to break down expenses to alleviate fears and the real underlying problem in many cases, which is not fear, but personal identity rooted in "Frugality Inertia." And THEN we our go through our weekly and monthly portfolio reviews of the eight sample portfolios you can find at Portfolios | Risk Parity Radio [https://www.riskparityradio.com/portfolios]. Books Referenced: "The Top Five Regrets of the Dying" by Bronnie Ware "Falling Upward" by Richard Rohr "Strength to Strength" and "Build The Life You Want" by Arthur Brooks "The Second Mountain" by David Brooks "The Soul of Wealth" by Daniel Crosby "The Art of Spending Money" by Morgan Housel "Die With Zero" by Bill Perkins Additional Links: Father McKenna Center Donation Page:  Donate - Father McKenna Center [https://fathermckennacenter.org/how-you-can-help/donate/] Morgan Housel Podcast:  The Morgan Housel Podcast, Episode 1: The Art of Spending Money [https://www.youtube.com/watch?v=NDtZBPlbMug] Narrative Psychology:  How to tell stories that give you meaning | Jane Goodall, Terry Crews & Dan McAdams [https://www.youtube.com/watch?v=mCo7F9h743o] ChooseFI Pod #508:  508 | 5% SWR, Revealed Preferences, and the 3 Stories | Frank Vasquez [https://www.youtube.com/watch?v=QvmTPQnJISU] Four Idols Video:  https://tinyurl.com/4vua3eb2 Satisficing:  Satisficing - Wikipedia [https://en.wikipedia.org/wiki/Satisficing] Breathless AI-Bot Summary: This episode tackles the psychology behind the "golden coffin" phenomenon – wealthy retirees who maintain sub 3% withdrawal rates, essentially ensuring they'll die with maximum assets. While justified as prudent planning, the real barriers to enjoying retirement wealth are more complex and fascinating. We dive into cognitive science, exploring how the "possibility effect" (identified by Kahneman and Tversky) distorts our risk perception. Your brain amplifies the tiny probability of running out of money while downplaying the vastly higher probability of running out of time. A 55-year-old man has an 11.3% chance of dying within 10 years – yet many obsess over financial scenarios with less than 1% probability of occurring. Beyond cognitive biases lies an identity crisis. Many successful investors have spent decades defining themselves through wealth accumulation. This "frugality inertia" becomes so embedded in self-image that spending feels wrong, even when mathematically sound. The financial services industry exploits these fears, selling products that promise impossible certainties while encouraging hoarding behaviors. The solution? Reframing retirement spending around four evidence-based wellbeing categories: relationships, experiences, work avoidance (paying for freedom from tedious tasks), and giving. These categories reliably generate happiness returns far superior to watching account balances grow. For those struggling to make this psychological transition, books like "Falling Upward" (Rohr), "Strength to Strength" (Brooks), and "The Soul of Wealth" (Crosby) provide frameworks for evolving beyond accumulation as life purpose. What retirement story are you living? The miser who dies rich but unfulfilled, or the transformed Scrooge who discovers generosity's joy? The choice defines not just your retirement, but your legacy. Support the show [https://www.riskparityradio.com/support]

06. jul. 2025 - 1 h 2 min
episode Episode 435: Catching Up To Risk Parity And Fun With Forex And A Vanguard Market Neutral Fund artwork
Episode 435: Catching Up To Risk Parity And Fun With Forex And A Vanguard Market Neutral Fund

