100 Level

Sixteen ETF Portfolio

Low Risk Sample Portfolio Below is a modest sixteen (16) ETF portfolio that covers all the basic asset classes. The portfolio is projected to perform at a rate approximately 1% greater than the S&P 500 with a lower risk. The Diversification Metric (DM) at 37% is just a tad below our goal of 40%. With a little tweaking, would could likely elevate the DM. However, we need to keep in mind these … [Read More...]

General Guidelines for Investing Success

While it is rather early in the morning here on the West Coast, I'm still thinking clearly so take these ideas seriously.  When putting together a portfolio, follow these general guidelines. Use index funds or index ETFs to build the core of the portfolio. One should not need more than eight to twelve ETFs to build a well-diversified portfolio. Only add individual … [Read More...]

300 Level

Mosaic Portfolio Lookback – September 30, 2008

Bear Market Analysis of 2008 Investors with a memory of 2008 know that desperation was in everyone's mind.  How far could the market decline and when would it stop?  Continuing with our look-back theme, what information can we glean from the QPP analysis and what were the Delta Index signals? There is nothing I can see in the following data that throws up any warning flags and we … [Read More...]

5 ETF Bond, REIT, & Gold Portfolio

Is it possible to build a portfolio that does not include U.S. stocks or international equities?  The following portfolio was suggested by a reader and it originates from a well-known author.  Here are the five ETFs that make up this conservative portfolio. 1-3 Year Treasury Bond (SHY) Intermediate Bond ETF (BIV) Emerging Market Bonds (EMB) Real Estate (VNQ Gold … [Read More...]

200 Level

Merging The Swensen And Faber Portfolios

Swensen and Faber-Richardson Portfolios Merging the Swensen and Faber-Richardson portfolios is an effort to extract the excellent logic behind the "Swensen Six" portfolio and expand the number of asset classes as advocated in the "Faber-Richardson Ten" portfolio.  Parts of the logic behind the "Swensen Six" can be found in this Seeking Alpha article.  In … [Read More...]

Einstein Portfolio Review

Last week I added a few shares of RWX, VWO, and EMB to the Einstein to bring a few asset classes into balance.  Other than the Bonds & Income asset class, this portfolio is now in balance. One Tactical Asset Allocation I will be making is to shift one percentage point from Small-Cap Growth over to Small-Cap Value.  i will use IWN for my Small-Cap Value ETF.  Another change is … [Read More...]

400 Level

“Delta Factor” for Maxwell & Euclid Portfolios

Initially, the plan is to hold only five equity ETFs in the Maxwell and Euclid portfolios.  Those five are: VTI, VEU, VWO, VNQ, and RWX.  Yes, there will be bond and income ETFs, but the equity investments will be confined to five ETFs - at least at the beginning of this experiment.  At the close of the market on October 4, 2011, what is the "Delta Factor" data telling … [Read More...]

International Equities: “Delta Factor” for Different Periods

After alluding to how "Delta Factor" projections might be used to enhance the performance of a portfolio, some attention needs to be paid to the time span selected for the analysis as it does make a difference.  To illustrate this point, I've selected a number of international equity ETF representing different countries.  Platinum members will see the list in the following … [Read More...]