Harry Browne Permanent Portfolio Plan REIT
Investment Model Portfolios

In his Fail-Safe Investing book, Harry Browne proposed this one size fit all portfolio that he called 'permanent portfolio'. His theory has been discussed in numerous articles like this. A mutual fund PRPFX was constucted and named after his theory. The following consists of the portfolio's components.

  • 25% in U.S. stocks, to provide a strong return during times of prosperity. For this portion of the portfolio, Browne recommends a basic S&P 500 index fund such as VFINX.
  • 25% in long-term U.S. Treasury bonds for deflation protection.  
  • 25% in cash in order to hedge against periods of “tight money” or recession. In this case, “cash” means a money-market fund.
  •  25% in precious metals (gold, specifically) in order to provide protection during periods of inflation. Browne recommends gold bullion coins.

We use VFINX, VUSTX, VFITX, VFISX, CASH and GLD for the above components. Investors can compare the model portfolios in this plan with this static portfolio.

Investment options of Harry Browne Permanent Portfolio Plan REIT

Total Available Funds: 7
Asset Class Ticker Description
US EQUITY
LARGE BLEND VFINX VFINX (Vanguard 500 Index Investor)
FIXED INCOME
LONG GOVERNMENT VUSTX VUSTX (Vanguard 500 Index Investor)
Intermediate Government VFITX VFITX (Vanguard Interm-Term Treasury)
SHORT GOVERNMENT VFISX VFISX (Vanguard Short-Term Treasury)
Others
ROOT CASH CASH
COMMODITIES
COMMODITIES GLD GLD (SPDR Gold Shares)
REAL ESTATE
REAL ESTATE VGSIX

Investment model portfolios

We provide two types of investment model portfolios for Harry Browne Permanent Portfolio Plan REIT participants. You can customize and follow a model portfolio in your plan account.

Types of portfolio strategies

These portfolios are proactively monitored and rebalanced on a monthly basis when needed, ensuring it remains in line with its target allocation.

Let us know (Email us) if you need help to create a custom model portfolio for your plan.

Example model portfolios

The following provides historical returns for example model portfolios with a moderate risk profile (at most 60% in stocks) and their comparison with benchmark index funds. You can customize these portfolios according to your own risk profile.

Strategic Asset Allocation Model Portfolio

The following portfolio is based on the MyPlanIQ Strategic Asset Allocation (SAA) strategy.

The return data shown below all delayed by 3 months. Their latest dates are all the same: 10/31/2024.
AR inception is since 12/31/2000.
Name YTD Return 1Yr AR 3Yr AR 5Yr AR 10Yr AR 15Yr AR 20Yr AR Inception
Harry Browne Permanent Portfolio Plan REIT Strategic Asset Allocation - Optimal Moderate NA 24.77% 4.42% 8.49% 7.50% 8.47% 7.28% 6.85%
VFINX (VANGUARD 500 INDEX FUND INVESTOR SHARES) NA 37.82% 8.86% 15.20% 12.89% 14.04% 10.46% 8.70%
VSMGX (VANGUARD LIFESTRATEGY MODERATE GROWTH FUND INVESTOR SHARES) NA 22.89% 2.25% 6.63% 6.01% 7.19% 6.10% 5.79%

Tactical Asset Allocation Model Portfolio

The following portfolio is based on the MyPlanIQ Tactical Asset Allocation (TAA) strategy.

The return data shown below all delayed by 3 months. Their latest dates are all the same: 01/31/2025.
AR inception is since 12/31/2000.
Name YTD Return 1Yr AR 3Yr AR 5Yr AR 10Yr AR 15Yr AR 20Yr AR Inception
Harry Browne Permanent Portfolio Plan REIT Tactical Asset Allocation Moderate 1.79% 9.91% 1.03% 4.31% 3.47% 4.95% 5.74% 6.40%
VFINX (VANGUARD 500 INDEX FUND INVESTOR SHARES) 2.77% 26.20% 11.74% 15.10% 13.50% 14.13% 10.53% 8.60%
VSMGX (VANGUARD LIFESTRATEGY MODERATE GROWTH FUND INVESTOR SHARES) 2.11% 12.75% 4.27% 6.43% 6.23% 7.14% 6.01% 5.66%

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