100 Level

Active Management: Ferri’s Five Negative Strikes

When I began investing there were no index funds.  The number of mutual funds numbered fewer than 300 and fund research was conducted by going to the library and requesting Weisenberger Mutual Fund Reports.  Mutual funds have multiplied like fruit flies and there are now well over 10,000.  Do we need this many?  Likely not. Let's look back 35 years to when there were … [Read More...]

Do Fundamental Index ETFs Have A Place In ITA Portfolios?

Fundamental ETFs If you have never heard of fundamental index ETFs you might want to read Robert D. Arnott's book, The Fundamental Index: A Better Way to Invest.  Jason C. Hsu and John M. West are co-authors.  Check out this link to find out a bit more as to how these ETFs are constructed.  Rob Arnott's creditability in the world of investing and ETFs in particular is considerable.  This Seeking … [Read More...]

300 Level

Prepping For Kenilworth Update

Tomorrow is the scheduled date for the Kenilworth Portfolio update.  In preparation for that review, here is some salient material to consider.  First, the efficient frontier graph, followed by the rankings of the current holdings, and then recommendations for possible changes. Efficient Frontier:  The following graph provides a quick snapshot that the current portfolio needs some adjustments.  … [Read More...]

Dividend Oriented Stocks Are Limited Under The Latest Screen

Dividend Stocks of Interest From time to time I will post a few stocks for Platinum members interested in spicing up their portfolio.  While it is difficult to build a portfolio using only stocks and have that portfolio outperform the stock market over the long run, it is possible to pull down portfolio risk by adding companies that have a low correlation with the broad market.  … [Read More...]

200 Level

Maxwell Portfolio Review: 9 July 2012

The Maxwell Portfolio Review time is here again.  Developed international markets (VEU), emerging markets (VWO), and commodities (DBC) are still priced below their 195-Day Exponential Moving Averages so those asset classes will remain under target.  I made an error of purchasing shares of small-cap blend (VB) when I meant to buy shares of mid-cap blend (VO).  That is the reason … [Read More...]

ITA Portfolio: A Well Diversified Mix of ETFs

Platinum members are encouraged to take a close look at the following list of ETFs that make up this portfolio. The following material is not available for publication on Seeking Alpha or other Internet sites.  This material is reserved for Platinum members. … [Read More...]

400 Level

Sydney Morning Herald Article

Photograph: Mt. Lassen in California The following article ("It's still business as usual for Wall Street") just appeared in the Sydney Morning Herald on-line paper.  The three recent crashes discussed include the 1987 drop when the DJI gave away 22% with a 522 point drop.  Then we had the tech blowup in early 2000 through 2002.  Even worse is the current Global … [Read More...]

ETFs As Market Predictors

While our focus is on the long-term rather than market timing, it still makes sense to pay attention to market action.  This article is one I thought readers would find interesting.  In addition to following RSP and IYT, I recommend Platinum members also track VTI, Vanguard's total U.S. equities market and VT, Vanguard's Total World equities market. … [Read More...]