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The Meb Faber Show - Better Investing

Build YOUR Perfect Portfolio (w/ Cullen Roche) | #612

The Meb Faber Show - Better Investing

The Idea Farm

Management, Business, Investing

4.8978 Ratings

🗓️ 2 January 2026

⏱️ 67 minutes

🧾️ Download transcript

Summary

My guest today is Cullen Roche, Chief Investment Officer at Orcam Financial Group and Discipline Funds. His latest book is Your Perfect Portfolio: The ultimate guide to using the world’s most powerful investing strategies. In today’s episode, Cullen walks through the principles of portfolio construction. He emphasizes the importance of viewing investments as a means of savings rather than a quick path to wealth. Cullen explores the significance of time horizons in investment decisions, why real returns are what matter, and the origins of the 60/40 portfolio. (0:00) Starts (1:38) Principles of portfolio construction (6:12) Real vs nominal returns (11:01) Asset allocation and time horizon considerations (26:59) Evaluating the role of government bonds in portfolios (30:21) Origins of the 60/40 portfolio (37:44) The forward cap portfolio (46:49) The concept of duration in investing (56:23) Disciplined Funds (1:02:39) Asset liability matching (1:03:15) Factors influencing investor behavior ----- Follow Meb on X, LinkedIn and YouTube For detailed show notes, click here To learn more about our funds and follow us, subscribe to our mailing list or visit us at cambriainvestments.com ----- Follow The Idea Farm: X | LinkedIn | Instagram | TikTok ----- Interested in sponsoring the show? Email us at Feedback@TheMebFaberShow.com ----- Past guests include Ed Thorp, Richard Thaler, Jeremy Grantham, Joel Greenblatt, Campbell Harvey, Ivy Zelman, Kathryn Kaminski, Jason Calacanis, Whitney Baker, Aswath Damodaran, Howard Marks, Tom Barton, and many more.  ----- Meb's invested in some awesome startups that have passed along discounts to our listeners. Check them out here!  ----- Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Welcome to the Medfavor show, where the focus is on helping you grow and preserve your wealth.

0:10.9

Join us as we discuss the craft of investing and uncover new and profitable ideas, all to help you grow wealthier and wiser.

0:16.9

Better investing starts here.

0:19.5

Metfabor is the co-founder and chief investment officer at Cambria Investment Management.

0:22.5

Did it industry regulations, he will not discuss any of Cambria's funds on this podcast.

0:25.8

All opinions expressed by podcast participants are solely their own opinions and do not reflect

0:28.9

the opinion of Cambria Investment Management or its affiliates.

0:31.2

For more information, visit camriainvestments.com.

0:35.0

Today's episode is sponsored by Alpha Architect. Will bonds diversify like they have historically?

0:41.0

If you're tired of explaining why this time was different, consider the Alpha Architect

0:45.5

Tail Risk ETF, ticker symbol C-A-O-S, or Chaos. Chaos is a buy-and-hold solution that seeks to diversify fast market crashes like 2020,

0:57.0

and also historically has featured positive returns in normal market conditions.

1:02.1

So prepare for tomorrow today with chaos. That's CAOS chaos. If you're exploring a bond

1:07.8

replacement or a diversifier with low correlation, check out the link in the show notes. Disclamer, we are not affiliated with Alpha Architect. This information does not constitute advice or recommendation or offer to sell or a solicitation to deal in any security or financial product. Certain information contained herein has been obtained from third-party sources and such information has not been independently verified by the Idea Farm. No representation, warranty, or undertaking, expressed or implied is given to the accuracy or completeness of such information by the idea farm or any other person. While such sources are believed to be reliable, the idea farm does not assume any responsibility for the accuracy or completeness of such information. The idea farm does not undertake any obligation to update the information contained herein as of any future date. Welcome back, everybody. Happy New Year's. Today we have a great returning guest. We're joined by

1:45.1

Cullen Roach, founder and CIO at Discipline Funds, a financial planning firm that focused on

1:50.4

holistic advice and has three defined duration ETFs. Big news, his latest book is out, your perfect

1:58.4

portfolio, the ultimate guide to using the world's most powerful investing

2:03.5

strategies, Colin, welcome back to show. Medb, what's up? It's great to be back.

2:08.7

Congrats on the book, man. You just figured you got young kids and diapers, good time to do it.

2:13.8

Is that the inspiration? What was the, they're growing up now? What's the story? Yeah. No, I figured that if I, if I launched a whole bunch of ETS this year and wrote a book, I could, that was going to be my excuse to get away from the kids full time. So, no, I actually, weirdly, it's the opposite. I feel like kids, uh, the kids lit a fire under my butt where I felt like I had to start thinking about,

2:35.7

you know, how am I going to pay for these little munchkins? And so I, in the last few years,

2:40.0

I've actually started to get re-energized about a lot of stuff. The book is really fun. It's a mix

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