100 Level

Hedgehog or Fox Investor?

Do you fall into the hedgehog or fox style of thinking, and how does it impact your investing methods? (The fox knows many things, but the hedgehog knows one big thing.”) Think about this for a moment before answering. Maybe we are all a little bit of both, but lean more to one side than the other in our thinking processes. As a Mosaic Investor, I like to think of myself as a “fox … [Read More...]

Madison Review: 5 June 2013

Since the last update a few shares of VNQ were sold out of the Madison portfolio.  Limit orders are in place to add to VTI as recommended by the momentum-optimizer spreadsheet.  Below is the efficient frontier graph and the current Dashboard for the Madison. Efficient Frontier:  The efficient frontier graph provides a quick look at how well the current portfolio is positioned with respect to an … [Read More...]

300 Level

Gauss Portfolio Update: 11 October 2012

Photograph:  St. Louis Arch captured by Lowell Herr Next up for review is the Gauss Portfolio.  Since this is a smaller portfolio I do not use any of the growth ETFs.  Instead, I capture growth through the use of several blend asset classes.  As the portfolio grows I may open up the growth asset classes, although it hardly seems necessary since all the U.S. Equity asset … [Read More...]

Madison Portfolio Update: 18 April 2012

Examination of the eight critical asset classes held in the Madison show only commodities, as represented by DBC, is priced under its 195-Day EMA.  Both VEU and VWO are close to crossing below their respective EMAs so I will need to check those again a few hours after the market closes as it takes time for the index prices to settle out.  For now, I sold off the shares of DBC as there is … [Read More...]

200 Level

Risk Adjusted vs. Capitalization Asset Allocation Portfolio Construction

Is it better to construct a portfolio based on allocating assets around capitalization divisions or is one better off using a risk adjusted platform?  The following two screen shots show the details of these two approaches to portfolio construction.  In each case I am using ten ETFs that provide worldwide diversity.  Four years of historical data goes into the following Quantext … [Read More...]

Beat The Market

How many times have you heard the phrase, "Beat The Market?" Over a year ago, Mark Hulbert wrote an article on this subject. Here is an important quote from the Hulbert article. If you don't know who Mark Hulbert is, Google his name and learn about his contributions to the field of investing. "Even that, however, underestimates the difficulties of beating an index fund. … [Read More...]

400 Level

Dividend Portfolio

Looking for a low risk dividend portfolio?  Check out this portfolio sample that I posted over on Seeking Alpha.  There are a number of positive features to this portfolio.  First, it meets all the QPP analysis goals as laid out in the article.  Second, it provides good diversification without too many ETFs. There is a negative or two.  If one is using this array of … [Read More...]

Portfolio Risk: Do You Know The Value?

This morning I was in a discussion involving indexes, benchmarks, and portfolio risk.  In one exchange, I asked the reader if he knew anyone who could tell him what risk was involved in their portfolio.  Asking the question demanded an answer from me and the portfolios I track.  Here are the latest risk percentages from the seven portfolios available to Platinum members. The black … [Read More...]