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Author: RAMc   😊 😞
Number: of 522 
Subject: Re: Muscular Portfolios
Date: 06/19/2024 3:44 PM
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But I wonder about his claimed backtest results. For example, PDBC only began on 11/7/2014.

Allocate Smartly independently did a backtest from 1973 using synthetic ETFs.

Annualized Return from 1973 till jan 2019 when they wrote the article:
CAGR 13.3% vs 60/40 benchmark 9.2%
MDD -20.1 vs 60/40 -29.5%
Ulcer Performance Index 1.59 vs 60/40 0.62

Livingston's Muscular Portfolios - Allocate Smartly

Looking at a log chart over history it does slightly worse than 60/40 in up markets but has been effective avoiding the bear markets. Allocate Smartly calculates a 30 yr Safe Withdrawal Rate of 6.1% vs 3.8% for a 60/40.
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