I’ve been “possessed” by “The Random Walk Down Wall Street” the past few months. In chapter 14 “A Life Cycle Guide To Investing” (2003 version) Malkiel lays out asset allocations appropriate to one’s stage in life. He then provides some ideas on “index investment vehicles” that would work.
I was hoping to find a detailed article on such a subject. “Et Voila” it appeared in this Saturday’s Gloge & Mail 😎 Rob Carrick has a full page piece on emulating the CPP via ETFs globeandmail.com: For your RRSP, take a page from the CPP. The CPP asset allocation is very similar to that noted by Malkiel and Carrick says that
The CPP’s pool of invested funds has averaged a 9.9-per-cent annualized rate of return over the past five years and is certified by the Chief Actuary of Canada as being solid for at least the next 75 years.
This kind of return isn’t “sexy” these days, but the overall strategy definitely passes “the sleep test” ❗