100 Level

Grandchildren: Pay Attention

Photograph: Main gate to the University of Glasgow in Scotland. Over the next two weeks I will be posting ten ideas that ITA Wealth Managment readers should pass on to their grandchildren if not their children.  Most of these suggestions are a review for long-time ITA Wealth Management readers.  However, they still merit review as these ideas are fundamental to successful … [Read More...]

Diversify – Diversify – Diversify

If you have questions why the portfolios tracked here at ITA Wealth Management include so many asset classes, just read the referenced article, “The Benefits of Low Correlation.” After reading this article, I had second thoughts about allocating only 5% to commodities. However, 5% should be adequate due to our emphasis on value and small-cap stocks as well as participating in … [Read More...]

300 Level

Madison Portfolio Update: 24 October 2012

Nearly all asset classes are in balance and the ETFs are still priced above their 195-Day Exponential Moving Averages, so this portfolio will not need attention for another month.  The commodity, DBC, dropped below the 195-Day EMA, but I do not hold that commodity in this portfolio. … [Read More...]

Newton Portfolio Update: 15 May 2012

How well is the Newton Portfolio performing?  Below are screen shots of the Dashboard and Portfolio Performance data.  Even though the Newton is not part of the ITA Risk Reduction experiment, I did lighten up on both international and emerging markets.  The follow table reflects asset classes where I sold some holdings in VEU, VWO, and DBC.  So far those moves helped the … [Read More...]

200 Level

ITA Wealth Management Suggested Asset Allocations

The following data table lays out different risk portfolios built around nine ETFs that make use of The Three-Factor model from Fama and French. Platinum membership is available for $5.00 per month. … [Read More...]

Positioning the Maxwell, Euclid, and Madison

In preparation to launch the ITA Risk Reduction model for the Maxwell, Euclid, Madison, and possibly one or two more portfolios, the basic asset allocation is laid out below.  SDS is shown only as a possibility in unusual circumstances.  The percentages as shown apply only when the ETF price lies above its 195-Day Exponential Moving Average (EMA).  Such is not the case right now as … [Read More...]

400 Level

Domestic Real Estate (VNQ): A Closer Look

Domestic real estate is one of our primary asset classes and we use VNQ as the ETF to populate this asset class.  Of the major eight ETFs used in the ITA Risk Reduction model portfolios, VNQ is one that has yet to drop below its 195-Day EMA.  So far, demand exceeds supply.  In the following two graphs, we take a closer look at the technical indicators for VNQ to see if we can divine … [Read More...]

Post-Modern Portfolio Theory

Serious investors interested in digging deeper into the issue of portfolio risk management will find the article titled, Post-Modern Portfolio Theory of great interest. This link is bound to produce different references over time so here is a clue to finding the article. Google the term, “Post-Modern Portfolio Theory” and then look for the PDF article by the same name. The article is … [Read More...]