John Budden’s Dog Bone Portfolio is designed to preserve wealth and maintain one’s purchasing power through Kondratieff Winter. Our goal is to weather, not only countervailing inflationary and deflationary forces, but also to survive competitive devaluations through a period of surreal geopolitical uncertainty.
Obviously, portfolio weightings are dependent on one’s personal risk tolerance and investment objectives. In any event, investors should at least have a sleeve of precious metals and precious metals shares in their portfolios as insurance against the inevitable devaluation of fiat currencies and as a Cash alternative.
Securities should be selected with advice from a qualified registered investment advisor.
Cash: (Canadian and U.S. Dollars) The Royal Canadian Mint Gold Reserves: Exchange Traded Receipts and Sprott Physical Gold Trust, denominated in Canadian and U.S. Dollars, are considered as ready Cash.
0% ~ Bonds: Jim Grant, publisher and editor of Grant’s Interest Rate Observer, describes government bonds as “return-free risk.”
25% ~ Canadian Stocks (all listed on the TSX)
Canadian Chartered Banks: CIBC (CM)
Railways: Canadian National Railway (CNR)
Excavation: Badger Daylighting (BAD)
Pipelines: Inter Pipeline (IPL)
Communications: BCE Inc. (BCE)
Data Management: Open Text (OTEX)
Merchandiser: Loblaw Companies (L)
eCommerce: Shopify (SHOP)
Agriculture: Agrium (AGU)
Investment Management: Sprott Inc. (SII)
25% ~ U.S. Stocks
Healthcare: Johnson & Johnson (JNJ) (listed on the NYSE) Technology: Apple (AAPL), Google (GOOG), Tesla Motors (TSLA), Netflix (NFLX) (all listed on NASDAQ)
5% ~ Global
Food and Water: Nestlé (NSRGY) (listed OTC)
45% ~ Precious Metals (cash alternative, inflation, deflation, and devaluation insurance)
(25%) Royal Canadian Mint Gold Reserves: Exchange Traded Receipts (listed on TSX – MNT and MNT.U), Sprott Physical Gold Trust (listed on NYSE Acra – PHYS and TSX -PHY.U). The Royal Canadian Mint Gold Reserves: Exchange Traded Receipts, denominated in Canadian and U.S. Dollars, are considered as ready Cash.
(10%) Royal Canadian Mint Silver Reserves: Exchange Traded Receipts (listed on TSX – MNS and MNS.U), Sprott Physical Silver Trust (listed on NYSE Acra – PSLV and TSX – PHS.U)
(5%) Sprott Gold Miners ETF (listed on NYSE Acra – SGDM)
(5%) Sprott Gold Miners Junior ETF (listed on the NYSE – SGDJ)
April 27, 2017
Inflation is when you pay fifteen dollars for the ten-dollar haircut you used to get for five dollars when you had hair
Experts are people who know tomorrow why yesterday’s prediction didn’t turn out today