Years ago when I came up with GLD/TLT, I thought it was a great trade - but super simplistic. So simplistic, I thought people would laugh at me. But I have been pleasantly surprised at how many people have been influenced by this trade. I have even seen people use it in their own research. Now this is all great and dandy, but I had another investment catchphrase back in the day - “long bonds/short equities” which worked great, until it didn’t. But this is a risk for all managers - they become wed to an idea that is no longer valid. So even though GLD/TLT has been good to me, I am acutely aware that one day I will need to do a “Reverse Lawrence Stroll (aka Kaiser Soze)”, which is I will need to cut my progeny off, and move to greener pastures. But is that day today?
