100 Level

Modest Portfolio

Portfolio for Advanced and Beginning Investors Return and risk are highly correlated terms when it comes to portfolio construction.  A goal, when running analysis on sample portfolios, is to come up with a Return/Ratio in excess of 0.60.  A second goal is to seek diversification so the Diversification Metric exceeds 40%.  That goal floats as market conditions change.  A third … [Read More...]

Retirement Planning Web Sites

Below are links to three sites that will aid you in planning for retirement.  These resources come from Vanguard, The Motley Fool, and Fidelity. Here at ITA Wealth Management, we also have a retirement planner, but we require more information than the three sites referenced below. Here are the three references. 1. Vanguard site can be found here. 2. The Motley Fools site can be found at … [Read More...]

300 Level

Core ETFs Optimized for Maximum Return

To answer my own question of what ETFs are critical to most portfolios, I put together what I call the "Essential Twelve."  The plan is to cover the U.S. Equities, Emerging and Developed International Markets.  REITs, commodities, bond, and treasury instruments are included in the following analysis. The following information is not available for publication elsewhere on the Internet. … [Read More...]

Schrodinger Portfolio Review: Second Quarter Update

Nearly a month passed since I last updated the Schrodinger Portfolio, a passively managed investment fund.  This portfolio still holds a few ETFs that were purchased approximately ten years ago.  About the only changes in recent months has been the addition of dividends. I'm not too concerned about the three asset classes that are above target. When the political debate on the … [Read More...]

200 Level

Schrodinger Portfolio Review: 3 July 2012

Passive is the key word when it comes to managing the Schrodinger Portfolio.  No transactions occurred over the last several months except to add dividends to the cash account.  All asset classes are in balance as shown in the following Dashboard worksheet.  We use sixteen asset classes in this portfolio as I have never added international bonds to the mix. … [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...]

400 Level

Examination Day Arrives for Gauss Portfolio

Regular Platinum readers are well aware that the Gauss Portfolio is one of the ITA Risk Reduction candidates.  Here we are near the end of the month and it is once more time to check on the ETF prices and their respective 195-Day Exponential Moving Averages (EMA).  For those new to the ITARR model, we use StockCharts for our analysis information.  Below is a screen shot for VNQ, the … [Read More...]

Semi-Variance: The Better Risk Measurement

Photograph: Government buildings in Lisbon, Portugal Updating Sortino and Retirement Ratios Risk Management Users of the TLH spreadsheet will want to update the semi-variance calculation in the SR worksheet after the market closes and all the index data is available.  To make sure you have the latest data, wait until at least three hours after the market closes so all the benchmarks are … [Read More...]