My Growth Portfolio is, in part, based on the original Permanent Portfolio by Harry Browne. However it’s modified a little to account for the low interest rate returns offered by banks (cash has been moved to my Peer to Peer Lender Portfolio), and REITs have also been added, as they help with stability and provide good dividend returns.
The original Permanent Portfolio can be backtested for 50 or more years. The results are stable and impressive, however my Personal Portfolio improves upon it somewhat. We could still choose to invest in the original Permanent Portfolio today and be very happy with the returns. Or we could invest in my Growth Portfolio with my specific mix of ETFs (Electronically Traded Funds) and have superior returns.
The ETF’s I use are US Dollar denominated as I like to diversify in currencies. They can all be purchased in GB Pounds or Euro denominated funds if preferred.
It is simply made up of the following 4 assets. I have also moved the “cash” part of the portfolio to my Peer to Peer Lender Portfolio (click on each asset to learn more):
25% Stocks (total US Stock Market) – it is possible to purchase this market with funds available in GBP, USD, Euro and many other currencies.
25% Bonds (US Treasury Bonds) – I use ETF’s that track bonds instead of bonds themselves. Again funds are available in GBP, USD, Euro and various other currencies.
25% Gold – mostly physical gold, but sometimes gold ETF’s too as they are easier to buy and sell.
25% REITs – Real Estate Investment Trusts. Can be purchased in GBP, USD, Euro and several other currencies. There are many to choose from based in the UK and USA.
Just selecting these 4 asset classes in general would have produced results similar to the following:
Personal Growth Portfolio
My Personal Growth Portfolio is made up of carefully selected assets and ETF’s (see below for instructions on how to learn about my specific assets). I have invested real money in these assets for over 20 years.
Below you can see the returns the Growth Portfolio has averaged over the last 20 years, and also how it compares to other popular portfolios . As you can see, the % returns and drawdowns are better than the original Harry Browne Permanent Portfolio.
Below is a comparison of how my Personal Growth Portfolio compares to other popular portfolios.
Portfolio 1 is my current personal portfolio allocation.
Portfolio 2 is a 50/50 mix of stocks and bonds (no REITs)
Portfolio 3 is the original Harry Browne’s Permanent Portfolio mix. Cash has been left out, as I think that skews it to the downside unfairly.
The S&P ETF is there as a representation of the US Stock Market Baseline.
BALANCES shown are just there to show growth as an example. They are not actual portfolio values (obviously) 🙂
If you would like to see how my Personal Portfolio returns look on their own, you can see them here
Which ETFs are in my Growth Portfolio?
WOULD YOU LIKE TO KNOW EXACTLY WHICH ETFs ARE IN MY PERSONAL PORTFOLIO?