Investment Strategy Description
Historical Background of the original Permanent Portfolio
Probably the best known investment strategy ”The Permanent Portfolio” was created by Harry Browne and published in 2001 in his book, Fail-Safe Investing: Lifelong Financial Security in 30 Minutes. He was an American writer, politician and investment analyst before becoming the Libertarian Presidential candidate in the U.S. elections of 1996 and 2000.
Browne’s highly original insight was to link specific asset classes with four basic economic conditions. The book calls this type of investment portfolio a “permanent portfolio” and advocates it to be re-balanced once per year so that the 25% allocation is maintained for each asset class: