100 Level

Portfolio Performance and Benchmarks

A few days ago there was a brief discussion concerning portfolio performance as it related to the ITA portfolios.  The question raised was, why are so many ITA portfolios lagging the VTSMX index fund?  The fundamental answer is that the VTSMX is not an appropriate benchmark unless the portfolio is only made up of U.S. stocks.  Note that VTSMX is comprised of stocks in the U.S. Equity market where … [Read More...]

Delta Factor After 400 Point Drop

ITA Wealth Management readers likely want to know what the Delta and Delta Factor projections are indicating after the 400 point drop yesterday.  The buying trend has started, although we still could be early in the cycle.  The reason I think we may be early is that it is not unusual for the Delta Factor to make projections a few months early.  Two time ranges are shown in the … [Read More...]

300 Level

Benchmarking The Portfolio

When putting together a portfolio, it is important to be able to measure the performance as well as carry out an accurate risk assessment. In order to do this, it is necessary to have some idea of how you expect the individual securities to perform. Therefore, the way to achieve this is to create a customized benchmark for your portfolio, a method commonly used by successful fund managers. … [Read More...]

“Creme List” for February 18

Twenty stocks made the "Creme List" this week, a high number based on results over the past year.  LLTC was cut from the list as it went more then 13 weeks without making the elite list.  Only one stock is priced to buy based on my analysis.  This is not surprising considering the high market. Check the stock with the * in the following data table. … [Read More...]

200 Level

Coming Soon: New Test Portfolio

This week I plan to set up a new test portfolio that will be of interest to Platinum readers.  The portfolio is based on the ITA Risk Reduction model described in prior posts.  This portfolio will begin with a deposit of $10,000 and the Strategic Asset Allocation plan will look like the following screen shot. … [Read More...]

Going Wobbly On Equities

With the market hovering around all-time highs, perhaps it is time to "go wobbly" on equities.  What might a 20-ETF portfolio look like if the bond requirement were elevated to 30% of the portfolio.  The following is not an operational portfolio, but a sample of securities one might use to build a well-diversified portfolio. Efficient Frontier:  One ETF stands out in the following graph and it … [Read More...]

400 Level

“Delta Factor” for Bond ETFs

A week to ten days ago I promised to run a "Delta Factor" analysis on the bond ETFs we use in a variety of portfolios.  One Platinum member requested CSJ be included in the analysis and here it is in the following screen shot. … [Read More...]

Bullish Percent Indicators Show Positive Market Trends

Markets Are Bullish Bullish Percent Indicators (BPI) show increasing strength this week.  Everyone of the major markets improved as ITA readers can see in the following graph.  It is going to be interesting to see if this positive trend can be maintained throughout the summer months.  Don't plan on it. Move down to the 7/6/2012 row and compare each number with the number … [Read More...]