It's much better than it was at the beginning of the week. I'm surprised anyone would be 80% in cash any more. There's always things to be diversified into, even when you expect turmoil. I assume you're not counting you real estate equity.
non-M REIT's like NRF and BDC's like FSC, BKCC and PSEC. Got a nice buy on PSEC: 10,000 shares at $10.15 ... now at 35,000 shares. I think RSO is interesting. They suffered badly during the 2009 financial crisis, but I believe they are past that. Yielding over 13%, they invest in commercial paper, and also have some RMBS. I think they could increase their divy soon; holding 60,000 shares.
I am a long-only trader/investor so it's not for everyone on this board. I am happy that my portfolio is at an all-time high right now which is good having just gone through the cliff. I have been trading with Merrill for 2 1/2 years; during that time my average increase has been 19.5% per year, and my wife's gain has been 24% [I manage her investments also]. I have been a little more aggressive with my investments, but it hasn't paid off, so I am back to my bread-and-butter: high-yield stocks.
I am in all cash and making short term trades when I see opportunity's, always deep in the money trades close to parity with the underlying. I am thinking we will see a correction between 10 to 30% after Mar 1st. I am waiting for the right time to start accumulating SPY puts. Actually have some limit orders in now. I will continue to play the MBS REITS as I feel they often act on their own accord.
I'm back to doing alot of shorter term trades, from 1 day to a month. My cash position can vary from 90% to 50% depending on the ebb and flow. I have been stocking up on energy equities on dips for a longer term run. So far doing very well.
Interesting note: AGNC fell below a 13% yield based on a $4 per year dividend.