Ep12. Rafael Ortega: Using Return Stacking To Build an All-Terrain Portfolio

Get Stacked Investment Podcast

In this episode, Rodrigo Gordillo sits down with Rafael Ortega, a distinguished Spanish investor and Senior Investment Fund Manager at Andbank Wealth Management. Known for pioneering innovative portfolio solutions in Spain—from the classic permanent portfolio to advanced return stacking and off-road strategies—Rafael discusses a wide range of topics including diversification, structural risk balancing, leveraging, regulatory hurdles, and the future of portable alpha in today’s dynamic markets. (0:00) Introduction and Welcome (1:05) Host and Guest Introductions with Rafael Ortega (2:43) Rafael's Transition from Engineering to Finance (8:16) The Evolution of the Permanent Portfolio (10:10) Economic Cycles and Asset Behavior Analysis (13:46) Diversified Portfolio Challenges in Spain (16:32) Building a Diversification Community (22:07) Transition to Balanced Investment Strategies (24:19) Exploring the Limitations of Non-Leveraged Portfolios (27:20) Equal Risk and Low Volatility Portfolio Strategies (30:10) Overcoming Diversification Struggles (31:24) Introduction to Return Stacking (33:30) Operational Challenges in Portfolio Management (34:22) The Role of Leverage in Portfolio Balancing (37:54) Communicating Diversification Benefits (40:33) Drawdown Comparisons in Varied Portfolios (46:09) All Terrain Portfolio Concept (49:12) The Importance of Diversified Portfolios (51:04) Market Crisis Experiences and Insights (54:30) Advantages of Diversification and Return Stacking (56:23) The Future and Mainstreaming of Return Stacking (58:46) Addressing Return Stacking Skepticism and Transparency (1:00:01) Return Stacking in Europe: Regulatory Perspectives (1:03:25) Morningstar's Portable Alpha Category (1:05:07) Simplifying Portfolio Construction (1:07:17) Guest Social Media and Spanish Resources (1:08:26) Closing Remarks and Call to Action