In this episode we answer emails from Tracy, Mike and "Some Call Me" Tim.  We discuss the speculations and gambles of Forex, portfolio transitions, the Vanguard Market Neutral Fund and moving overseas.  And we have a mystery guest reader! Links: Father McKenna Center Donation Page:  Donate - Father McKenna Center [https://fathermckennacenter.org/how-you-can-help/donate/] Catching Up To FI Website:  Financial Independence - Catching up to FI [https://catchinguptofi.com/] VMNFX Testfolio Comparative Analysis:  https://testfol.io/analysis?s=eFgblWT8SJO VMNFX Home Page:  VMNFX-Vanguard Market Neutral Fund Investor Shares | Vanguard [https://investor.vanguard.com/investment-products/mutual-funds/profile/vmnfx] Morningstar VMNFX:  VMNFX – Vanguard Market Neutral Inv Fund Stock Price | Morningstar [https://www.morningstar.com/funds/xnas/vmnfx/quote] Breathless Unedited AI-Bot Summary: Navigating the complex world of personal finance often means confronting tough questions about investments we don't fully understand, partners who approach money differently, and life transitions that demand portfolio adjustments. This episode dives deep into three listener questions that illuminate these challenges. When Tracy's husband becomes deeply invested in forex trading despite a significant loss, she makes the bold decision to split their investment portfolios. This raises fascinating questions about marriage, money, and risk tolerance. Frank unpacks the reality of forex trading, explaining why it's neither an investment nor typically suitable for most individual investors. Drawing from his own trading experience in the 1990s, he distinguishes between disciplined speculation and outright gambling, offering clarity for anyone tempted by the allure of currency trading. As Tracy approaches her financial independence number, Frank provides thoughtful guidance on transitioning from an accumulation portfolio to a more conservative allocation while markets remain strong—wisdom applicable to anyone approaching their financial goals. The exploration continues with an analysis of Vanguard's Market Neutral Fund, revealing how even traditional investment companies offer alternative strategies that many investors overlook. While this long-short fund provides impressive diversification benefits, its lackluster returns highlight the trade-offs investors must consider when pursuing uncorrelated assets. For listeners curious about expanding beyond conventional index funds, this segment offers valuable perspective on evaluating alternative investments. Finally, for those contemplating international moves while managing US retirement accounts, Frank provides practical advice that cuts through confusion. By focusing on investment fundamentals rather than geographical considerations, he reminds us that solid financial principles transcend borders. Whether you're wrestling with a spouse's different investment philosophy, considering alternative assets, or planning an international life change, this episode delivers insights to help navigate your financial journey with confidence and clarity. Support the show [https://www.riskparityradio.com/support]

02. jul. 2025 - 27 min
episode Episode 434: Party Time With Retirement Clubs, Portfolio Visualizer And Portfolio Reviews As Of June 27, 2025 artwork
Episode 434: Party Time With Retirement Clubs, Portfolio Visualizer And Portfolio Reviews As Of June 27, 2025

In this episode we answer a question from Ness.  We have fun with The Untouchables, retirement clubs, Portfolio Visualizer and many other things.  And THEN we our go through our weekly portfolio reviews of the eight sample portfolios you can find at Portfolios | Risk Parity Radio [https://www.riskparityradio.com/portfolios]. To donate to the Top of the T-Shirt campaign and double your fun, please visit the Father McKenna Center donation page and note "Risk Parity Radio Match" when making your contribution. Additional Links: Father McKenna Center Donation Page:  Donate - Father McKenna Center [https://fathermckennacenter.org/how-you-can-help/donate/] Portfolio Charts Free Charts:  Charts – Portfolio Charts [https://portfoliocharts.com/charts/] Portfolio Visualizer Tutorial Video:  Tutorial #4: Portfolio Visualizer Monte Carlo Simulator -- Introduction [https://www.youtube.com/watch?v=pqDvOI6agTA] Retirement Answer Man Case Study Podcast (start at minute six):  I Just Lost My Job. Can I Retire Now? [https://www.youtube.com/watch?v=SXsXt585lyo] Portfolio Visualizer Simulation #1:  https://tinyurl.com/yuev3s59 Portfolio Visualizer Simulation #2: https://tinyurl.com/kjy5ur7n Portfolio Visualizer Simulation #3:  https://tinyurl.com/yc2rstr7 Breathless Unedited AI-Bot Summary: Tired of retirement planning approaches that feel more like crystal ball gazing than strategic analysis? In this episode, we demystify the often-confusing world of retirement planning tools and techniques, revealing how to achieve better results without expensive software or club memberships. We dive deep into how free tools like Portfolio Visualizer can perform sophisticated retirement planning when used correctly – specifically by analyzing asset classes rather than ticker symbols. This approach not only provides access to decades of historical data but creates a more robust foundation for retirement decisions than the parameterized returns many paid services rely upon. Through a detailed case study, we demonstrate how a risk parity-style portfolio improved a retirement plan's success rate from 85% to 96% compared to a traditional 60-40 portfolio. This significant enhancement required no additional savings or lifestyle changes – just smarter portfolio construction based on proven diversification principles that many financial advisors haven't incorporated into their practices. The episode also examines retirement clubs that charge $600-900 annually, questioning whether their financial planning guidance justifies the cost when their approaches often lag behind current best practices. While these clubs may offer valuable social connections and psychological support for the transition to retirement, their portfolio construction recommendations frequently default to outdated models followed by excessive "padding" rather than optimization. For DIY investors, we provide practical guidance on using free or low-cost tools like Portfolio Charts' heat map to stress-test portfolios and identify maximum drawdown periods – crucial information that many expensive planning tools don't clearly reveal. This approach helps you build true resilience into your portfolio structure rather than compensating for mediocre construction with excessive cash reserves. Ready to take control of your retirement planning with sophisticated tools that won't cost you hundreds of dollars? Listen now to discover how to analyze your portfolio like a pro and potentially improve your retirement outcomes without paying for expensive software or memberships. Support the show [https://www.riskparityradio.com/support]

