The Biggest Investing Lie
The biggest lie in investing is:
“Returns matter more than allocation.”
They don’t.
Allocation determines behaviour. Behaviour determines results.
My 2026 Allocation (Simple and Realistic)
If I had $52,000 in 2026, I would allocate:
| Asset Class | Percentage | Amount |
|---|---|---|
| Global Equities | 60% | $31,200 |
| Bonds / Fixed Income | 25% | $13,000 |
| Gold | 15% | $7,800 |
| Total | 100% | $52,000 |
This is not aggressive.
This is not conservative.
This is survivable.
Why 60% Equities?
At age 40s–50s, growth still matters, but drawdowns hurt more.
60% allows:
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Long-term growth
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Manageable volatility
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Continued investing during downturns
If markets crash 40%, the portfolio drops ~24%, not 40%.
That difference matters psychologically.
Why 25% Bonds?
Bonds:
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Cushion equity crashes
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Provide rebalancing power
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Reduce sleepless nights
When stocks fall, bonds often rise or fall less. That gives you options.
Why 15% Gold?
Gold is your “what if everything breaks” asset.
It performs when:
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Inflation spikes
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Confidence collapses
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Policy errors happen
You don’t rebalance out of gold emotionally. You rebalance mechanically.
How Rebalancing Works (The Quiet Wealth Builder)
Once a year:
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If equities outperform → trim and add to bonds/gold
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If equities crash → sell bonds/gold to buy equities
This forces you to:
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Sell high
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Buy low
Without guessing.
What This Portfolio Is NOT
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Not for bragging rights
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Not for outperforming friends
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Not for viral screenshots
It’s for staying invested for 20+ years.
Stress Testing This Portfolio
2008-style crash: Painful but survivable
High inflation: Gold and equities help
Stagnant decade: Bonds provide income
No portfolio is perfect. This one is robust.
Part 2 Summary
Your portfolio should:
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Let you sleep
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Let you work
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Let you stay invested
In Part 3, I’ll cover:
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Common mistakes people make with $50k+
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How normal people sabotage good plans
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How I would execute this in real life
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