100 Level

Ten Biggest Investor Mistakes – # 9

  Wealth Management – Mistake #9: The small investor constructs portfolios without educating themselves as to what constitutes well-diversified investments.   Most advisors and money managers focus on the selection of individual stocks while ITA Wealth Management concentrates on the development of the broad portfolio plan. If you are new to this blog, (or the old blog at this … [Read More...]

ITA Portfolio Performance Data Sheet: 16 November 2012

While all portfolios declined in value over the past two weeks, the good news is that every portfolio, without exception, gained ground on both the ITA Index and VTSMX benchmarks.  Yes, you read correctly.  Every portfolio picked up basis points on both critical benchmarks. While none of these accounts are particularly set up as defensive portfolios, all reacted this way as none declined as … [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...]

Calculation of the ITA Index

To see how the ITA Index (customized benchmark) is calculated, go to the TLH SS Help tab and look at #8.  The link will take users to the audio-video clip for a walk through as to how the ITA Index is determined.  While not a perfect customized benchmark, it is superior to other benchmarks available. … [Read More...]

200 Level

Beginner’s Portfolio

If just starting out as an investor, the following portfolio is a slight modification from the Faber-Richardson Ten Portfolio as published in their book, The Ivy Portfolio.  I replaced GSG, a commodity ETF with a gold ETF, GTU.  Instead of VB, I inserted IWN which provides a value tilt to the portfolio. This material is not available for publication elsewhere on the Internet. … [Read More...]

Ranking Vanguard’s Sector ETFs

One of the portfolios up for review this week is the Gauss.  In preparation for that update I'm looking for ways to improve the performance of this portfolio as it still lags the VTSMX benchmark.  I thought I would rank the Vanguard sector ETFs (minus VNQ) to see if there are any potential "momentum" ETFs among this group.  Below is the latest ranking. Sector Rankings:  The financial (VFH) ETF … [Read More...]

400 Level

ETF Indicator Table

The following table, available only to Platinum members, indicates the current condition of the eight critical ETFs we are using for the ITA Risk Reduction model portfolios. … [Read More...]

Reviewing Buy and Sell Decisions: Using VNQ as Example

Platinum members are aware of the five (Maxwell, Euclid, Madison, Kenilworth, and Gauss) ITA Risk Reduction (ITARR) portfolios.  In an effort to reduce risk there are times when the price of the ETF runs well ahead of its 195-Day Exponential Moving Average (EMA) and we want to protect profits.  How can we do this?  Here are some suggestions and an example.  Remember, this pertains to a situation … [Read More...]