100 Level

Multi-Asset Class Investing

Multi-asset class investing or multiple asset classes is a title that comes right out of Richard A. Ferri’s excellent book, “All About Asset Allocation.” While my reference is to Ferri's first edition, I would pay the few extra dollars and purchase the second edition.  Nudged by a fellow asset allocation investor, I went back and reread Chapter 4 of Ferri’s book. … [Read More...]

Top Ten Investment Books: A Revised List

  Education is a crucial step toward financial success. Where does one begin when trying to come up with the top ten investment books?  Here is my revised list, but be forewarned, this is not a list of books that focus on either fundamental analysis of stocks, nor is it a list of books explaining technical analysis.  In fact, the list below is the antithesis of stock picking.  My … [Read More...]

300 Level

Maxwell Portfolio Update: 9 October 2012

Since the last Maxwell update I sold and purchased a few shares in the blend areas to bring those asset classes back into balance.  Missing in the following dashboard is a recent purchase of VNQ, bringing REITs back into balance. … [Read More...]

Portfolio Preparation for Euclid and Maxwell Portfolios

In preparation to activate the return-uncertainty plan for the two under performing portfolios, I set up several sell moves for each portfolio.  The first thing I did was to place trailing stop loss orders for each ETF now in the portfolio, but not part of the future plan.  Shares of VOE, VBR, VOT, VO, VTV, and VSS will be sold when the strike price is hit for each ETF. … [Read More...]

200 Level

Portfolio Construction Using David Swensen Percentage Guidelines

David Swensen writes in his "Unconventional Success" book, "Construction of a financial-asset portfolio involves full measures of science and art.  The science encompasses the application of basic investment principles to the problem of combining core asset classes in an efficient, cost-effective manner.  The art concerns the use of common-sense judgment in the challenge … [Read More...]

Why Do Amateurs Continue To Try When Professionals Fail?

Seeking Alpha is the scene of a debate around the viability of the Efficient Market Hypothesis (EMH).  Before going very far into this topic, please keep in mind that we don't want this information to be scattered very far in the world of investing as we want active manager to keep throwing those $20 dollar bills on the ground so we as passive managers can come along a scoop them up for … [Read More...]

400 Level

Bullish Percent Indicators Update: 29 March 2013

Bullish Percent Indicators provide clues to the general direction of the broad U.S. markets as well as sectors of the market.  There were few changes this past week as shown in the two tables below.  We first look at the broad markets where the offense continues to control the ball.  There is one exception.  The information is not quite so bullish when one drills into the individual sectors of the … [Read More...]

The Delta Factor and International Markets

Recently I was looking at Price-195-Day EMA graphs for a number of international countries and I came upon one for Italy, a country in distress.  While I normally view this graph over a one-year period to gain additional clarity, I changed the scale to three years as that is the time frame I used for the QPP and Delta Factor analysis.  I noticed that EWI hit a peak around May of 2012.  As a … [Read More...]