100 Level

A Winter’s Solstice IV

Now that we are officially in the winter season, and it is beginning to feel like it, I thought it appropriate to recommend "A Winter's Solstice IV."  This CD is slightly out of the ordinary, yet one that contains enjoyable music.  Listen to the samples and see if the music fits your ear.  Here is the evaluation by one Amazon reviewer. "Perhaps it is possible for one's immediate circumstance to … [Read More...]

Professionally Managed Portfolio vs. Self-Managed Portfolio

Managed Index vs. Self-Managed Portfolio   The following material is not available for publication elsewhere on the Internet. I suspect many of us consider finding a good financial advisor to manage our portfolios so we have one less chore to attend to.  Others get enjoyment managing their assets.  I’m trying to manage my portfolio so my spouse, who takes no interest in … [Read More...]

300 Level

“Creme List” for 20 May 2011

Two major changes show up in the "Creme List" this week.  One is related to the stock that jumped into the number one position and the other is the addition of a new company that never made the list. … [Read More...]

J.C. Penny: A Technical and Fundamental Analysis

A request for an analysis of J.C. Penny (JCP), a holding company for 1,102 stores in North America, came in from a Platinum member.  In this blog post I will provide both technical and fundamental analysis for JCP as I see it.  First, let's examine a few technical indicators as we do for ETFs of interest. … [Read More...]

200 Level

Bohr Portfolio Review: 15 September 2011

Since the last update, shares of RWX, VOE, VEU, VTV, DVY, VWO, and VUG were added to the Bohr portfolio.  The number of shares were small as most of the asset classes are in balance.  The two asset classes that need attention are large-cap value and international REITs.  I over-shot large-cap value with purchases in VTV and DVY.  Mid-Cap Blend will take care of itself.  As … [Read More...]

Risk-Parity Portfolio: What Is It And What Does A Risk Portfolio Look Like?

Reducing Risk Through Risk-Parity Risk-Parity: Have you heard of the term or seen reference to this style of portfolio construction?  Join the crowd if this is new to you, even though the Risk-Parity idea has been around for quite a few years.  Risk-Parity is an alternative approach to portfolio construction where assets are allocated based on risk rather than allocation according to … [Read More...]

400 Level

Faber – Richardson “Ivy Model” Review

In response to a recent question, allow me to review the Faber - Richardson model as described in their book, "The Ivy Portfolio: How to Invest Like the Top Endowments and Avoid Bear Markets."  The ITA Risk Reduction model focuses on the "Avoid Bear Markets" part of the Faber book. Here are the basic Faber - Richardson rules one can use with any portfolio.  Investors … [Read More...]

Passive vs. Active Investing

Why do large endowment funds use a passive investment strategy? Is it due to fund size and their portfolios are so large they mirror the market? Again, quoting from my “Active vs. Passive” paper, we have the following. “An estimated 40% to 50% of all institutional monies are in index or passive portfolios while only 3% to 4% of retail investors make use of passive strategies. … [Read More...]