Sir John Templeton used to give his clients a yearly program at the beginning of the year. If at the end of the year the Dow Jones had increased significantly, they should lower the percentage of their wealth held in stocks. On the other hand, if prices have become more attractive it makes sense to increase the percentage held in stocks AFTER stock prices have deacreased.
Wednesday, December 06, 2017
Since last year the MSCI World index https://www.msci.com/world has increased from 1770 to 2070. According to the adapted John Templeton re-balancing program I made last year, your percentage in stocks should decrease slightly from around 60% in stocks to roughly 55% in stocks.
One year ago: