100 Level

Another Six Asset Class Portfolio

Photograph: Grill of a Delahaye sedan photographed at the Mullins Automotive Museum in Oxnard, CA The screen shot below shows the analysis of a six asset class portfolio.  TLT, BSV, HYG, and TIP ETFs all fall into the bond/income asset class leaving VTI, VEU, VWO, VNQ, and DBC to represent individual asset classes. While this portfolio is superior to many recently posted, it still falls … [Read More...]

International ETFs Ranked Using VTI As Reference

Just as I rank sector ETFs for possible inclusion in a portfolio, international ETFs are run through the same ranking wringer.  Are any international ETFs suitable for inclusion when compared to the U.S. Total Market Index ETF, VTI.  See the following table for the answer. … [Read More...]

300 Level

Einstein Portfolio Update: 12 June 2013

Here is the latest information on the Einstein Portfolio.  This review includes the Dashboard, Performance, Efficient Frontier, ETF Rankings, and Buy-Hold-Sell Recommendations.  We begin with the Dashboard. Dashboard:  Precious Metals (GLD) and Commodities (DBC) continue to be priced well below their 195-Day Exponential Moving Averages (EMA) so we are staying on the sidelines with those two … [Read More...]

Portfolio Preparation for Euclid and Maxwell Portfolios

In preparation to activate the return-uncertainty plan for the two under performing portfolios, I set up several sell moves for each portfolio.  The first thing I did was to place trailing stop loss orders for each ETF now in the portfolio, but not part of the future plan.  Shares of VOE, VBR, VOT, VO, VTV, and VSS will be sold when the strike price is hit for each ETF. … [Read More...]

200 Level

Developing a Strategic Asset Allocation Plan

The “Golden Rule of Investing” is to save as much as you can as early as you can.  That simple guideline is fundamental to any investment plan and it is critical to know why the word early is so important.  What comes second (portfolio planning) is also important, but it cannot be implemented unless one has saved money for investing. In this post, we assume the reader has a … [Read More...]

Portfolio Performance: 10 February 2012

All the portfolios were in good shape until Friday's market hit.  The downturn in the three critical international classes hurt most of the ITA Portfolios as they are global in their asset allocation structure.  Therefore, most gained a little ground on the ITA Index while loosing traction to the VTSMX.  The difference is that the ITA Index is a customized benchmark that … [Read More...]

400 Level

A Twist to the ITA Risk Reduction Model

Photograph: Mountains near Emerald Bay at Lake Tahoe.  Taken from the California side of the lake. While we want to keep the ITA Risk Reduction model as simple as possible, there is another wrinkle available for sophisticated investors.  Platinum readers will be interested in the explanation that follows. Platinum membership is available for $5.00 per month.  Learn how to reduce … [Read More...]

Retirement Ratio: Portfolio Performance and Uncertainty Measurement

What is the Retirement Ratio (RR)?  I never heard of such a ratio, at least as it is defined below.  Before going into an explanation, let me digress and address similar ratios.  Portfolio performance measurements that combine both return and risk are readily available to investors.  The Sharpe ratio is perhaps the best known "efficiency ratio" where it measures the … [Read More...]