What’s a great commodity for your portfolio?
Recently I mentioned Ray Dalio’s “All weather investing strategy”. In case you haven’t heard of him or his strategies, don’t worry, neither have I until couple years ago. But that doesn’t mean we can’t learn from the guy whose company manages about $150 billion in global investments for approximately 350 of the largest and most sophisticated institutional clients.
So, here’s what the all weather investing strategy says about a simplified diversified portfolio. Last week I shared a video where I read a book about gold.
According to Ray Dalio, gold should be a 7.5% part of your portfolio. You know what else should find 7.5% in your portfolio? Commodities! Some of you may be asking, OK, what’s a (good) commodity? I, like many, drink coffee every day. So coffee is one commodity. You need fuel to drive your car, like many, so oil is another commodity.
Coffee and oil have been around for a while, and so have most of other commodities, however in the past 20 years, world has changed a lot, and Internet became ubiquitous. Also when it comes to commodities, it’s good to find those where you have some industry knowledge and experience. According to Investopedia, domain names are a hot commodity!
With people like Paul Stahura and Frank Schilling leading the new domain extension program, you don’t have to worry about domain names dropping out of this category for at least another decade. My recommendation for good domain names, buy and hold. In 10, 20 or 30 years, some of those will be worth a fortune.
I am putting money where my mouth is, so recently I started building my domain portfolio. Should have done it earlier, but like many, I feel into the trap of “it’s too late”. This is me building my domain portfolio http://duskic.com/domains