100 Level

Bonds: Should They Be Part Of The Asset Allocation Plan?

While I am not going to go into the details until a later post, this is a quick note to let Platinum members know that bonds are on "notice." … [Read More...]

Benchmarking a Portfolio: Essential to Portfolio Management

Waterford, Virginia ITA Wealth Management readers know I am passionate about portfolio benchmarking and portfolio risk analysis.  To my knowledge, there is no better software program for the small investor than the TLH Spreadsheet, provided to all Platinum members.  We use two primary benchmarks in this spreadsheet, although four are available.  One is Vanguard's Total Stock … [Read More...]

300 Level

August “Delta Factor” Risk-Adjusted Portfolio For Interested Investors

What is a "Delta Factor" risk-adjusted portfolio and how is it constructed?  Rather than considering this as a potential portfolio for actual use, view it as an experimental portfolio.  Here are the steps I used to come up with this combination of ETFs. … [Read More...]

Waste Management (WM): A Stock of Interest

A Platinum member suggest an analysis of Waste Management (WM).  I'll go into a bit more detail with this stock vs. what I did yesterday with Procter and Gamble (PG).  As you can see from the sales, profits, and earnings graphs, Waste Management is a slow grower.  This material is not available for publication elsewhere on the Internet. … [Read More...]

200 Level

Portfolio Performance: 12 November 2010

Portfolio Performance Data Table Not only did many of the portfolios lose ground, as measured by IRR, most also showed a decline in the Sortino and Retirement Ratios. This again demonstrates just how difficult it is to outperform a broad market index such as Vanguard's VTSMX fund. Below is the table of performance. Overall, we are still doing quite well in meeting our goals, but it has been a … [Read More...]

Going Wobbly On Equities

With the market hovering around all-time highs, perhaps it is time to "go wobbly" on equities.  What might a 20-ETF portfolio look like if the bond requirement were elevated to 30% of the portfolio.  The following is not an operational portfolio, but a sample of securities one might use to build a well-diversified portfolio. Efficient Frontier:  One ETF stands out in the following graph and it … [Read More...]

400 Level

Bullish Percent Indicators Shift Into High Gear

Both the broad markets and individual sectors went on a tear this past week based on the Bullish Percent Index (BPI) changes.  Platinum members will see the results of the various indexes in the first table and the individual sectors in the second. The following information is not for publication elsewhere on the Internet. … [Read More...]

Performance of “Ivy Portfolio”

Platinum members who have been following the development of the ITA Risk Reduction model know that I based the ITARR system on the model laid out in Faber and Richardson's book, The Ivy Portfolio, and a modeling system I used back in the 1980s when I was co-authoring an investment newsletter.  ITA readers using the ITARR model will find the following link of interest. … [Read More...]