100 Level

Sample Portfolio Submitted For Evaluation

The following portfolio was submitted by a client for analysis.  Here are a few items to keep in mind.  1) I limited the analysis to 43 months as STPZ does not have a five-year record. 2) The S&P 500 is assumed to grow at 6%, or a lower figure than I normally use.  The market is high, and QPP tends to put a positive spin on future growth.  This assumption lowers the projected growth of the … [Read More...]

Five Investing Basics

The Basic Rules of Investing Readers of "The Investment Answer" will remember the five decisions laid out by Daniel Goldie and Gordon Murray.  If you need a quick reminder, go to this site for a review.  You will recall I disagree with Goldie and Murray on the conclusion of the first decision of portfolio management.  Will you do it yourself or will you seek … [Read More...]

300 Level

Optimized QPP Analysis of Schrodinger: Part 3

The first thing one sees in the following analysis is that optimizing the Schrodinger basic asset allocation plan does nothing to improve the future projections.  Here are the results. … [Read More...]

Four Security Portfolio

The following four security portfolio was recommended for testing by a Platinum member.  FTIIX was substituted for other index funds as the first and second choices did not have sufficient historical data for the Quantext Portfolio Planner (QPP) analysis.  The following screen shot shows the projections for VTI, VEU, BND, and FTIIX. QPP Analysis:  One quick observation is the lack of … [Read More...]

200 Level

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...]

Bohr Portfolio Review: 23 April 2012

This last week in April looks to be a full one as four portfolios are up for review.  This morning I am updating the Bohr.  Moments ago I checked the TD Ameritrade Bohr account for dividends paid out by BND, TLT, and TIP.  Note the addition of the International Bonds asset class in the following Dashboard, even though I have yet to allocate a specific percentage to this new asset … [Read More...]

400 Level

Momentum-Optimization Analysis of Equity Oriented Portfolio

Momentum-Optimization Analysis In the prior blog post I analyzed a sample portfolio using Quantext Portfolio Planner (QPP).  In this analysis I will use the momentum-optimizer spreadsheet to come up with the efficient frontier, a ranking of the securities, and the "decision maker," a Buy-Hold-Sell recommendation table.  We first take a look at the efficient frontier graph to see where the current … [Read More...]

Equity ETFs And The “Delta Factor”

Are there any areas of the equity market that look positive for the next six to twelve months?  Even with a relatively strong market this summer, there are pockets of opportunity and they are indicated in the following table. … [Read More...]