Some analysts think we are living a secular bear market, so there is no point in buying stocks from their point of view. In general, every well-balanced portfolio should hold some gold and some alternative investments. Theoretically, 5-10% of gold should be enough.
Gold just acts as an insurance so we don´t care if it goes up or down.
Another part of the portfolio could be allocated on alternative funds which don´t depend on the market heading. They try to get their profit by using partial bets (for instance, stocks against each other). There are some specific names that have done a good job:
There is a very nice SICAV, which is really concerned about risks and whose current holdings are smartly picked. You can find its name in Twitter @simplenorisk.
Gold just acts as an insurance so we don´t care if it goes up or down.
Another part of the portfolio could be allocated on alternative funds which don´t depend on the market heading. They try to get their profit by using partial bets (for instance, stocks against each other). There are some specific names that have done a good job:
- Old Mutual Global Eq. Absolute Return
- FundLogic Value Driven Alpha Europe
- DB Platinum IV dbX System Alpha
There is a very nice SICAV, which is really concerned about risks and whose current holdings are smartly picked. You can find its name in Twitter @simplenorisk.
