Thoughts on Rakuten USA 360 (75% VTI / 25% 3x Treasuries).

[EmaxisSlim Cultist]

Fund is detailed here -> https://shintaro-money.com/rakuten-usa360/

In some respects, it seems similar to NTSX. A conservative approach to using leverage inside of an ETF

That leverage comes at a price and with volatility.

I would love to see it backtested.

[beanhead]

Thoughts:

1) It is actively managed
2) As you mentioned, fees are a bit high.

Not sure that there is much benefit in paying that 0.78% over using a combination of passive stock and bond funds available elsewhere on Rakuten.

[EmaxisSlim Cultist]

Thoughts:

1) It is actively managed
2) As you mentioned, fees are a bit high.

Not sure that there is much benefit in paying that 0.78% over using a combination of passive stock and bond funds available elsewhere on Rakuten.

Only the Bond side is actively managed. All leveraged funds require active management. The theory is increased downside protection, without reducing your exposure to stocks. (via leveraged bond exposure.)

Nikko also has some similar products -> https://shintaro-money.com/nikko-global33/

NTSX is becoming very popular among the Boglehead community, which is 90% stocks and 10% bonds (at 60% leverage).

[beanhead]

Naru hodo.
Interesting...

[captainspoke]

Here are a couple things on NTSX--good morningstar rating (one of my priorities), and some risk numbers on both that and VOO.

[EmaxisSlim Cultist]

Here are a couple things on NTSX--good morningstar rating (one of my priorities), and some risk numbers on both that and VOO.

Interesting stuff, Unfortunately, it does not seem we can buy NTSX from Japanese brokers.

Our best options are:

Rakuten 360
https://portal.morningstarjp.com/FundDa ... 2019110501

Nikko Global 3x Trisection Fund (Adds REITS, settles yearly).
https://portal.morningstarjp.com/FundDa ... 2018100403

You could of course attempt to make this yourself with VTI + TMF (or similar).

Does anyone here own either? They same fairly unknown.