We established in a previous video in our Investment Series why a 40 per cent bond weighting in a portfolio is the “stupidest and worst” strategy an investor could deploy. Som Seif’s words, not ours, but you get the point.
In this segment, Seif and John O’Connell examine the credit bubble, rising interest rates, and how bond investments of the wrong duration can destroy value in your portfolio.
Part Three: How to Build a Portfolio
Part Eight: Learning the Hard Way Investing is Not Gambling