100 Level

No-Brainer Portfolio

Yesterday, I picked up this article on Seeking Alpha titled, "Lack of REITs & Commodities Now Shows in Bernstein's No-Brainer Portfolio's Performance." I first needed to look up the Bernstein No-Brainer Portfolio and found it included four ETFs.  The asset allocation is quite simple. IVW = 25% VB = 25% EFA or VFA = 25%   I prefer to use VEU as my international … [Read More...]

VWO And The ITA Risk Reduction Model

During this most recent market dip, if one asset class needed protection, it was emerging markets.  Just how did our Tactical Asset Allocation (TAA) or risk reduction model work with the VWO ETF.  Here is the current price and 195-Day EMA graph for emerging markets (VWO).  This morning the 195-Day EMA is $40.80. Since I rotate my review of different portfolios, the selling points … [Read More...]

300 Level

Dividend Stocks

Platinum members who use individual stocks as part of their portfolio construction materials will find this list of dividend stocks of interest. The first screen shot defines the screens used to come up with these companies. … [Read More...]

Portfolio Performance Data: 4 March 2011

Photograph: Harley at the cabin in Central Oregon Platinum members will find the performance data below.  This is the first complete update since the February statements became available.  In almost every situation, the portfolios gained ground on the VTSMX index.  Quite a few showed improvement in the Sortino and Retirement Ratios, possibly the key measurement. Platinum … [Read More...]

200 Level

“Decade” Portfolios

Age Appropriate Portfolios Several weeks ago a reader wrote and asked me if I had "age oriented" portfolios on the blog.  While those were not the exact words, the question was designed to extract more precise portfolio direction than descriptions such as Einstein, Bohr, and Schrodinger.  Rather than build portfolios around high growth or conservative yield, I chose to go with … [Read More...]

Portfolio Performance – 22 October 2010

The following data table exhibits the latest portfolio performance information through October 22. Two critical measurements are found in the last two columns, the Sortino Ratio (SR) and the Retirement Ratio (RR). Of the ten portfolios tracked using the TLH spreadsheet, most showed a slight decline in the SR and RR values since last posted. Other data to pay attention to is the difference between … [Read More...]

400 Level

Balancing Risk Over A Ten ETF Portfolio

In response to a Platinum member, the following QPP analysis is set up in a manner to equalize risk across the different ETFs rather than set up a capitalization asset allocation.  Note that I am using a 56-month time frame as I wanted to span the last bear market while avoiding any short-record issues with ETFs that have not been in existence for five years. To come up with the percentages … [Read More...]

Beyond the Sortino Ratio

      This article was published two years ago, but most readers missed it.  That is why I am bringing it forward again, with a few edits. Frank Sortino begins Chapter 3 of his "The Sortino Framework..." book with this sentence. "This chapter begins with the development of the Sortino ratio and why I discarded it for the upside potential ratio and Desired … [Read More...]