100 Level

Index Freeloaders

Take a few minutes to read and smile while reading this article about freeloading index investors.  As passive investors, we need to be grateful for active investors. … [Read More...]

Learn By Example

If your learning style is parallel to mine, it is much easier to learn by example vs. straight theory. While it is important to know and understand the logic behind an investment philosophy, it is even better to see the policy in action and observe how well it performs. That is what motivates me to write the ITA Wealth Management investment blog. This is an investment education blog. 1) How do … [Read More...]

300 Level

QPP Analysis of Kepler Portfolio

Nearly six months rolled by since the last Quantext Portfolio Planner (QPP) analysis of the Kepler Portfolio.  Platinum readers can go through the QPP analysis and do not neglect the correlation matrix.  Take a close look and let me know your observations. … [Read More...]

Sample Portfolio Optimized

The following screenshots show the optimization analysis of the submitted sample portfolio.  First I show the Efficient Frontier graph, followed by the ranking order of the holdings, and finally the Buy-Hold-Sell data sheet. Efficient Frontier:  Since I did not have the exact number of shares for each holding, I estimated the approximate percentage.  The current portfolio lies very close to the … [Read More...]

200 Level

Portfolio Performance Data: 18 February 2012

All portfolios showed gains this week on an absolute scale, but the relative movement when measured against the different benchmarks was mixed.  The Kepler held par with respect to the VTSMX and picked up a few tenths of a percent on the ITA Index.  The Kenilworth pulled ahead of both benchmarks.  Seven of the eleven portfolios held their own or gained ground on the VTSMX.  … [Read More...]

Capital Preservation Portfolio

This portfolio is not quite as conservative as the Ultra Capital Preservation asset mix.  Fixed income was decreased by 11% points and those assets were shifted toward equities. … [Read More...]

400 Level

Sortino Ratio

Sortino Ratio: Calculation Steps Calculating the Sortino Ratio is not too difficult assuming you have historical data for the Internal Rate of Return (IRR) of the portfolio and the IRR for a benchmark. Here at ITA Wealth Management our primary benchmark is Vanguard's Total Market Index Fund, or VTSMX. Eventually we plan to move to the ITA Index, a customized benchmark for each portfolio. In … [Read More...]

Bullish Percent Indicators: Weekly Update

The offensive is in control of all sectors and major indexes.  Only two sectors, Materials and Utilities, showed reduction in the number of companies exhibiting bullish Point and Figure (PnF) graphs. Platinum membership available for a mere $5 per month.  Learn portfolio management. … [Read More...]