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US$ stock, gold, £ gilts

A helpful place to also put any annual reports etc, of your own portfolios
1nvest
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US$ stock, gold, £ gilts

#428632

Postby 1nvest » July 18th, 2021, 10:18 pm

Three currencies (gold is a form of global currency), three assets - stocks, bonds, commodity. 45% gain end of June 2016 to end of June 2021 (7.7% annualised).

iShares 'years' in their factsheets for gold, US stock, gilts ... all align to end of June years, so digging out/updating for the end of June 2021 ...




Prior backtests (from 1939) comparing short dated (T-Bill)/long dated (20 year) Gilt barbell, to a 10 year ladder indicate little/no broad differences. Conceptually a constant rolled 10 year should also compare near equally. Some shorter term drifts/deviations only (noise). So a similar outcome to had a 10 year ladder been utilised instead of the IGLS/IGLT barbell for the third in bonds allocation.

IGLS has a average maturity of 2.5 years, IGLT's is 15.5 years, so 50/50 = 9 years.

Collectively a 0.1% expense ratio for those funds.

US version back to 1972 indicates 5.52% annualised real (9.62% nominal). Click on the Inflation Adjusted tickbox and the real gain progression was relatively consistent/stable across periods of both high/rising and falling/low interest rates/inflation.

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