The All Weather Strategy

The all-weather strategy aims to create a balanced wikifolio with ETFs and funds that can withstand different economic conditions. The focus should be on diversification across different asset classes to minimise risk and optimise returns regardless of market conditions. The basic principles include risk parity, maintaining a strategic asset allocation and continuously adjusting the wikifolio to the risk exposure. The plan is to trade a diversified range of assets, including equities, bonds (in the form of ETFs), commodities (in the form of ETCs) and real estate investment trusts (REITs), which may include major equity indices such as the S&P 500 and NASDAQ. Government bonds, such as US Treasuries, can serve as a defensive component. Gold can serve as a hedge against inflation, while selected commodities such as oil and agricultural products can offer upside potential in various economic scenarios. Trading will be based on a combination of fundamental analysis, macroeconomic indicators and technical analysis. The focus will be on identifying what I believe to be undervalued assets with strong fundamentals, monitoring economic indicators (e.g. interest rates, inflation rates) and using technical indicators to identify optimal entry and exit points. The average investment horizon should be in the medium to long-term range. A wide range of sources are used to make decisions, including economic reports, financial news and analysis tools such as Bloomberg and Reuters. In addition, insights from investment research firms and market sentiment gleaned from social media and trading forums are incorporated to better understand fluctuations in perception and sentiment.