100 Level

Review of John Bogle Book

Larry Swedroe, one of our favorite investment authors, writes a brief review of John Bogle's latest book.  Click here to see this review. … [Read More...]

ITA Receives Special Attention

A few weeks ago, while I was relaxing in the basement, a telephone call from a well-known investment house showed up on my caller identification screen.  Assuming it was a "chum for client" call, I did not pick up.  However, my wife answered the phone and told me "ABC Investments" wanted to speak with me. I was prepared to "stiff-arm" any requests to … [Read More...]

300 Level

High Yield Retirement Portfolio

A Platinum member submitted the following portfolio for analysis.  The portfolio is designed to throw off income for a retiree and as you can see, the historical yield is a very high 4.6% so the portfolio is meeting that goal.  Take note that the portfolio outperformed the S&P 500 and did it with much lower risk. The projected return over the next six to twelve months is 7.6% or very close … [Read More...]

In Search of the “Holy Grail” Portfolio Asset Allocation

Searching for that idea asset allocation is a never ending challenge. Particularly if one does not want an overly complicated portfolio. Below is a slight variation of a Strategic Asset Allocation plan laid out earlier this week. While the projected return meets the goal of exceeding the projected return for the S&P 500 by more than 100 basis points (1.0%), the projected uncertainty is a … [Read More...]

200 Level

Aggressive Growth: Portfolio #6

The Aggressive Growth Portfolio is the last in this series of sample portfolios.  We moved from the Ultra Capital Preservation where bonds and income ETFs made up the majority of the portfolio to this example where the bond asset class is peeled down to a mere 6% of the total portfolio. Platinum membership available for a low $5.00 per month.  This last sample portfolio in the … [Read More...]

Active vs. Passive Investing: Part 5

The author of the Active vs. Passive Investing Returns: Does Passive Outperform? paper begins Section Five with this statement.  "Other research supporting the conclusion that passive investing outperforms, comes from analysis of pension plan returns.  Although slightly different, pension plans have most of the same problems as mutual funds.  They are only a subset of the … [Read More...]

400 Level

“Delta Factor” for Basic EFTs

One Platinum member ask to see what the current "Delta Factor" looks like.  It should come as no surprise that a market as high as this one will bring a lot of "Red" out in the "Delta Factor" table.  Below is the table for a number of basic ETFs used in a variety of portfolios.  The results take in the period of 3 February 2009 through 3 February 2012. … [Read More...]

The “Delta Factor” of International Markets

Using the last three years of data, what is the "Delta Factor" telling us about the international markets. Platinum membership is available for $5.00 per month. … [Read More...]