100 Level

First Steps Toward Independent Portfolio Managment

Portfolio management is not equivalent building a house or overhauling a car engine.  It is not that hard, so don’t throw up your arms and say you cannot do it yourself.  With Internet access, it is much easier than it was twenty to twenty-five years ago.  Here are steps to setting up your own portfolio, managing the assets, and monitoring it on a yearly basis. 1) Open up an … [Read More...]

Investment Articles of Interest

Two articles of interest to investors are the following. The first article was written by Geoff Considine with the title, An Important Challenge to "Stocks for the Long Run."  Jeremy Siegel is the author of the 'Long Run' book. The second article is actually a transcript of a debate between Siegel and Zvi Bodie.  This paper can be found on one of my blog sites … [Read More...]

300 Level

Delta Factor After 400 Point Drop

ITA Wealth Management readers likely want to know what the Delta and Delta Factor projections are indicating after the 400 point drop yesterday.  The buying trend has started, although we still could be early in the cycle.  The reason I think we may be early is that it is not unusual for the Delta Factor to make projections a few months early.  Two time ranges are shown in the … [Read More...]

Einstein Portfolio Review

One of the benefits of looking at the Einstein Portfolio is to see what a portfolio looks like when nearly all the asset classes are in balance.  Using a 20% threshold or target boundaries, all but international bonds and two blend asset classes are within the 20% limits.  I'm still debating whether or not I want to continue to hold mid-cap blend (VO) and small-cap blend (VB) as both … [Read More...]

200 Level

Active vs. Passive Investing: Part 7

Section Seven of the "Active vs. Passive Investing" article is sumarized the following paragraph. "Some indexers never claim passive investing gives superior returns. They claim only that active investors do better than the benchmark some of the time, and worse some of the time, while passive investing gets rid of that risk by equaling the benchmark every time. They admit some … [Read More...]

ITA Wealth Management: An Investment Blog For Serious Investors

ITA Wealth Management is a blog that espouses the virtues of saving, living a modest life-style, index investing, asset allocation, value loading, and portfolio rebalancing.  Readers coming to this blog understand the importance of saving and living a modest life-style.  If not, search for "The Golden Rule of Investing."  Index investing, particularly when it comes to … [Read More...]

400 Level

Maxwell Update: 6 June 2012

As one of the five ITA Risk Reduction model portfolios, the Maxwell was initially selected as the portfolio Internal Rate of Return (IRR) lagged both the VTSMX and ITA Index benchmarks.  The hope is that over a few market cycles, we will be able to push the portfolio IRR above both benchmarks. … [Read More...]

ETF Evaluations In Preparation for Euclid Risk Reduction Analysis

At the close of the market tomorrow (1/12/2012) I will examine the relative price of each ETF used in Euclid and compare it with its 195-Day EMA.  For example, in the slide shot below the price of VTI is well above its 195-Day EMA.  The ITA Risk Reduction model calls for holding a full position in VTI.  Checking the Euclid moments ago, Large-Cap Blend (VTI) is slightly over target … [Read More...]