100 Level

What Should I Do If I Am Holding Cash?

What should I do if I am holding cash?  Is it time to move back into the market, and if so, how should I proceed?  Those are difficult questions considering the S&P 500 (VFINX) increased in value by 87.4% since January 20, 2009.  If one were to follow the Louis Rukeyser analysis, moving immediately into the market is the correct decision.  However, Rukeyser was using data … [Read More...]

Ten Biggest Investor Mistakes – #2

ITA Wealth Management Mistake #2:  Prospective investors carry too much credit card debt. This mistake is a corollary of Mistake #1.Stay out of credit card debt.  Mistake #2 is not so much an investor mistake, but rather a mistake of bad management.  If one ever aspires to be an investor, you must get the CC monkey off your back.  Pay down this debt to zero before you begin your investment … [Read More...]

300 Level

QPP Analysis of Gauss Portfolio

Platinum members are aware that the Gauss Portfolio is one of the ITA Risk Reduction model candidates.  Since the Gauss is such a new portfolio,  I don't think I ever ran a Quantext Portfolio Planner (QPP) analysis on it.  While not every asset class is exactly in balance, I decided to use the current holdings for this analysis rather than use the Strategic Asset Allocation … [Read More...]

Kepler Portfolio Review: 9 April 2012

Two portfolios are scheduled for review this week and the Kepler is one of the two.  This portfolio has its roots going back to the mid-1990s when I advised the holder to populate it primarily with individual stocks.  In the early 2000s I began to advise a shift toward ETFs as iShares was opening up a wide array of options and I began to read about the advantages of index … [Read More...]

200 Level

Bohr Portfolio Update: 21 June 2011

Bohr Portfolio Review This being the Summer Solstice, it seems prudent to review another portfolio.  This time it is the Bohr Portfolio, one of the better performing portfolios.  A limit order is in place to buy RWX to fill in the International REITs gap.  I also have orders set to see some of the bond/income generators as that asset class is being pulled back to 5%.  Several … [Read More...]

Portfolio Performance – 1 October 2010

TDAmeritrade came out with the September statements this afternoon so I was able to update many of the portfolios in greater detail that expected. In nearly every case, we made progress either by gaining on the benchmarks or reducing portfolio risk. Only in the case of the Schrodinger Portfolio, where we switched to the ITA Index benchmark for our SR and RR calculations, did we see significant … [Read More...]

400 Level

Improving On The Simple Nine Global ETF Portfolio

While there are advantages to keeping a portfolio simple, there are also disadvantages.  For example, one will miss opportunities by not including asset classes that have been shown by Fama and French to add value to the portfolio.  Namely, value asset classes such as small-cap value (VBR).  We don't want to eliminate asset classes just to keep the portfolio simple.  The Ranking data table shows a … [Read More...]

“Delta Factor” for Wide Array of ETFs

One reader requested to see what the "Delta Factor" looks like for a wide array of ETFs.  Platinum readers will see the "Delta Factor" for two different periods, three and four years.  If sufficient data were available for these ETFs, I would have displayed a five-year "Delta Factor."  Looking at the two slides below, the time frame selected makes a … [Read More...]