Tag: Retirement

The Death of Depth in the Death of the 60/40 Portfolio

We too live in a “pretending age”, where in-depth evaluations of important subjects are rare. Often, shallow analysis is passed off as game-changing discoveries instead of the fodder they are for title gazers. Such is the case with the recent obituaries published for the 60/40 portfolio. When it comes to investing, there is perhaps no issue more important than asset allocation. It is, in fact, the greatest determinant for portfolio returns over time. So with that in mind, let’s discuss the death of depth in the death of the 60/40 portfolio.

The State of Pensions – And the States That Have Penchants for Them

CalPERS recently reported earnings for the fiscal year ending June 30th, 2016. The results were disappointing, failing to reach their return goal of 7.5% for the second year in a row. The giant pension fund now only has only 68 cents on hand for every dollar in long-term obligations. They are not alone; many public pension funds are facing similar problems.