100 Level

The Active vs. Passive Management Debate

Will there ever be a definitive answer to the active vs. passive management debate?  Likely not and here are possible reasons why we will never have a complete answer to which method is superior.  At the very core of the argument is lack of data, at least as it pertains to one level of the argument.  The active vs. passive argument is carried on at two levels.  One level is … [Read More...]

Lost My Spouse – Part III

Determine your long-term cash flow. How much monthly income is required?  Will income from pension and social security meet the cash flow requirements or is additional money required from the portfolio?  For most single retired individuals, some income is required from the portfolio.  My recommendation is to pull no more than 4% annually from the portfolio.  The lower the … [Read More...]

300 Level

Portfolio Rebalancing Revisited

One reader requested a review of how portfolio rebalancing is handled.  There are several ways one can set up a rebalancing program and all require the investor have an investment plan.  If one builds a portfolio around individual stocks with no sector or asset class allocation model in place, this review is of little use.  Rebalancing has two primary models (listed below) and the entire concept … [Read More...]

Holy Grail Portfolio Revised

Revising the "Holy Grail" portfolio is an extension of the blog entry posted earlier today.  The following QPP analysis is somewhat constrained by two new corporate bond ETFs (VCIT and VCLT) that have not been in existence three years.  Nevertheless, Platinum members will find this portfolio of interest.  The broad guidelines for putting this portfolio together is as … [Read More...]

200 Level

Portfolio Performance: 10 February 2012

All the portfolios were in good shape until Friday's market hit.  The downturn in the three critical international classes hurt most of the ITA Portfolios as they are global in their asset allocation structure.  Therefore, most gained a little ground on the ITA Index while loosing traction to the VTSMX.  The difference is that the ITA Index is a customized benchmark that … [Read More...]

QPP Analysis of Faber Ivy Ten Portfolio

Yesterday I analyzed the Faber-Richardson Five portfolio found in The Ivy Portfolio.  In this post, Platinum members will find the QPP analysis of the Faber-Rickardson Ten.  I used the same five-year time frame so readers can compare the two results.  Improvements and negatives come with this expanded portfolio. While the projected return moves up to 8.2%, we give up risk as the … [Read More...]

400 Level

Bullish Percent Index Update: 9 August 2013

Each week readers are treated to a broad look at major U.S. markets as well as sectors of the equities market.  This week shows slight declines in the major markets, but not sufficient to turn the ball over to defensive teams.  All the major markets remain sufficiently positive to record X's in the right-hand column of the Point and Figure graphs.  Examine both tables below for detailed … [Read More...]

Pre-Examination of Maxwell Portfolio

Tomorrow is the examination date for the Maxwell Portfolio, one of the ITA Risk Reduction model candidates.  The asset allocation plan (Dashboard will be available tomorrow) for the Maxwell is a little different than it is for "mainstream" portfolios such as the Newton, Euclid, and Schrodinger.  The allocation plan is skewed toward small-cap value and emerging markets.  … [Read More...]