100 Level

High Yield Retirement Portfolio

A Platinum member submitted the following portfolio for analysis.  The portfolio is designed to throw off income for a retiree and as you can see, the historical yield is a very high 4.6% so the portfolio is meeting that goal.  Take note that the portfolio outperformed the S&P 500 and did it with much lower risk. The projected return over the next six to twelve months is 7.6% or very close … [Read More...]

“Who Stole the American Dream?

I mentioned that I am reading Hedrick Smith's book, Who Stole the American Dream?"  Nearly 30% into the book I came across this bit of data.  "The 401(k) track record is not good.  After twenty-five years, the typical account balance was just $17,686 on January 1, 2011, according to the Employee Benefits Research Institute (EBRI), which tracks 401(k) records for twenty-two million people.  The … [Read More...]

300 Level

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...]

Dividend Aristocrat Stocks

In contradiction to the many recent posts on the benefits of index and passive investing, I go against my own advice with the publication of this list of dividend aristocrat stocks.  This list might be of interest to Mosaic Investors who wish to add a few individual stocks to the core of their index oriented portfolio. The following information is not available for publication elsewhere. … [Read More...]

200 Level

Portfolio Performance: 13 May 2011

Since the last performance update, most of the portfolios gained ground when compared to the ITA Index, our customized benchmark.  However, nearly all portfolios lost ground to the VTSMX benchmark.  These minor losses can be explained by the strength of the U.S. equities market when compared to portfolios that are diversified with investments from all over the globe. A new portfolio, … [Read More...]

Will An All Equities Portfolio Provide Superior Retirement vs. All Bond Portfolio?

We are trying to answer the assertion that the stock to bond ratio does not make a significant difference when it comes to retirement planning.  Yesterday, I posted two blog entries that dealt with the beginning arguments.  Here is the link to the first entry and the link to the second one where I focused on the all bond portfolio.  In this blog post I will show the results of an … [Read More...]

400 Level

Bullish Percent Indicator Data

What we have in the following table is something called, major market Bullish Percent Indicators (BPI).  In this table I only included data from 2012.  Values coded with a red background indicate that the majority of companies are overbought and when the background is green, the majority of companies are oversold.  Nowhere in this table of major markets do we see an oversold … [Read More...]

Maxwell Portfolio Examination: 5 May 2012

Tomorrow, May 6th, is the official day to update the Maxwell, but nothing is going to happen over the weekend so here is the May review of this portfolio.  Platinum readers know that the Maxwell is one of the five model portfolios for the ITA Risk Reduction experiment.  Below is the current Dashboard for the Maxwell. … [Read More...]