As far as allocation and investment styles - has anyone used the Money Movement Strategy from Wealth Without Risk? The premise is that there is only one "best" asset class for any particular interest rate environment. (Now would be 100% stocks/equities)
Some back testing shows very interesting results. Based entirely on the Prime Rate to determine investment class, it avoided the negative results from 9/11 and 2008 by being in bonds during both of those time frames. It's not perfect, looking back and using ETFS it had one period of negative returns - bonds from 8/98 - 7/99.
Some back testing shows very interesting results. Based entirely on the Prime Rate to determine investment class, it avoided the negative results from 9/11 and 2008 by being in bonds during both of those time frames. It's not perfect, looking back and using ETFS it had one period of negative returns - bonds from 8/98 - 7/99.