January 2023 Portfolio Review

Whiplash. We went from a pretty bad month to end a pretty bad year to what was simply an amazing January: two portfolios were up +11%, two more +9%, and even the worst was up 5%. Leverage-heavy RPC Growth the best performer; super diversified RPC Stability still first overall.

Risk Parity Resources: Kinlaw et al. (2021)

Interesting paper with a neat take on correlation: its asymmetric and we should focus on downside more than overall correlation. Treasuries still most dissimilar to equities; commodities, not so much. Not exactly a must read, but provides food for thought for the RP investor.

AVGE: A Risk Parity Take

This post is inspired by Optimized Portfolio’s totally on-point version of the “distracted boyfriend” meme. AVGE, Avantis’s All Equity Markets ETF, has gotten a lot of buzz lately - does it deserve a strong wandering eye from the Risk Parity investor as well?