Lazy portfolios for stagflation

[noppenbd]

'Lazy Portfolios' for stagflation 2008-2018!
What'll you do if this market trades sideways ... for 10 years?!

Lazy Portfolios that can whip the coming 10 years of stagflation - MarketWatch

[jIM_Ohio]

I did not see any gold position or siliver position. If market is truly sideways, you want one fund- PRPFX.

Reality- in a sideways market I would look for the following allocation to do well:

20% gold and silver (bullion)
20% dividend paying stocks
10% bonds (corporate and government; foreign and domestic)
10% inflation protected bonds
20% wilshire 4500 or similar small/mid cap position
20% foreign stocks (10% large cap, 5% small cap, 5% emerging markets)

The wilshire 4500 and gold/silver will be what does really well, as well as any foreign holding.

PRPFX is close to most of this portfolio now.

[noppenbd]

Jim, what is your reasoning that gold/silver should do well in a sideways market? Not disagreeing, just wondering.

[jIM_Ohio]

Gold and silver will do well in an inflationary environment. I assume sideways market for 10 years will generate inflation or stay sideways because of inflation.

I also assume a sideways market is a good time to follow dividend investing, as dividends tend out pace inflation too. Anything which creates more shares (so when market goes up, more shares go up) is a good technique to follow, IMO.