100 Level

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...]

Portfolio for 25-Year Old: The Positives and Negatives

As a followup to William Bernstein's e-book, "The Ages of the Investor," what might a portfolio look like for a 25-year old investor?  The following portfolio is built around 15 ETFs that cover the U.S. Equities market, developed international markets, commodities, emerging markets, both domestic and international REITs, sovereign debt, bonds, and treasuries.  In other words, we are diversifying … [Read More...]

300 Level

ITA Index: Recalibration

Photograph: Cologne Cathedral - Photo by Ken Appel   Recalculation of ITA Index As I mentioned in a comment yesterday, I've come to the conclusion that the ITA Index needs a calculation overhaul.  Instead of using each and every asset class from the "Big Nine" U. S. equity classes, I am lumping all of these asset classes into one benchmark and that is the reliable VTSMX index fund.  In … [Read More...]

Portfolio Performance: 9 September 2011

The first full week in September was a mixed bag.  For starters, the market was down when measured by the VTSMX.  Several portfolios gained ground with respect to the ITA Index, our customized benchmark.  A few portfolio picked up fractions of a percentage point on the VTSMX.  A few also showed stronger Sortino ratios while others declined in value. Below is the performance … [Read More...]

200 Level

Retirement Planning: Using the Kenilworth Portfolio As A Model

Two young portfolios, Gauss and Kenilworth, found here on ITA Wealth Management serve as examples for retirement planning.  For this blog post, I'll use the Kenilworth as the example since it began with a modest initial investment of $1500 followed by monthly contributions.  Platinum members have access to all the transaction details. The first move in any retirement plan is to do … [Read More...]

Asset Allocation for Small Global Portfolios

If your portfolio is small and yet you want global diversification, this portfolio is one to consider.  This six asset class portfolio is built around asset allocation guidelines laid out by David Swensen in his book, "Unconventional Success."  Thirty percent of the portfolio is allocated to U.S. Treasury Bonds (TLT) and TIPs (TIP).  Domestic REITs are covered with the VNQ … [Read More...]

400 Level

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...]

Kenilworth Portfolio Review: 24 May 2012

It is hard to believe another month rolled around and it is once more time to update the Kenilworth Portfolio.  As one might expect, a number of the asset classes are under target as five of the critical eight (VTI, IWN, VEU, VWO, VNQ, RWX, DBC, & PCY) ETFs are priced under their respective 195-Day Exponential Moving Averages (EMAs).  Below is a slide of the Dashboard, one of the … [Read More...]