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[VFC @19_VFC]

@GestaltU @Solomon_Slate Depending on your personal situation if you have equity in the financial firm you are employed with, isn't a lot of your wealth +human capital already tied up assets that have equity beta.

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@MebFaber I don't have an opinion on @JustinWolfers but its about as clean as we get in financial markets in terms of attributing cause to market movements.

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@MebFaber @Jesse_Livermore A more realistic step that a lot of people do take is to live in a location with a more progress tax code.

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@MebFaber Vol targeted long equities (or bonds). Levers up when vol is low, cuts risk when vol is high.

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@choffstein Hindsight is 20/20 and obviously a lot of counter examples, but vol scaling position sizes certainly helped on this one.

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@MarkTMeredith If you have a % on LHS, you should also have % on RHS. Instead of top 10 stocks, you should a % of total # of stocks in market. Obviously smaller country will have more concetration as they have less companies making up denominator. Its not quite chart crime but its close.

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@MichaelENewton1 Trends hold for that period as well. Nothing special about looking at 4-year vs. 9-year priod. Incosistant critize Trudeau for that chart, but not applaud Biden (and first Trump term) for it.

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@IndexWealthy @BigBoyBern80872 @HML_Compounder @CliffordAsness If you truly believe short term vol is meaningless than you should hold a portfolio riskier than 100% diversified equities. For example 150% equity, or if you have an irrational self imposed leverage constraints than a portfolio comprised of the subset of riskiest stocks.

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@IndexWealthy @BigBoyBern80872 @HML_Compounder @CliffordAsness The whole point is people don't know how the will react until after they lose big money, and have overconfidence in their ability to take risk.

And you have also avoided explaining why 100% equity is better than a 90/60 stock bond portfolio.

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@IndexWealthy @BigBoyBern80872 @HML_Compounder @CliffordAsness How about the low fee wisdom tree options: nstx, nsti, nste? It is really hard to argue for 100% equities when those exist.

Also really hard to argue for people who have never lost big money to go all in on equities with possibility of 50%+ loss. People may bail at worst time.

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@IndexWealthy @BigBoyBern80872 @HML_Compounder @CliffordAsness And an even more recent article: https://t.co/xj3Z1QCHjl

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@IndexWealthy @BigBoyBern80872 @HML_Compounder And the argument isn't for managed futures but also applies to the inclusion of vanilla assets like bonds. And why not one of the low cost etfs that give access a levered stock/bond portfolio? A recent article by @CliffordAsness on the subject https://t.co/k5zEjRbbaa

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@IndexWealthy @BigBoyBern80872 @HML_Compounder but on planet earth, investors are not risk neutral; so adding bonds (or perhaps managed futures) to a portfolio alongside stocks can help to maximize the utility the derive from the portfolio even if it takes away from max terminal wealth (which is not the objective of most)

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@IndexWealthy @BigBoyBern80872 @HML_Compounder of course neither would bonds, managed futures, or any other asset classes with lower reward / risk characteristics. You'd probably need some super highly concentrated high reward security - maybe 100% short vix would get you there...