Episode Details

In this episode we answer emails from Tim, Avid Listener, and Aaron.  We discuss bond allocation in an intermediate accumulation Golden Butterfly style portfolios, the follies of fixating on fund or ticker symbol returns instead of the purpose of an asset in a portfolio,  and the follies of holding too much in cash.

And we discuss our Top of the T-shirt Campaign (Part Deux!) for the Father McKenna Center.

And THEN we our go through our weekly portfolio reviews of the eight sample portfolios you can find at Portfolios | Risk Parity Radio.

Additional Links:

Father McKenna Center Donation Page (please mention Risk Parity Radio in the comment section with your donation):  Donate - Father McKenna Center

Analysis of TLT, MBB and SPY:  Asset Analyzer for ETFs, Stocks, and Funds | testfolio

Analysis of gold royalty companies:  Asset Analyzer for ETFs, Stocks, and Funds | testfolio

Liz Ann Sonders interview of Keith McCullough:  What Happens After Peak Inflation? (With Keith McCullough) | Charles Schwab

Breathless Unedited AI-Bot Summary:

Chasing a higher yield can feel like progress, but what if it is quietly breaking your portfolio? We take on three listener questions that all circle the same core problem: fund shopping without a framework. From a Golden Butterfly style intermediate-term risk parity portfolio stuck with a limited 401k bond menu, to the temptation to use stable value funds, Roth space, and asset swaps to “fix” taxes, we talk through what matters most when your goal is steady accumulation for a real-world timeline like three to seven years.

Next we get blunt about substitutes. Mortgage-backed securities ETFs may look like a better bond deal on paper, and gold royalty companies may look like “gold with higher returns,” but risk parity investing is not built by grabbing the flashiest ticker. We explain the four quadrant model and why each sleeve has a job: stocks for long-run growth, Treasury bonds as recession insurance that can be rebalanced when equities drop, and alternatives like gold or managed futures for low correlation during inflationary or stagflationary shocks. The right question is not “what returned more,” but “what will behave the way I need when the economic weather turns.”

We also address a popular habit that masquerades as investing: moving cash between HYSAs, money markets, and short-term funds to optimize yield. If tiny rate differences feel meaningful, it may be a sign you are holding too much cash and taking on cash drag over the long run. We close with our weekly portfolio reviews across the eight sample portfolios and a reminder that nobody knows what markets will do next, so a sturdy process matters more than predictions.

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