Merriman Ultimate

According to Paul Merriman, the Ultimate Buy-and-Hold Strategy “creates a sophisticated portfolio with worldwide stock diversification by adding value stocks, small company stocks and real estate funds to a traditional large-cap growth stock portfolio.”

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Asset Allocation

 

(*) Merriman specifically calls for 6% world small value and 8% TIPS.  I don’t have good data for these assets, but in an effort to best illustrate his design intent I added them to the WSML and ITB allocations.  These are both reasonable replacements and should not make a huge difference in these smaller proportions.  However, be sure to read Merriman’s explanation for why he chooses the funds he does.

The charts below display the results for the ex-US versions of World, World Small, and World Value.  Non-US investors may also be interested in the US-inclusive options available in the calculators.

Because verified data is not available, this portfolio includes estimated returns prior to 1982.  Data for those years is highlighted on each chart.

 

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