100 Level

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...]

Ten Biggest Investor Mistakes – #1

ITA Wealth Management Mistake #1: Failure to save adequately for retirement is my number one mistake. Investors do not save enough early enough. One will not have sufficient retirement funds if the saving rate is too low and the key is to begin saving as early in life as possible. All the other mistakes are moot if one does not have capital to invest.  One of the services to Platinum … [Read More...]

300 Level

Bond Free Portfolio

Investors wary of the bond market should take a look at this portfolio.  Several goals are on the horizon when building a portfolio.  My preference is to see a projected return exceed that projected for the S&P 500 by 100 basis points.  The second goal is to bring the projected standard deviation in under 15%.  The following portfolio manages to do that without allocating anything to SDS, the … [Read More...]

Gauss Portfolio Update: 19 July 2013

The Gauss is youngest among the stable of eleven portfolios tracked here at ITA Wealth Management and it is once more time to review this portfolio.  For new readers, each portfolio is reviewed or updated every 33 days.  Since the last Gauss review I sold shares from these ETFs: PCY, TLT, TIP, RWX, and JNK.  These sales pushed Bond and Income holdings down to 0.3% of the total portfolio.  The cash … [Read More...]

200 Level

Portfolio Performance Data: 5 August 2011

What did the recent negative market do to portfolio performance numbers?  We know the absolute IRR sank this last week.  What is less clear is how well did the portfolios perform with respect to the VTSMX and/or ITA Index?  Also, how well did the Sortino and Retirement ratios hold up?  The data table below provides some clues. In general the portfolios did quite well.  … [Read More...]

Developing a Portfolio Plan

Basic Suggestions in Portfolio Development* In the beginning stages of setting up a portfolio plan, there are a few essential decisions investors make. Here are a few hints to consider. Follow "The Golden Rule of Investing." Save as much as you can as early as you can. Develop a savings plan as there is no avoiding this step. Live below your means.  Learn … [Read More...]

400 Level

Optimization-Momentum Recommendations For Kepler

As promised here are the optimization-momentum recommendations for the Kepler Portfolio.  We first begin with the Efficient Frontier and see that the current portfolio, after the recent transactions, is moving closer to the optimized portfolio. Efficient Frontier:  The current portfolio is represented by the yellow diamond box and the optimized portfolio by the small red dot.  The recent … [Read More...]

VEU And The ITA Risk Reduction Model

Using the ITA Risk Reduction model for VEU tells a completely different story from the prior analysis of VTI.  Using the same time frames as we did for VTI, the first examination is to see what we do at the end of the month. … [Read More...]