100 Level

Grandchildren: Seek the Best Education Possible

Photograph: Bay at Le Havre, France It is difficult to over emphasize the importance of a good education.  In our family there was never any discussion about whether or not we were going to college.  It was a given.  My father set the standard when he desired an education so much that he not only paid his way through college, but he also paid to have someone replace him on the … [Read More...]

Trading Is Hazardous To Your Wealth

Portfolio turnover is a problem for investors. It is a much larger problem than most realize. Swensen writes in “Unconventional Success,” “In an industry characterized by a long litany of shockingly dysfunctional behaviours the frenetic churning of mutual-fund portfolios stands near the top of the list. In 2002, the weighted-average turnover of equity mutual-fund portfolios … [Read More...]

300 Level

TLH Spreadsheet: Rebalancing Addition

A new feature has been added to the TLH spreadsheet and one will find it on the Dashboard worksheet.  So far, I only have it available in the Bohr spreadsheet.  This is what it looks like and the idea is to give the user additional help in knowing how many shares to purchase to bring the portfolio back into balance.  In column J we find the different asset classes available for the … [Read More...]

Bohr Portfolio Review: 26 March 2012

Since the last Bohr update, I added shares of VWO to bring the emerging markets asset class closer to target.  Platinum readers can see that all bond and equity asset classes are in balance.  So far I've chose not to add international bonds to this portfolio.  I may do at sometime, but for now this portfolio is a rather aggressive equity oriented portfolio.  … [Read More...]

200 Level

Are You Ready for Retirement? Most Americans Are Not Prepared

The Encore section of the January 14 Wall Street Journal points out that many people are behind on their preparations for retirement. 67% of workers say they are behind schedule in planning and saving for retirement.  These folks violated The Golden Rule of Investing. One 58% of works say they or their spouse are currently saving for later life.  Perhaps the middle class has fallen so far … [Read More...]

The Retirement Crisis

In keeping with the series of articles on retirement, Gary Simms sent me a link to this PDF file on The Retirement Crisis.  I had problems opening this file using Firefox due to some add-ons they are attaching to their software.  If you have a similar problem, try Safari or Chrome browsers.  As the article points out, this is another financial crisis.  PERS programs are also in disrepair as too … [Read More...]

400 Level

Gauss Portfolio Launched

The ITA-RR Portfolio, renamed Gauss, is up and running.  Platinum members have access to the Dashboard worksheet below. … [Read More...]

Preparing a New Portfolio for a Customized Benchmark

Within the TLH Spreadsheet is the capability to develop a customized benchmark for any portfolio that uses any combination of the 17 asset classes found in this blog post. If you are new to ITA Wealth Management, note that we pay a lot of attention to asset allocation, even though it has recently fallen out of favor, particularly since the 2008 market crash.  Why build a customized … [Read More...]