I got to know that inspirational coach Tony Robbins just released his first book in 20 years and its on money and investing. Usually it will raised a red flag within me when I see folks that started off being an expert in one field delving into investing.
His central idea, seem to build on the all weather portfolio talked about by Ray Dalio. For those not so familiar with Ray Dalio, he runs the largest hedge fund in the world Bridgewater Associates.
The appeal of the all weather portfolio is a portfolio made up of asset classes that are lowly correlated that earns close to a respectable return yet at the same time have a significantly low volatility.
Why is low volatility important? For the average investor, a high volatility or a –50% fall in their portfolio is likely to force them to make irrationally bad decisions.
And here ......