100 Level

ETF vs. Stock Selection

Photograph: Interior of First Baptist Church in Savannah, Georgia Is there a different approach to selecting an individual stock vs. choosing an ETF?  In my mind the answer is, yes.  For example, the "Creme List" is created by using approximately 20 different metrics.  Stock selection usually requires some sort of fundamental analysis that includes the following: … [Read More...]

Optimization of Stock Portfolio

Now we take the same list of stocks as used in the prior blog post, only this time I optimized the portfolio by requesting for a maximum Return/Risk ratio.  In the first screenshot readers will see the QPP analysis.  In the second slide, note the correlation matrix and in the third I show the constraints placed on the portfolio of stocks. QPP Analysis:  The following asset allocation gives up … [Read More...]

300 Level

Schrodinger Review: 15 August 2011

Little has changed within the Schrodinger Portfolio since the last update.  Most of the asset classes are in balance as one can see from the Dashboard below.  The small amount of cash available will likely be invested in international markets. … [Read More...]

New TLH Spreadsheet Help Audio/Video for Recalculation Error

In the benchmark and Internal Rate of Return data table, found in the upper left-hand corner of the primary worksheet, one sometimes sees the boxes filled with #REF! errors.  This is usually caused by the "Mosaic" or primary worksheet inability to find data from the Distribution Worksheet necessary to run a calculation on the benchmarks.  Thus the #REF! error.  I've … [Read More...]

200 Level

Year-End Portfolio Performance

TLH Portfolio Performance Data The following data table includes updates for portfolios tracked by the TLH spreadsheet.  Portfolios tracked by Captool will be updated sometime this week and I should have the results posted by January 8. In almost every case, the updated portfolios showed gains with respect to the VTSMX benchmark. Most of the portfolios lost ground to the customized … [Read More...]

Portfolio Performance: 21 January 2012

This was a good week for most of the portfolios.  Not only did we see absolute gains, but relative improvement as well.  The majority of the portfolios gained a little ground on either the ITA Index, the VTSMX benchmark, or one of the three uncertainty measurements. The exaggerated figures related to Gauss are to be expected as this is a young portfolio.  Annualized calculations … [Read More...]

400 Level

Is It Time To Hedge This Market?

Hedging or shorting the market is a high risk game and I'm not about to tell anyone what to do.  Shorting is the ultimate in market timing, and most of us know the pitfalls associated with such activities.  Having waved those red warning flags, let's take a look at the data.  As I mentioned in a recent comment, investors are in a quandary when it comes to holding down portfolio volatility.  To … [Read More...]

Bullish Percent Indicator: 1 March 2013

Few major changes occurred in either the index or sector Bullish Percent Indicator (BPI) tables.  Overall, the numerical values decreased, but not in every area of the market.  Our primary BPI indicator, the NYSE, declined in numerical value, but not to the point where the offense gave the ball up to the defense.  Of the major indexes, only the NASDAQ and DJTA index markets are controlled by the … [Read More...]