29. jun. 2025 - 56 min
episode Episode 433: More About Transitions, Leveraged ETFs And Other Gambling Problems And Wisdom From The Great Jim Rohn artwork
Episode 433: More About Transitions, Leveraged ETFs And Other Gambling Problems And Wisdom From The Great Jim Rohn

In this episode we answer questions from Mason, Brian, and Anonymous.  We discuss portfolio transitions from a highly overlapped portfolio and related consideration, treasury strips funds and leveraged ETFs (twice), and the power of advice from the great Jim Rohn.  UNLIMITED POWER. Just remember that "Affirmation without discipline is the beginning of delusion." And we discuss our campaign for the Father McKenna Center and Quebecois updates to our website. Links: Father McKenna Center Donation Page:  Donate - Father McKenna Center [https://fathermckennacenter.org/how-you-can-help/donate/] The Source of the "We Don't Know" Clip:  Jim Rohn Join the 3% Club and Walk away from the 97% [https://www.youtube.com/watch?v=J8zFbNb5nug] Breathless Unedited AI-Bot Summary: Transforming your portfolio into a risk parity approach doesn't have to be complicated, but it does require both strategy and courage. This episode dives deep into listener questions about making that transition while navigating tax implications and psychological barriers. When Mason asks about converting his advisor-built collection of funds into a risk parity portfolio, Frank reveals a crucial insight most investors miss: holding multiple similar funds creates "false diversification." Those four large-cap funds in your portfolio? They're basically the same investment with different names. True diversification comes from understanding what's inside each fund, not collecting different tickers. For those curious about leveraged ETFs like UPRO, Brian's question leads to fascinating observations about why some leveraged products perform better than others. The conversation reveals why Treasury strips funds like GOVZ/ZROZ make reasonable substitutions for standard Treasury allocations, while leveraged gold ETFs might be problematic for long-term investors. Frank shares his personal experience reducing his own UPRO allocation and explains why experimentation with small portions of your portfolio is the wisest approach to newer investment strategies. The philosophical foundation of the show emerges when a listener asks about the "Nobody Knows" sound clip. The attribution to motivational speaker Jim Rohn opens a window into the mindset that drives successful investing. Rohn's philosophy that "affirmation without discipline is the beginning of delusion" perfectly captures why just thinking about better investment outcomes isn't enough—you must take action to create them. Ready to reshape your investment approach? This episode provides both the practical steps and the motivational spark to move forward confidently. As Rohn reminds us, "If you think investing is risky, wait till you get the tab for not investing." Support the show [https://www.riskparityradio.com/support]

26. jun. 2025 - 42 min
En fantastisk app med et enormt stort udvalg af spændende podcasts. Podimo formår virkelig at lave godt indhold, der takler de lidt mere svære emner. At der så også er lydbøger oveni til en billig pris, gør at det er blevet min favorit app.
En fantastisk app med et enormt stort udvalg af spændende podcasts. Podimo formår virkelig at lave godt indhold, der takler de lidt mere svære emner. At der så også er lydbøger oveni til en billig pris, gør at det er blevet min favorit app.
Rigtig god tjeneste med gode eksklusive podcasts og derudover et kæmpe udvalg af podcasts og lydbøger. Kan varmt anbefales, om ikke andet så udelukkende pga Dårligdommerne, Klovn podcast, Hakkedrengene og Han duo 😁 👍
Podimo er blevet uundværlig! Til lange bilture, hverdagen, rengøringen og i det hele taget, når man trænger til lidt adspredelse.

Prøv gratis i 7 dage

99,00 kr. / måned efter prøveperiode.Ingen binding.

Eksklusive podcasts

Uden reklamer

Gratis podcasts

Lydbøger

20 timer / måned

Prøv gratis

Kun på Podimo

Populære lydbøger