100 Level

Market Movement Trumps Asset Allocation

Market, Management or Asset Allocation Much as we advocate asset allocation here at ITA Wealth Management, it is difficult to argue with the latest Ibbotson research that demonstrates the importance of market movement when it comes to portfolio performance.  This should not come as a surprise as we have all seen our investments rise and fall as if they are highly correlated with Mr. … [Read More...]

Sample Portfolio Submitted For Evaluation

The following portfolio was submitted by a client for analysis.  Here are a few items to keep in mind.  1) I limited the analysis to 43 months as STPZ does not have a five-year record. 2) The S&P 500 is assumed to grow at 6%, or a lower figure than I normally use.  The market is high, and QPP tends to put a positive spin on future growth.  This assumption lowers the projected growth of the … [Read More...]

300 Level

Abbott Laboratories (ABT): Supercharge Your ETF Portfolio

Abbott Labs is one of the stocks I used as an example of how one might supercharge a portfolio made up of non-managed index ETFs.  What is the outlook for ABT when analyzed in isolation?  Platinum members will find such an analysis below.  I am using Better Investing's Stock Selection Guide for this analysis and the data comes from the American Association of Individual Investors … [Read More...]

Curie Portfolio Update: 21 December 2011

After making minor adjustments in the Strategic Asset Allocation plan, I picked up shares of VB and RWX for the Curie Portfolio.  These few shares brought Small-Cap Blend (SCB) into balance, but we are still several hundred shares below target with International REITs.  One reason for not purchasing more RWX has to do with the large price differential between the current price and the … [Read More...]

200 Level

ITA Wealth Management Portfolios Update

Exactly one month passed since I last posted the portfolio performance data table.  All portfolios showed an increase in absolute value.  The gain or loss compared to the two critical benchmarks is mixed.  Portfolios that gained with respect to the ITA Index were the following:  Bohr, Madison, and Gauss.  There was no change in the Curie, Newton, Einstein, and Kenilworth portfolios.  The … [Read More...]

ITA Asset Allocation Philosophy

Do you ever ask why ITA Wealth Management is such a strong advocate for developing an asset allocation (AA) plan?  While academic studies of the late 1980s placed more importance on asset allocation than more recent studies, there still does not appear to be any portfolio models that outshine broad diversification through asset allocation. Further, complete and in depth studies as to the … [Read More...]

400 Level

Bullish Percent Index Data for May 17th

Just when one begins to think the market cannot get better - it does.  This week wrapped up another stellar five days for stocks based on a number of Bullish Percent Indicators (BPI). The following information is not available for publication elsewhere on the Internet. … [Read More...]

Examining Critical Risk Reduction ETFs

This is examination day for the Maxwell Portfolio and the market is in a swoon.  A few minutes ago I look at the "Critical Eight" ETFs and they are: VTI, IWN, VEU, VWO, VNQ, RWX, DBC, and PCY.  All are still priced above their 195-Day EMA, but some are getting close to crossing the EMA line.  For this reason, I will be waiting for the market to close before I make any … [Read More...]