100 Level

Portfolio of Actively Managed Mutual Funds

The following Quantext Portfolio Analysis contains actively managed mutual funds and the portfolio is designed for a 40-50 year old investor.  Keep in mind a few assumptions and expectations.  1) In this analysis the S&P 500 is assumed to grow at 7.0% over the next few years.  2) When putting together an array of securities we expect the projection will exceed 7.0% by 100 basis points.  3) The … [Read More...]

Schrodinger Portfolio Faces Off Against Similar DFA Asset Allocation

The Schrodinger Portfolio is our premier passively managed portfolio that has been operational since 12/01/2000.  Looking back over the past five years (6/29/2007 - 6/29/2012), how well has this portfolio performed when compared to a portfolio made up of DFA mutual funds with a similar asset allocation plan?  The results are rather stunning in favor of the Schrodinger. Schrodinger … [Read More...]

300 Level

Maxwell Update: 29 July 2013

Review time has arrived for the Maxwell portfolio, one of the five test portfolios for the ITA Risk Reduction model.  The Maxwell gained 180 basis points over the ITA Index during the past two months.  Now we need to see some gains with respect to the VTSMX index.  The U.S. Equities market continues to be very strong compared to developed international and emerging markets. Efficient Frontier:  … [Read More...]

Checking in on the Bohr Portfolio

In the News & Update footer, I mentioned at the beginning of the week I would be checking in on the Bohr, even though a review of this portfolio took place a week or so ago.  In this review I want to take a look at the "Delta Factor" following a QPP analysis to see if any under target asset classes are in the "Buy" zone.  But first, examine the Dashboard worksheet … [Read More...]

200 Level

Passive vs. Active Investment Strategy

Using Morningstar and Yahoo-Finance to compare stocks and ETF performance.* Here is an exercise that will prove informative to investors who construct portfolios using stocks. Follow these instructions. … [Read More...]

Why Do Amateurs Continue To Try When Professionals Fail?

Seeking Alpha is the scene of a debate around the viability of the Efficient Market Hypothesis (EMH).  Before going very far into this topic, please keep in mind that we don't want this information to be scattered very far in the world of investing as we want active manager to keep throwing those $20 dollar bills on the ground so we as passive managers can come along a scoop them up for … [Read More...]

400 Level

Madison Portfolio Review Time

One of the five portfolios using the ITA Risk Reduction model is the Madison.  In preparation for the review we first look at the Dashboard to see if the asset classes are populated properly.  While there are a few out-of-balance classes, the percentages are nothing to worry about.  Most of the asset class are within the 25% Threshold range.  Not only are all eight critical … [Read More...]

ITARR Using Current Data

Platinum readers following the ITA Risk Reduction (ITARR) model will note that all key ETFs are currently flying beneath their 195-Day Exponential Moving Averages.  At the end of the month we will take a look at all positions to see what moves to make in early December.  Don't be surprised to see a rebound tomorrow. If new readers are unfamiliar with the ITARR model, search the term … [Read More...]